File image
JOHANNESBURG - Proudly South African, which promotes the procurement of locally produced goods and services, recently launched its tender monitoring system.

The system trawls the websites of state-owned enterprises (SOEs) for state contracts and matches them with qualifying corporate members to bid for.

Proudly SA chief executive Eustace Mashimbye said the system, which cost about R10 000, monitored and scrutinised government contracts to ensure they complied with the Preferential Procurement Policy Framework Act.

The legislation was aimed at governing procurement of local goods and services to stimulate much-needed economic growth by creating jobs.

In a telephone interview with Business Report, Mashimbye said: “Our system finds the tenders when they are issued in the public sector websites. We check if the tender complies with provisions of the legislation. If not, we refer them to the Department of Trade and Industry’s industrial procurement unit for enforcement.”

He said the system had been received “quite well” by the sector, adding that parastatals refusing to amend their tenders would be flagged and referred to auditor-general Kimi Makwetu.

Mashimbye said they would be meeting with the heads of SOEs and engage them on the legislation, which he said would help the government to realise its black industrialists' programme.

Some of the SOEs that have come under fire for tender irregularities include power utility Eskom.

Former acting chief executive Matshela Koko came under scrutiny after awarding a R7 billion coal contract without a tender in August last year, to then Gupta-owned Tegeta Exploration and Resources.

Koko, according to investigative journalism unit AmaBhungane, did this despite being warned by the National Treasury that the contract could be irregular.

Last month, the Gupta family sold the mining company to Swiss-based Charles King SA for R2.97 billion.

The sale was announced two days after the immigrant Indian family sold their 24-hour news channel, ANN7, and The New Age newspaper to their ally, Mzwanele Manyi, for R450 million.

-BUSINESS REPORT