Hertta-Maria Amutenja
TransNamib’s procurement of 23 new locomotives worth N$1.7 billion has come under scrutiny, with concerns raised about the transparency of the process.
The Affirmative Repositioning’s leader, Job Amupanda has called for the cancellation of the acquisition of new locomotives, arguing that the use of direct procurement is inappropriate for a deal of this scale.
He claims the process lacks transparency and is being rushed to benefit “white interests” before the new administration takes office in March 2025.
Amupanda has also levelled accusations against TransNamib’s chief executive officer (CEO), Desmond van Jaarsveld, accusing him of orchestrating the deal for personal and political gain.
“As you read this, Desmond van Jaarsveld has already started negotiating the deal with the supplier who will lubricate and grease them. Imagine the scale of bribes and tips involved. We are in trouble if we don’t stand up! There will be no country left for our children if we don’t fight,” he said.
Amupanda’s concerns focus on the fact that the tender was not publicly advertised, suggesting that it could be a form of corruption.
He argued that direct procurement should not be used when such a large-scale project is at stake.
Last year, TransNamib announced plans to purchase 23 new locomotives as part of a major fleet upgrade to boost the country’s rail transport capabilities.
In June 2024, the company secured funding from the Development Bank of Namibia (N$500 million) and the Development Bank of Southern Africa (N$2.1 billion).
At the time, Van Jaarsveld explained that the company would also spend N$311 million to rebuild seven existing locomotives, N$29 million to upgrade the workshop, and N$249 million to procure 300 waggons.
Currently, 80% of TransNamib’s locomotives are over 50 years old.
In a letter dated 28 January to Van Jaarsveld seen by the Windhoek Observer, the Central Procurement Board of Namibia’s (CPBN) chief executive, Idi Itope confirmed the board’s approval for TransNamib to acquire the locomotives through direct procurement.
Direct procurement will allow TransNamibia to award a contract to a supplier without a competitive bidding process.
“This letter serves to provide an update on the project: Supply, Delivery and Commissioning of 23 New General Electric (Wabtec) Diesel Electric Locomotives. The board, at its meeting held on 03 October 2024, approved the bidding document for the above-mentioned procurement project,” Itope informed van Jaarsveld.
He explained that the decision was made based on the information presented in the IPP and the specifications in the bidding document.
“Based on the information presented in the IPP and the specifications in the bidding document, Wabtec is the only supplier of the required locomotives,” said Itope.
Direct procurement according to section 36 (2) (a) is permitted where only one supplier has the exclusive right to manufacture the goods or to supply the goods, works, or services to be procured, and no suitable alternative is available.
It remains unclear how the Central Procurement Board of Namibia (CPBN) approved the direct procurement method for a contract exceeding N$1 billion, given that the regulations only allow a maximum of N$15,000 for direct procurement.
This method is typically reserved for small quantities of goods, services, or minor works.
Exceptions to these regulations are currently granted to the Namibian Defence Force, Namibian Police Force, Namibia Correctional Services, and Namibia Central Intelligence Service.
These entities may receive either general or specific exemptions—for a specified or unspecified period—from certain procurement provisions when they are deemed impractical or inappropriate for acquiring security-related goods, works, services, or property.
According to Itope, the bidding document was issued to the bidder on 14 October 2024, with the initial closing date set for 05 November 2024.
He said a request for an extension of the deadline for submission was received from the bidder on 18 October 2024.
On 7 November 2024, a request to amend the bidding document was received from TransNamib and subsequently adjudicated by the board on 21 November 2024.
“The board approved the first extension request with the new deadline set for 5 December 2024. Due to the amendments, various clarification requests from the bidder and the issue surrounding a price adjustment formula and currency of the bid, the board granted the latest extension for the submission of the bid with the new date set for 15 February 2025,” said Itope.
Questions sent to Van Jaarsveld were not answered at the time of publication.
