Khato cut cost of multimillion pula project

Friday, August 23, 2019

Critics blame the contractor for the ballooning of the project's budget

Documents perused by Mmegi have revealed that contrary to perceptions that the winning bidder, Khato Civils were responsible for the P900 million project cost hike that was recently put before Cabinet, and later surfaced in Parliament, the amount of cost estimates was done by the parent Ministry and Water Utilities Corporation’ (WUC).

It was also tabled before Cabinet way before the tender award was announced, the documents revealed.

The documents also established that when the award of the tender was announced, Khato’s winning bid was put at P781 million or USD 65 million, while the Ministry’s own project estimate later surfaced to be P900 million. Critics questioned the price hike and blamed the contractor for the ballooning of the project budget.

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