GRN generates more than N$1 Billion in vehicle auction

Erasmus Shalihaxwe

The Ministry of Works and Transport has generated a total of N$105 153 881 million by auctioning off unwanted government vehicles in the last six years.

The ministry’s spokesperson, Julias Ngweda, confirmed these figures to Windhoek Observer during an interview conducted recently.

He said the money was generated from a total of 83 auctions the ministry conducted in the last six years, of which 17 auctions were done in the 2018/19 financial year, making a revenue of N$ N$ 26 336 036.00. In the 2019/20 financial year, the ministry conducted a total of 20 auctions that generated revenue of N$20 936 785.00.

In the following financial year of 2020/21, the ministry conducted 9 auctions that collected a revenue of N$ 12 872 570.00. However, in the following year of 2021/22 financial year, the number of auctions increased to 15, collecting revenue of N$23 707 010.00. However, the number of auctions declined to 13 in the 2022/23 financial year, generating a revenue of N$13 736 980.00.

For the current financial year of 2023/24, the ministry has so far conducted nine auctions which generated a revenue of N$7 564 500.00. There are more auctions to be conducted before the current financial year comes to an end.

“Kindly take note that there are seven vehicle auctions outstanding in this financial year 2023/24, and the revenue cannot be estimated because auction work is based on the interest of buyers,” Ngweda said.

Last month, the ministry announced that the Cabinet approved a plan to acquire 32 government vehicles to the tune of N$25 million for the 2023/24 financial year, even though a moratorium put in place by President Hage Geingob in 2020 to stop unnecessary spending on state vehicles is still applicable.

The ministry said the vehicles to be purchased will be for the government pool only and when government offices, ministries and agencies wish to make use of the vehicles then they first have to seek permission or approval from the Cabinet.

Meanwhile, various regional governors and councillors have been complaining about government vehicle safety, claiming the cars are not safe to use and prefer using private cars when carrying out their duties. Some called for the moratorium to be lifted.

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