Former RCC Bosses Get N$435 Million Tender

FORMER Road Contractors Company (RCC) chief executive officer Kelly Nghixulifwa and his business partner Elia Erastus are the black economic empowerment face of the N$435 million road contract.

The two co-own Nexus Group that was issued the tender by the Roads Authority, beating President Hifikepunye Pohamba’s daughter, Kaupomhote, who was also shortlisted for the same job.

Even though Kaupomhote lost the race to land the construction job, she is now chasing another State contract worth N$47 million.

Corruption accused Nghixulifwa owns 26% shares in Nexus while Erastus has 4%.

RA chief executive officer Conrad Lutombi yesterday announced the tender winner who will build the Namalubi, Isize and Luhonono roads in the Zambezi Region.

The length of the road is 57 kilometres and will be completed in 30 months while 10 small and medium business enterprises are set to be roped into the project that is estimated to create 300 jobs.

Even though Lutombi refused to provide the scorecards of the tender process, the CEO insisted that the process was legal and followed the rules of the parastatal.

The 10 SMEs hand-picked to work with Nexus are Oshikoto Road Services, Mbango Constructions, Larissa Investment, Dhipah Trading, Omupondo Construction, Shipiki Multi Enterprises, Flame Investment, Amakali Construction, RN Mavenjono and Epatuluko Tradings.

The job in question is linked to one of the darlings of State contracts Kaupomhote’s Kata Investment which has joined the scramble for contracts in the civil engineering sector.

Even though the daughter of the Head of State lost out on the Road Authority’s N$400 million contract, the 26 year-old Kaupomhote’s company is among the 12 bidders vying for the multi-million dollar job from the Ministry of Agriculture, Water and Forestry.

Kata has teamed up with a Chinese parastatal China State Construction for that contract.

Kaupumhote and her business partner, Taschiona !Gawaxab have become the sweethearts of powerful Chinese State companies who have lured them with their financial and machinery muscle in the civil engineering sector.

The weekly Tender Bulletin said Kata Investment is competing with Salute Trading – a joint venture with Palladium Investment – KSP Properties, Eurika MampD, and Shipateko Trading that is in partnership with Skyroll Consultancy and Harabee Water Investments.

Other companies are Tenth Investment that is in partnership with Water Engineering Africa, Tsoaxub Construction, Abland Engineering and Construction and R Hoases Trading with R Khunuxab Investments. There is also Lau Tom Construction and Technonam.

Tender requirements are that the bidder should be a fully Namibian-owned small and medium enterprise while preference will be given to companies that provide market related quotations.

Kata tendered the second lowest bid with N$47 million for the construction of bulk pipelines, elevated storage reservoirs, ground reservoir, booster pump station and manifold water meter installations from Ondangwa to Omuntele in Oshikoto Region.

The President’s daughter is also in the running for the construction of an RA gravel road from Epato, Otamanzi and Onaushe in the Omusati and Oshana regions.

The RA invited experienced civil engineering contractors to team up with small and medium enterprises for the construction of the 36, 2 km gravel road.

The tender closed on 13 August 2014 where Kata bid the highest in that tender with N$81 million meaning that she is now in the running for close to N$150 million worth of State contracts.

Pohamba’s daughter has so far received contracts from government entities worth over N$116 million in a space of 12 months. That amount is likely to go up by N$150 million if she gets the two contracts she is after.

In the print edition of this article we wrongly linked businessman Elmo Kaiyamo to this contract. We regret the error. This online article has been corrected.

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Source : The Namibian