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DA demands investigation into abandoned R69 Million Ekurhuleni Distribution Centre

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DA demands investigation into abandoned R69 Million Ekurhuleni Distribution Centre

26th August 2024

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/ MEDIA STATEMENT / The content on this page is not written by Polity.org.za, but is supplied by third parties. This content does not constitute news reporting by Polity.org.za.

The R69 million distribution centre adjacent to the Ekurhuleni Fresh Produce Market (EFPM) stands vacant, raising serious questions about the efficacy of the market expansion warehouse project.

Built during the 2016–2021 council term, the distribution centre was intended to boost market demand, expand market share, create jobs, and enhance revenue through the improved procurement and distribution of fresh produce.

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These ambitious goals never came to pass.

The facility has stood unused for almost four years stimulating no financial return for the municipality, and is tantamount to fruitless expenditure of public money.

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MMC for Developmental Planning and Real Estate, Ald. Nomandlozi Nkosi, is tasked with fostering economic growth and supporting local agriculture.
This involves optimizing municipal agricultural land for emerging farmers and maintaining an efficient fresh produce market.

Funds allocated to this distribution centre could have been more effectively utilised for essential upgrades and maintenance of the existing market facilities.

A damning observation from the MMCs response to council questions about this project is that there have been six project managers who have either resigned or their contracts were allowed to lapse - including the project accounting officer.

The DA demands a thorough investigation into the allocation and utilisation of these funds.

It is crucial that this matter be handled with complete transparency and accountability to prevent any further mismanagement and to ensure that public resources are used effectively for the benefit of the residents of the City of Ekurhuleni (CoE).

 

Issued by Cllr Wollaston Labuschagne - DA Ekurhuleni Deputy Spokesperson for Economic Development Oversight

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