The Minister of Local Government and Public Works, July Moyo has directed Harare City Council (HCC) to rescind resolutions which seek to suspend the contract between the local government authority and Geogenix B.V on Pomona Waste to Energy project. HCC councillors have said the deal is bad and was imposed on the local government authority by the central government. In a statement seen by Pindula News, Moyo said the accumulation of arrears by Harare was a direct result of the city fathers’ neglect of the contract. Reads the statement:
His Worship the Mayor
City of Harare
DIRECTIVE IN TERMS OF SECTION 314 OF THE URBAN COUNCILS ACT (CHAPTER 29: 16) FOR COUNCIL TO RESCIND RESOLUTIONS MADE BY IT ON ON 2 JUNE 2022
The minutes of the meeting held by your Council on 2 June 2022 refer.
I have noted a number of resolutions were made in that meeting, the most notable being:
1. That Council appoints a Special Committee in terms of Section 100 of the Urban Councils Act (Chapter 29:16) to investigate the Pomona Waste to Energy Project and report to Council in two (2) weeks time.
2. That Council mandates His Worship, the Mayor to nominate members of the Special Committee who will include specialists from outside Council.
3. That Council hereby approves the following as terms of references for the Special Committee.
4. That the contract between the City of Harare and Geogenix B.V on the Pomona Waste to Energy Project be suspended with immediate effect.
Pursuant to the passing of the resolutions, your Council, through the office of the Town Clerk advised the Ministry, through a letter dated 10 June 2022, that they were unable to pay the sum invoiced for the month of May.
In terms of your contract, the passing of a resolution does not in any way expunge the obligations set out in the contract by operation of law. The obligations remain pending unless and until a consensus is reached by the contracting parties.
Needless to say, the failure and or neglect to pay the May Invoice has serious repercussions, not only with respect to Council’s obligations, but also on Government who is the Guarantor of the project. Your failure and or neglect to pay has resulted in accumulation of arrears including interest due to the project. In my considered view, the above-mentioned resolutions were gratuitous and not in the interests of the inhabitants of Harare and the public at large, a burden which is now cascading to the inhabitants and therefore cannot be allowed.
In any case, in our reading of your contract with Geogenix B.V there is no provision for unilateral action by either Party to suspend the same.
I accordingly direct, in terms of section 314 (1) of the Urban Councils Act [Chapter 29:15], that Council immediately rescinds the resolutions cited above which seek to suspend the contract between the City of Harare and Geogenix B.V on the Pomona Waste to Energy project.
Ho J. G. Moyo
Minister of Local Government and Public Works
CC: Minister of Finance and Economic Development, Hon. M. Ncube Attorney General, Adv. P. Machaya Minister of State for Provincial Affairs, Harare Metropolitan Province, Hon. 0. Chidawu Deputy Minister of Local Government and Public Works, Hon. M. Chombo Chief Secretary to the President and cabinet, Dr M. J. M. Sibanda Deputy Chief Secretary to the President and Cabinet, Eng. A. Marawa Permanent Secretary, Minister of Local Government and Public Works, Z. Churu Secretary for Provincial Affairs and Devolution, Harare Metropolitan, Mr. T. Muquti, The Acting Town Clerk, Harare City Council, Eng. P. Moyo Executive Chairman, Geogenix BV, Mr.D. Nguwaya