Cape Town - A long-term contract to build a reservoir for the rapidly developing Blaauwberg area was approved on Wednesday, a city of Cape Town official said.
The Contermanskloof reservoir would cost around R10 million to design and R90m to construct, said utility services mayoral committee member Ernest Sonnenberg.
It would have a storage capacity of 100 megalitres once built.
The city council approved the awarding of a long-term contract, longer than three years, thus securing rates for the entire construction period without requiring a re-tender.
“Furthermore it ensures continuity of the contractual and design responsibilities, obligations, and liabilities of the preferred bidder,” said Sonnenberg.
He said the process abided by the Municipal Finance Management Act.
“The funding for this project has been provided for in the recently approved budget, as well as in the water and sanitation department's current ten-year budget plans.”