MEC defends millions for aborted monorail project

Gauteng's public transport, roads and works department has defended paying R2,8m to a Malaysian consortium for a pre-feasibility study into an aborted monorail project that was to have linked Soweto with central Johannesburg.

The Democratic Alliance (DA) last week slated the department for spending money on the project after it was cancelled.

Public transport, roads and works MEC Bheki Nkosi said on Friday Powerhouse Consortium was paid R2,8m for the study on the project for the Soweto corridor and the possibility of extending it to Ekurhuleni and Tshwane.

Former finance MEC Paul Mashatile and former public transport, roads and works MEC Ignatius Jacobs unveiled the plan in May 2007.

Gauteng DA leader Jack Bloom said last week spending money on the study was even more wasteful because the province should have stopped all the contracts after it had announced on June 1 2007 that the R12bn monorail plan was "put on hold until such time that the necessary process, including consultation, had been undertaken."

Bloom said the DA would ask the auditor-general today to investigate "fruitless and wasteful" expenditure.

The department paid R1,377m to Powerhouse in July 2007, R879000 in September 2007 and R594000 was paid in December 2007.

Nkosi denied the province had cancelled the project, as claimed by the DA last week. He said former transport minister Jeff Radebe had said he was not adequately consulted, and that the monorail should demonstrate it could benefit the whole province.

"Monorail still has the potential along with other modes of public transport such as subways. We are not working on monorail, but this does not mean that we won't do it in the future," Nkosi said.

He said the report compiled by Powerhouse was submitted to the Department of Transport before the elections in April last year.

Deputy Transport Minister Jeremy Cronin said the National Land Transport Act indicated that the railways were the national government's competency, not that of provinces and municipalities.

Inet-Bridge

Posted at 09:24AM Mar 08, 2010 by Editor in Market  |  Comments[1]