HARARE City Council officials met with the Ministry of Local Government and Public Works this week to raise concerns about Helcraw Electrical Projects, a company selected by the government for a major water infrastructure contract, the Zimbabwe Independent has learned.
Helcraw Electrical Projects, linked to Zanu PF legislator Farai Jere, was chosen to establish a new water treatment plant and supply water meters in partnership with Chinese firm Hangzhou Laison Technology.
However, Harare officials questioned Helcraw’s capacity, citing its unsuccessful bid to supply water meters in a US$2 million tender in 2023.
“A series of meetings have been held to discuss the agreement between the government and Helcraw Electrical Projects. On January 12, city officials, including acting water director Richard Kunyadini attended a meeting at Makombe Building,” a senior government official said.
“The meeting emphasised on the need to first conduct a due diligence on Helcraw Electrical Projects, focusing on whether they have capacity to fund the project.
“It was centred on privatisation of water and sewer services and introducing Helcraw who had signed a Memorandum of Understanding as the chosen investor without having gone through any tender process.
“The meeting focused on a number of issues that include whether Helcraw Electrical Projects had the financial and technical capacity to roll out the massive project. Officials also questioned whether Helcraw Electrical Projects had presented the proof of funding to finance the project.
“More importantly, the meeting questioned why a project of this scope could be awarded without first conducting a due diligence on Helcraw Electrical Projects,” he added.
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Confidential documents gleaned by the Independent explaining part of the project’s costs, indicate that Helcraw will be responsible for supplying prepaid metres for 350 000 properties at a cost of US$96 million and replacing a 100-kilometre pipe network valued at US$23 million.
Contacted for a comment, Jere requested for a meeting with this publication next week.
“Considering we have never met, l cannot share such details over the phone. You can schedule a meeting with my office next week,” Jere said.
Kunyadini, who also attended the meeting, referred questions posed by the Independent to mayor Jacob Mafume.
“The mayor is best placed to answer,” he said.
Mafume told the Independent that he was in Russia and no one queried the deal when it was signed last week.
"I am in Russia. I attend meetings to sign agreements. Not one person questioned their capacity in my presence," he said.
Mafume was among officials who attended the signing ceremony of the deal.
Questions sent to Local Government minister Daniel Garwe and Edmore Njoma, an engineer at the Local Government and Public Works ministry, who also attended the meeting, were also not addressed at the time of going to print.
Another source also privy to discussions at the meeting said those who attended agreed that the project could not be undertaken by one firm.