The Makana Goat Farmers Co-op has failed to adhere to conditions of funding determined by its contractor, Thina Sinako. Along with this fallback, tensions have been mounting within the project management, which is further delaying the progress of the project.
The Makana Goat Farmers Co-op has failed to adhere to conditions of funding determined by its contractor, Thina Sinako. Along with this fallback, tensions have been mounting within the project management, which is further delaying the progress of the project.
The Project Management Committee (PMC) made it clear during a recent meeting that it has serious doubts on the viability of the project.
The PMC recently brought its concerns to the attention of the project’s main funder, Thina Sinako, an local economic development flagship of the provincial government.
In a letter they have stated that the failure of the co-op to comply with the condition of the repayment of an ineligible expenditure of R101 917.50 as well as the failure of the beneficiaries to sign surety agreements has caused a delay in the Umvimba loan to be paid out.
Other concerns relate to poor governance within the co-op, arguments between the chairperson and the project manager and a lack of commitment from the beneficiaries, management and project manager.
The project’s progress report was discussed at a recent Economic Development, Tourism and Heritage Portfolio Committee (EDTH) meeting.
Councillor Thandeka Veliti said that this is a project that frustrates her. “I think this is not a good report. It seems here that this project is not developing, it is just standing in one place.”
She said that the minutes of the PMC meetings read of personal vendettas and did not speak in the interests of the project’s vision, while a lot of funding has gone into the project – around R4-million so far.
“As an institution, there is nothing we can do with the daily activities of the project. But we need to intervene to save the people because at the end of the day if this project is not moving, it means the people involved in the project are going to pay back this money and where will they get that money?”
She suggested that the municipality needs to intervene. Councillor Michael Whisson added that the amount of money that has been spent on this project is astronomical and there has been no progress.
EDTH Director, Riana Meiring made reference to the interventions that were taken to assist the project. These were listed in the letter sent to Thina Sinako and include the scheduling of meetings with project beneficiaries to discuss the concerns in efforts of salvaging the project.
Since no commitment and effort has been made by the co-op to comply with the funding conditions, the PMC has recommended to the contracting authority that no further expenditure should take place against this account.
“The PMC would also like to inform the contracting authority that it has serious doubts of the co-op implementing this project successfully,” the letter read.
Meiring concluded that a recommendation be made within 14 days and that a meeting takes place with the beneficiaries and the coop as soon as possible.
