Controversial Local Government Minister, July Moyo has ordered the Harare City Council to stop its investigations into the highly scrutinized Pomona Dumbsite deal.
In a letter, Moyo ordered Harare Mayor, Jacob Mafume to seat out on looking into the deal which will see the council paying Netherlands-based Geogenix BV, US$344 million for a period of 30 years.
Council has already defaulted on the ‘agreed’ US$40,000 per day deal, which mandates HCC to dump waste it has collected at its own cost.
However, Moyo insisted that the money be paid without fail.
“The failure and or neglect to pay the May invoice has serious repercussions, not only with respect to council’s obligations but also on the government who is the guarantor of the project,” said Moyo.
He noted that HCC’s failure and or neglect to pay has resulted in the accumulation of arrears including interest due to the project.
“In my considered view, the above-mentioned resolutions were gratuitous and not in the interests of the inhabitants of Harare and the public at large, a burden which is now cascading to the inhabitants and therefore cannot be allowed.”
He added: “In any case, in our reading of your contract with Geogenix B.V there is no provision for unilateral action by either party to suspend the same.
“I accordingly direct, in terms of section 314 (1) of the urban councils’ act [Chapter 29:15], that council immediately rescinds the resolutions cited above which seek to suspend the contract between the City of Harare and Geogenix B.V on the Pomona Waste to Energy project.”
