Infrastructure
With reference to the reply to question 5 of 13 June 2025:
- (a) What was the nature of the public–private partnership (PPP) proposed for the office accommodation as defined by the definition of a “public private partnership” in Treasury Regulation 16, (b)(i) when did the Western Cape Government (WCG) register the PPP with the National Treasury and (ii) what are the details in terms of the Regulations, (c)(i) when did the WCG commence with the “Feasibility Study – Treasury Approval: I”, (ii) who conducted the feasibility study and (iii) when was the feasibility study completed and (d) what are the details of the failure the proposed PPP to meet the “affordability” criterion as part of the “value for money” criteria;
- whether the WCG contracted with a “private party” for the purposes of the PPP; if not, how did the PPP project that the development costs of the PPP would be R1,1 billion; if so, (a) which private party was contracted and (b) how was the party procured;
- when did the WCG decide to cancel the PPP?
- (a) To procure new provincial office accommodation for the Western Cape Education Department
(b) (i) 17 February 2011
(ii)The project consisted of a 3 year design and build phase, followed by a 20 year operating phase to be undertaken by the successful bidder. The Department would be required to pay a unitary fee
(c) (i) 1 September 2011(ii)In terms of the PPP Regulations a Lead Transaction Advisor was appointed. This was KPMG
(iii) June 2012. National Treasury approval was given in November 2012
(d) The affordability of the project depended upon the WCG making a capital contribution. As the total capital contribution to reduce the unitary payment was not available at that time, this made the project unaffordable.
(2) The only appointment made was for the Transaction Advisors, with KPMG as the Lead Transaction Advisor. The development costs were determined as part of the feasibility study
- No bidder was appointed for the PPP
- No party was procured
(3) A request to deregister the PPP went to National Treasury in November 2017. In April 2018 National Treasury confirmed that the PPP had been cancelled.
