N$2 billion locomotive tender claims
Business Reporter
TRANSNAMIB, the national rail services operator in Namibia, has responded to claims that it was involved in an underhand deal to procure New Trains (Locomotives) costing N$ 2 million, which would result in kick-backs and bribes for the politically connected, clarifying that the procurement process is above board and is being handled by the Central Procurement Board of Namibia independently.
“While you are sleeping and singing struggle songs, the corrupt and puppet Regime is concluding last minute corrupt deals before 21 March 2025. Last week, Tuesday, 28 January 2025, the puppet and corrupt Regime TASKED 61-year-old CEO of TransNamib, Desmond Van Jaarsveld, to go negotiate the last minute deal for 23 New Trains (Locomotives) that are valued at N$2 billion. This N$ 2 Billion Tender will not be advertised, meaning no competition; it will be concluded between White Interest and the Last Minute Corrupt and Puppet Regime. As you read this, Desmond Van Jaarsveld has already started negotiating the deal with the Supplier who will Lubricate and Greeze them…” Local Politician Job Amupanda wrote.
In response, the Chief Executive Officer of TransNamib, Desmond van Jaarsveld, clarified that over the last 50 years, TransNamib’s fleet has predominantly featured General Electric/Wabtec locomotives, which have proven to be exceptionally reliable in Namibia’s harsh environmental conditions.
“These units have surpassed their typical 25-year service life, with some still running after more than 50 years of operation, continuing to serve currently as the backbone of TransNamib’s fleet. In contrast, locomotives from other brands that TransNamib acquired in the past are all not operational. In light of these advantages, the decision to standardise the fleet with General Electric/Wabtec locomotives was made by TransNamib. Standardisation ensures operational efficiency, reduced maintenance costs, improved reliability, and faster service, amongst other benefits. Sourcing directly from the manufacturer will eliminate the need for a third-party agent and will facilitate the building of a direct relationship with the manufacturer,” van Jaarsveld said.
He added that the TransNamib Board approved the standardisation initiative in 2022, and subsequent approvals were granted by lending institutions and the Ministry of Finance and Public Enterprises.
“The procurement process, which is fully managed by the Central Procurement Board of Namibia (CPBN), has transparency and fairness ensured through rigorous oversight, including a review by an independent third-party technical advisor appointed by the lending institutions. It is important to note that the direct procurement process is being independently managed by CPBN, who approved and commenced with the bidding process on the 14th October 2024. This is after TransNamib successfully met all the conditions to access the funding on 30 September 2024,” van Jaarsveld said.
He added that TransNamib has secured vital funding from the Development Bank of Southern Africa and Development Bank of Namibia, which will be allocated according to the company’s Integrated Strategic Business Plan for the next five years. “The funds will be used for necessary rolling stock replacement and infrastructure upgrades, with a focus on revenue generation to ensure long-term financial sustainability and repayment to lending institutions. It is important to note that TransNamib will not receive the funding directly. Disbursements related to the funding will be made directly to suppliers,” van Jaarsveld said.
In conclusion, he said that the involvement of the Ministry of Finance and Public Enterprises, the CPBN, and the lender ensures that the procurement process is transparent and free of corruption. “Therefore, Amupanda’s assertions are unsubstantiated and false,” van Jaarsveld said.