Lindiwe Sisulu
|
Sisulu gets Airbus to repay R2.9bn |
| Publication |
The Times |
| Date | 2011-07-01 |
| Reporter | Anna Majavu |
| Web Link | www.timeslive.co.za |
Lindiwe Sisulu
Defence Minister Lindiwe Sisulu flew to France last week to demand
that European aircraft maker Airbus settle a R2.9-billion debt.
Maomela Motau, chairman of state arms company Armscor, told parliament's
defence portfolio committee that Sisulu met her French counterpart, Gérard
Longue, and won a commitment that the debt would be settled promptly.
Sisulu ended a R30-billion government contract with Airbus in 2009 after
repeated delays and price increases.
The deal was for the purchase of eight giant A400M military transporters capable
of moving helicopters and tanks.
Airbus was required to refund pre-payments totalling R2.9-billion.
After Airbus rejected Armscor's suggestion that it pay the R2.9-billion in five
instalments, Armscor demanded that Airbus pay up within 15 days.
"Airbus was not actually very keen . we met Airbus last week. The delegation to
France was headed by the minister of defence and they have indicated to us that
the issue was not about the money. Airbus can pay the money overnight if need
be, but the issue was to lock us into some sort of a relationship," Motau said.
Motau said Sisulu had met Longuet, who gave an undertaking that Airbus would
repay the money.
"We want to believe that the issue of Airbus will be finalised very soon," said
Motau.
According to Armscor, Airbus had tried to link the cancellation of the contract
to R4-billion in industrial contracts it has with various South African
manufacturers, suppliers and research institutions.
"At this late hour, Airbus was trying to link them . trying by all means to lock
us into those," said Motau.
He said the contracts were not connected and that companies such as Denel, which
has its own separate contracts with Airbus, might have to sue or demand that
Airbus honour its contracts.
The Airbus deal was concluded by Mosiuoa Lekota in 2005, when he was defence
minister, though he had reportedly been told by the defence force that
the planes were not needed.
The spiralling cost of the Airbus aircraft came to light only in 2009
when auditor-general Terence Nombembe identified the R2.9-billion paid by
Armscor as "possible irregular expenditure".
When Armscor's former CEO, Sipho Thomo, later appeared before the parliamentary
defence committee, he revealed that delivery of the aircraft was four years
behind schedule and that the original R17-billion cost had ballooned to
R47-billion.
With acknowledgements to
It's great to see the good Anna
writing for the Sunday Times.
It's also great to see the good Lindiwe doing something useful for a change.
Dig the hat.
But until the money's actually in the Reverse Bank, I reserve any further cudos.
But hopefully now the DoD has the money to pay for Project Biro.
Hooray.
What it should have done 13 years ago.
Instead of 4 half-arsed Kamerman Klas Korvetten with short willies and a
galvanic problem, for R15 billion and counting, we could have had nine offshore
patrol vessels and nine inshore patrol vessels, with a couple of bob to spare.
All the Somali pirates, Japanese Yellowfin Tuna ((Thunnus albacares) fishers,
Taiwanese Patagonian Toothfish (Dissostichus eleginoides) fishers, Spanish
Orange Roughy (Hoplostethus atlanticus) fishers and Hawston Abalone (Haliotis
midae) smokkelaars would have been annihilated from the region.
Maybe we could still get a fish and chips that was not Benguela Hake (Merluccius
poli).
No, Lindiwe, OPVs and IPVs are not good for anti-rhino poaching.
And no, rhino horn does not cure short willy syndrome nor galvanic problems.
All the OPVs and IPVs could have been built in sunny South Africa with a 70%
plus local content.
Jobs high-tech and low-tech, technology, fiscal retention, infrastructure,
know-how, support..........................................>
Maybe Denel might even have been saved.
Instead of leeching about R5 billion a year of our taxes to save its sorry self.