Government moves to recover funds from Belo overspending

SEHLOMENG LABANE

BUTHA-BUTHE – The government is working to recover public funds lost due to alleged irregularities and mismanagement in the Belo electrification project, as investigations into its implementation continue.   

Minister of Energy and Mining, Lejone Mpotjoane, made this statement during a media tour of the Belo Substation and Industrial Estate on Monday. 

He emphasized that suspending or dismissing officials involved in the project is not enough without also recovering the lost funds. 

The government needs to first determine the extent of the financial damage before deciding on appropriate recovery measures. Mpotjoane warned public servants against neglecting their responsibilities, highlighting that failing to properly execute assigned duties will have consequences.  

Tankiso Phapano, Principal Secretary in the Ministry of Energy and Mining, revealed that the ministry has initiated legal proceedings after discovering that the previous contractor received payments they were not entitled to during the electrification project. 

A financial reconciliation process is in progress to establish the extent of these irregular payments and the resulting losses.  Phapano noted that some officials who supervised the project have been suspended, while legal actions against others are ongoing. He explained that the project’s mismanagement has led to repercussions beyond financial losses, particularly delaying employment opportunities for individuals who were expected to work at the factories. 

“Money can be retrieved, but time lost can never be replaced,” he said. 

Many individuals who would have been working in the factories – had they started operations on schedule -missed the chance to earn a living during that time, something that cannot be recovered.  To prevent similar incidents in the future, Phapano stated that the ministry is enhancing project monitoring by ensuring officials conduct regular inspections of construction sites to assess progress and workmanship before handing projects over. He explained that these inspections will help identify defects early enough to take corrective measures before project completion. 

“To ensure that this mistake never happens again, officials are now going into the field to inspect the progress and quality of work done before the project can be handed over. This will help address mistakes before it is too late,” he said.  The ministry is also working to recruit more qualified personnel to oversee project quality while transferring technical skills to existing employees. Phapano added that the electrification project has been the main obstacle delaying the operation of the Belo Industrial Estate. Following improvements in the electricity infrastructure, the Prime Minister is expected to officially launch and hand over the factories.  

He detailed that the Belo Substation will receive electricity from two separate supply routes – one from Khukhune and another from Hlotse. 

This setup is designed to provide an alternative electricity supply should one of the lines experience technical issues, ensuring reliable power for the factories. However, Phapano noted that the Khukhune-to-Mopeli section is still incomplete, with inspections ongoing after the current contractor identified defects related to work previously done by the first contractor.   

Moreover, Phapano revealed plans for an indoor substation to be constructed at Khukhune to strengthen electricity supply to the industrial estate. He acknowledged that the government is facing financial challenges in completing the Khukhune-Belo line, partly due to losses incurred during the project’s implementation. 

He also mentioned that the World Bank, which is financing the electrification project, has expressed dissatisfaction with its execution, particularly regarding unnecessary expenditures incurred.  

The Belo Industrial Estate has experienced prolonged delays despite years of construction and government investment. Earlier this year, Minister of Trade, Industry and Business Development, Maqelepo Maqelepo, raised concerns about the project’s inactivity during a site visit. The construction of the industrial estate was officially launched with a sod-turning ceremony in March 2018. Although the factory buildings have been completed for some time, operations have yet to commence. 

Over the years, the project has drawn visits from Members of Parliament, parliamentary committees, Cabinet ministers, and other government officials seeking to assess progress and understand the reasons behind the delays.   

During the recent tour, journalists were shown the switching room and substation facilities, and they inspected concrete blocks demolished by the current contractor for failing to meet construction standards.