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Reading: ActionSA Challenges R194 Million Tender to Nigerian-Linked Firm
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The Africa Daily Post > Business > ActionSA Challenges R194 Million Tender to Nigerian-Linked Firm
BusinessSouthern Africa

ActionSA Challenges R194 Million Tender to Nigerian-Linked Firm

Kholofelo Morena
By Kholofelo Morena Published February 16, 2025 3 Min Read
Korone Engineers
Korone Engineers office in Potchefstroom, South Africa
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Johannesburg, South Africa – ActionSA is demanding answers from Johannesburg Mayor Dada Morero and Transport MMC Kenny Kunene over a R194 million tender awarded to Korone Engineering for the reconstruction of Lilian Ngoyi Street.

The party raised concerns after visiting the Lilian Ngoyi Street (formerly Bree Street) construction site and discovering that Korone Engineering is co-owned by a South African and a Nigerian-born engineer. The contract was previously given to a company operated by Zimbabwean nationals, but it was later revoked due to tax clearance issues.

“ActionSA is deeply concerned by this recurring pattern, which appears to prioritise the interests of foreign nationals over those of South Africans,” the party stated.

ActionSA is questioning whether due diligence was conducted before awarding the contract, if procurement procedures were followed, and what measures were taken to ensure transparency. The party has also called for accountability regarding any allegations linked to the tender process.

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Mayor Morero has not responded to queries, while Transport MMC Kunene has also remained silent. Patriotic Alliance (PA) leader Gayton McKenzie commented on social media, stating he was unaware of the latest appointment.

“All I know is that a previously appointed company was Zimbabwean, and I’m told that they have been removed. The PA will demand answers and will revert back. We will never allow this,” McKenzie posted on X.

When questioned about Kunene’s role, McKenzie stated that MMCs do not approve tenders but provide oversight. “That oversight role is now much needed, Kunene. No Nigerians should get tenders in SA,” he added.

Mayor Morero recently announced that R194 million had been allocated to repair Lilian Ngoyi Street, which was severely damaged by a gas explosion in July 2023. The blast killed over 15 people and left a key transport route in Johannesburg’s CBD inaccessible.

Morero said the project is expected to be completed by August 2025. “We want to reaffirm to the people of Johannesburg that come August 2025, the road will be functional, and all motorists will be using the road,” he said, adding that efforts will be made to avoid cost overruns.

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Kholofelo Morena
By Kholofelo Morena
Southern African Correspondent based in Johannesburg
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