The DA welcomes a resolution passed in the Legislature today (subs: Thurs, 8 Oct) to investigate the controversial appointment of Phakisa Fleet Solutions to manage the Eastern Cape provincial government vehicle fleet. Given the ANC infighting, one wonders if this is not the usual “jobs for pals” scramble.

The R3 billion tender is a matter of concern, especially in view of a report by Independent News and Media that Phakisa Fleet Solutions is owned by four black empowerment companies of which most of its directors are allegedly also on the board of Bosasa, a security company whose R2 billion tenders were the subject of a Special Investigations Unit report recently.

The bid document explicitly stated that experience was a prerequisite. Phakisa’s BEE partners, who have a 40 % stake in the tender, is alleged to be mostly young and inexperienced with no fleet management credentials.

It is disconcerting that a Gauteng-based company as preferred for tenders in the Eastern Cape, where job creation and opportunities should be the priority for awarding tenders.

The motion by the ANC was supported by the DA after a consultation process which included our concerns. The resolution of the House compels the Departments of Transport and Finance to provide a joint committee of the portfolio committees with a report on how the process of appointing this service provider was handled.

For further information, please contact Dacre Haddon MPL on 079 694 3788

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