02 Jun SAICE raises concerns related to the SANRAL Board decision to cancel tenders
02 June 2022 The South African Institution of Civil Engineering (SAICE) has responded to the cancellation of recent tenders by the South African National Road Agency Pty Ltd (SANRAL). Professor Marianne Vanderschuren, President of SAICE, states that SAICE has reached out to the Board of SANRAL to provide it with an opportunity to discuss its concerns, as well as provide recommendations to assist in overcoming the current impasse.
SAICE acknowledges the SANRAL Board’s desire for transparency in the supply chain process. “We understand the objectives behind the board’s resolutions at SANRAL, and applaud the organisation’s intentions towards the transformation of the industry and maximising the participation of local communities in SANRAL projects.”
However, Prof. Vanderschuren explains: “Our members work for public sector structures including SANRAL; consulting engineers; contractors; in the supplier network, as well as academia. The impact that the cancellation of these tenders is going to have on the civil engineering industry, the economy and the South African population is monumental. We are committed to working with SANRAL to find mutually beneficial solutions.”
She adds that one of the most critical concerns is the fact that professional engineers are bound by the Engineering Professions Act (no. 46 of 2000) and by its Code of Conduct, with particular reference to Clauses 3.1 and 3.5. These clauses state: “Registered persons may not review the work carried out for a particular client by another Registered Person…”.
“Requesting a consulting firm to undertake the bid evaluation, which will require them to review all designs and construction processes, is not covered under the exceptions to the Clause 3.5 of the Code of Conduct. Any consulting firm that accepts this work may be in contravention of the Act and may result in prosecution against them.”
“Based on our understanding of the Code of Conduct, it is both concerning as well as unethical for another professional engineer, or even team of professional engineers to carry out the evaluation of these projects especially within the limited timeframe given.”
Impact to Consultants and Contractors is Detrimental
SAICE has highlighted additional concerns including the impact on the already ailing construction sector. “Contractors carry billions of Rands worth of plant and equipment and require a steady stream of projects for survival. During the COVID period, many contractors and sub-contractors have closed, due to inadequate workflow, a situation which could further be exacerbated by delaying the awarding of these tenders,” Vanderschuren explains.
In addition, she points out that: “In going out to tender so soon after the cancellation, tender prices are in the public domain, which will allow those who were not the preferred bidders in the past to simply adjust their prices to win the bid. This could lead to claims of tender rigging and further delay the projects.”
Further, SAICE indicates that the time that it would take another consultant to understand and review the designs for these multi-billion rand, highly-complex projects, before being in a position to competently evaluate the technical bid submissions, would not possibly be carried out within the 4-month period allotted to the overall process.
Prof. Vanderschuren concludes: “The cost to the economy and society, due to the delay in these critical infrastructure projects aimed at improving both the lives of our people and their access to economic opportunities is something that our country cannot afford.”
Ends
Contact details:
Nthabeleng Lentsoane
SAICE Head of Marketing
(011) 805-5947
About SAICE
The South African Institution of Civil Engineering (SAICE) is a learned society and voluntary organisation that acts as a catalyst for innovation and good practice in the development of the civil engineering profession. SAICE has a membership base in excess of 15 000 Civil Engineering professionals, and is involved in the development of policies, standards, structures, and systems that impact infrastructure at national and international levels