Innocent Sibonginkosi Ncube
Zim GBC News Editor
BULAWAYO – The Bulawayo City Council is deeply divided over how to handle the long-stalled Egodini Mall project, with officials fearing costly legal action if they cancel the lease agreement with South African contractor Terracotta Trading (Pvt) Ltd, which has failed to deliver the promised US$60 million redevelopment after more than a decade.
Awarded the tender in 2012 to transform the Basch Street terminus into a state-of-the-art regional transport and retail hub, Terracotta has made negligible progress.
The situation reached a critical point in July when the contractor proposed slashing the project’s investment value from US$60 million to a mere US$10.5 million, a move that sparked immediate calls for contract termination.
According to the latest council minutes, a clear consensus emerged among city fathers that the contract should be cancelled. However, the meeting revealed deep fears about the consequences of such a decision.
Councillor Ntandoyenkosi Ndlovu highlighted the public’s frustration while warning of the risks.
“Residents wanted to see the Egodini project completed,” he stated.
“Cancellation of the project would lead to a court battle, which would also take long without any development. He also expressed concern about the huge amounts to be paid (US$3 million) to Terracotta upon cancellation for the development so far.”
This cautious approach was supported by Councillor Josiah Mutangi. However, others, like Councillor Dumisani Netha, demanded decisive action.
“He expressed concern why the council was being patient with the Egodini contractor. The contract should have been cancelled a long time ago,” the minutes read.
The council’s legal office clarified that the law offers little flexibility for Terracotta’s proposed downgrade. A council report stated,
“The legal officer explained that if the contractor had revised the amount and pegged it at US$10,5million, then there was no option but to cancel the contract.”
The project has been mired in controversy for years, with allegations of bribery in the tender process and repeated failed deadlines. The government has also expressed dismay, with Provincial Affairs Minister Judith Ncube previously summoning the contractor to explain the delays.
While a taxi rank and vending bays were opened last year, the grand vision for a major mall remains unfulfilled, leaving the council trapped between a frustrated public and the threat of litigation.
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