Parly rejects M184m airport budget

The parliamentary committee on natural resources has rejected the proposed M184 million 2025/26 budget for the refurbishment of Moshoeshoe I International Airport, citing corruption in the awarding of the tender.

This emerged during the Ministry of Public Works and Transport’s budget briefing to the committee which followed the budget presentation made two weeks ago, by minister of finance and development planning, Dr Retšelisitsoe Matlanyane, to parliament.

During the briefing, the director planning in the Ministry of Public Works and Transport, ‘Maliketso Malephane, stated that the M50 million allocated for the airport rehabilitation project in the 2024/25 fiscal year was only partially utilised, with M18 million expended.

A member of the committee, Tefo Mapesela questioned the ministry on how the M18 million was spent.

Another member, Mootsi Lehata, seconded by Dr Tšeliso Moroke – who was chairing the committee – made a ruling that the ministry should not bother to give more details on the project because they had enough information already.

The committee also accused contractors of inflating prices for work that did not match the value of the completed parts of the project, resulting in a significant waste of public funds.

Lehata indicated that the committee already had sufficient information regarding the project and would not allocate any further budget to it.

“We have dwelt with the airport issue for a very long time. We have all the knowledge regarding that project and it would be a waste of time for you to present that. We are not approving any budget for the airport,” Lehata noted.

His stance was reinforced by Dr Moroke’s declaration that; “We have enough information that we need before us; the airport project is non-existence in this year’s budget. We are not allocating any budget. We have made a decision, giving you a chance to present your proposed budget is as good as nothing,” Dr Moroke lamented.

In an interview with theReporter yesterday, Dr Moroke confirmed the committee’s decision not to allocate M184 million for the project.

He indicated that investigations made by the committee uncovered evidence of corruption in the awarding of the airport tender and misuse of funds. The findings have called into question the credibility of the project.

Dr Moroke pointed out that parliament cannot, in good conscience, support a budget that would be used to prop up a corrupt scheme.

Following yesterday’s budget briefing, Dr Moroke indicated that the committee will prepare a report detailing its findings and recommendations including the airport’s issue.

The report will then be presented to parliament for adoption, which will ultimately decide whether the M184 million budget will be allocated to the airport project or not.

“The committee has made its decision, but the ultimate decision rests with parliament. Given the severity of our findings and the implications for the effective use of public funds, we are confident that the rest of parliament will concur with our decision that the airport project has been marred by corruption and misuse of taxpayer’s money,” Dr Moroke stressed.

Earlier this year, the Public Accounts Committee (PAC), mandated to oversee the use of public funds, together with the chairpersons of parliamentary committees, had a site visit to assess the progress made at Moshoeshoe I International Airport.

During its visit, the committee learned that LSP Construction, the main contractor, had escalated the cost of refurbishment of the airport from M50 million to M184 million.

The committee also learned that a certificate of payment of M7 million had been issued to LSP, while another for M3 million was being prepared.

The committee hinted that what the company was currently doing at the airport was a duplication of the work already done by the former contractor, Leseli Technical Engineering (LTE) whose contract has since been terminated.

Speaking at the site visit, member of PAC, Montoeli Masoetsa accused the LSP of milking the state by deliberately delaying projects while escalating their costs.

“The parliament allocated M50 million for this project, but we were told that this project is going to cost M184 million. The question is; where will this other money come from?’ he equipped during the committee’s site visit as the airport.

Masoetsa blamed LSP for the huge cost escalations in the state projects it was undertaking, accusing it of being contend with slowing things down while looking for loopholes to charge more.

Chairperson of the natural resource committee, Moeketsi Motšoane, confirmed on Wednesday that the Ministry of Public Works had withdrawn their legal challenge to stop an ongoing probe by the PAC into the ministry’s controversial award of a tender to the airport.

The natural resource committee had initially refused to engage in the budget estimates briefing until the ministry provided proof that the pending court case related to the project had been withdrawn.

Two senior officials in the ministry, Tšepang Koele and Katiso Ntoane, principal secretary and deputy principal secretary, respectively had sought for High Court to direct the PAC to halt its grilling of the ministry’s staff on the airport rehabilitation project and related contractual matters.

In papers filed before court, Koele had indicated that on the day they appeared before the PAC, she and her colleagues were harassed, insulted and abused by members of the committee who went so far as tell her that she could give explanations which they do not like because “I am corrupt and I am a thief.”

At the heart of controversy, the PAC is investigating the award of a portion of the lucrative of the tender-valued at M100 million to Khatleli Tomane Architects (Pty) Ltd, a company co-founded by Minister of Public of Works and Transport, Matjato Moteane.