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Morupule B P8bn contract dispute heads to Parly

Kebonang
Kebonang

The construction of Unit 5&6 at Morupule B is headed for a prolonged delay after it emerged this week that a P8.5 billion-guarantee dispute between government and the contractor that has stalled works so far will have to be resolved by Parliament.

Parliament is currently on recess and will only resume business in July. Japanese contractor, Marubeni and Co. was last year awarded the tender to expand Morupule B power plant by another 300MW (Unit 5&6), but, at the last minute, demanded a P8.5 billion ($804 million) surety upfront as security for any potential payment defaults by the Botswana Power Corporation (BPC).

Unit 5&6 is Botswana’s first Independent Power Producers (IPP) project where the contractor funds the construction of the power station and recoup their investment from selling the power to BPC.

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Editor's Comment
Celebrate responsibly, put safety first this holiday

“Safety first is safety always”– Charles M HayesAs most people begin travelling across the country to spend the President’s Holidays with family and friends, there is every reason to embrace the joy and togetherness that this period brings.While holiday periods bring joy, they are sadly often accompanied by a rise in road accidents, violent incidents and other avoidable tragedies. Too often, families that set out to celebrate together end...

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