THE final forensic audit report on Zesa Holdings (2019) by
PricewaterouseCoopers has revealed that former Finance minister Patrick
Chinamasa approved the proposal to award Wicknell Chivayo’s Intratrek the
US$183 million Gwanda Solar Project tender in 2013 ahead of China Jiangxi,
which had won the tender.
The audit report was tabled before Parliament last week by
Energy deputy minister Magna Mudyiwa.
It states that although China Jiangxi had won the tender
and had offered to complete the project at a cost of US$183 708 238, Intratrek,
which had ranked second then, broke the State procurement regulations and
lobbied former Energy ministers Elton Mangoma and Dzikamai Mavhaire to be
considered for the project.
In turn, Mavhaire is said to have called for a meeting with
Chinamasa, where he recommended that Intratrek be considered and then Chinamasa
approved it.
But the Gwanda 100-megawatt solar project never took off
even though more than US$5 million initial payment had already been made to
Chivayo.
“We held discussions with engineer Fambi and a Mr Mharadze
to obtain an understanding of the basis on which the adjudication committee
recommended the appointment of Intratrek Zimbabwe for the Gwanda solar project.
Engineer Fambi explained that the adjudication committee did not recommend the
appointment of Intratrek in its tender evaluation report,” read the forensic
audit report.
“We further noted that on January 13, 2014, (former
Zimbabwe Power Company managing director, engineer Noah) Gwariro wrote a letter
to the State Procurement Board in which he recommended the appointment of a
second 100-megawatt contract to Intratrek Zimbabwe, who had ranked second in
the evaluation of tender number ZPC HO 10/2013.
“We interviewed engineer Gwariro who informed us that the
variation was made on the basis of directives which were made by the former
Minister of Energy, Mavhaire. He also informed us that Intratrek had lobbied
with Mangoma and Mavhaire to be considered for the project and that this was
improper conduct,” the auditors said.
The auditors also revealed that the directives from Mangoma
to award Intratrek the contract were done verbally without documentation to
prove that the directive had indeed come from the ministry.
“Engineer Gwariro’s request to appoint Intratrek Zimbabwe
who was ranked second in the evaluation was in contravention of section 31(m)
of the Procurement Act which states, ‘the procuring entity shall accept
whichever valid tender offers the lowest price, unless other criteria are
specified in the solicitation documents, in which event these criteria shall be
followed’,” the auditors said.
They said Mavhaire then called for a meeting which was
attended by Chinamasa and former State Procurement Board (SPB) principal
director Cledywin Nyanhete.
“Mr (former Energy permanent secretary Partson) Mbiriri
further stated that at the said meeting, Chinamasa approved the proposal and
instructed the SPB to implement it accordingly. However, at the time of
drafting this report, verbal indications from former secretary in the Ministry
of Finance, Willard Manungo, were that they were not aware of the meeting
having been held,” the forensic audit report said.
However, section 20(5) of the Procurement Act stipulates
that any direction given by the President or any minister to the SPB must be
gazetted.
The forensic audit also revealed that Gwariro continued to
disregard provisions of the Procurement Act and wrote to the SPB to direct that
Intratrek Zimbabwe’s bid be considered. Newsday
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