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Home / Zhong Mei wins million-dollar Erongo road tender

Zhong Mei wins million-dollar Erongo road tender

2023-08-14  Eveline de Klerk

Zhong Mei wins million-dollar Erongo road tender

WALVIS BAY – The Roads Authority (RA) has once again awarded a road rehabilitation tender to Zhong Mei Engineering Group.

The Chinese-owned company, in collaboration with four local contractors, is set to undertake the rehabilitation of a 30-kilometre road segment between Usakos and Karibib at a total cost of N$343 million, starting next month. 

The funding for this project is provided by the KfW Development Bank through a loan to government.

The Usakos-Karibib route is part of the Trans-Kalahari Highway (B2), and it is of national and international significance because it connects to the port of Walvis Bay.

 It is also one of the busiest roads in the country due to cargo destined for landlocked countries, such as Botswana, Zambia and Malawi, being transported daily from Walvis Bay.

As stated by the RA in a media statement issued Friday, the four local subcontractors have been assigned specific tasks as outlined in the tender.

 Investment Holdings will focus on bridge works, Tangeni OM Trading will handle culverts and drains, West Trading will be responsible for concrete kerbing and paving, and Alugodhi Trading CC will carry out gabions and guardrails. 

The combined value of these contracts is N$63 million, making up 25.18% of the overall contract amount.

Repairing and upgrading this road is part of building 2+1 lanes from the Okahandja-Karibib route, which will continue to Swakopmund and eventually connect to the Dr Hifikepunye Pohamba freeway behind Dune 7.

RA CEO Conrad Lutombi was quoted as saying that approximately 500 jobs will be generated during the construction period of the project. 

“Construction work is scheduled to commence in September, with a projected completion timeline of 18 months. During this period, the RA will ensure that works are carried out diligently to minimise any inconvenience to motorists and residents in the vicinity,” he said.

Lutombi further indicated that the selection of the successful bidder followed the Open International Bidding (OIB) process in accordance with the Public Procurement Act and KfW procurement guidelines.

“The bidder evaluation and subsequent selection were carried out in accordance with Section 52 of the Public Procurement Act and the stipulated requirements detailed in the issued bidding document both during the pre-qualification and bidding phases. As such, Zhong Mei Engineering Group fully met all the specified criteria,” he explained.

Additionally, Lutombi highlighted that a seven-day standstill period was adhered to in compliance with the Public Procurement Act, allowing bidders to raise any objections after the bid evaluation was completed. 

Only one objection was raised, which was appropriately addressed before proceeding with the award.  However, he said, any aggrieved bidder may still approach the review panel to seek recourse.

According to him, the project marks a significant step towards enhancing the country’s infrastructure and improving road safety on the B2 road. 

Zhong Mei has since 2015 been involved in major road rehabilitation and construction projects, including the N$1 billion project to construct a 21km road between Windhoek and the Hosea Kutako International Airport. 

The company was previously also awarded a N$755 million contract in 2016 for the construction of the Swakopmund-Henties Bay-Uis road.

The company recently made headlines when tax authorities deducted N$30 million from its account as a result of evading tax.

- edeklerk@nepc.com.na


2023-08-14  Eveline de Klerk

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