Hertta‑Maria Amutenja
“Who is going to be held accountable for all this money that was spent and the hospital is not even complete?”
This question was raised during a public hearing on the long-delayed Otjinene District Hospital, where it emerged that the ministry of health and social services spent over N$41.4 million on a project that has not served a single patient since construction began in 2006.
According to a report by auditor general Junias Kandjeke for the financial year ended June 2021, the ministry incurred “irregular, fruitless and wasteful expenditure” amounting to N$41.4 million.
The total includes N$30.5 million paid to the contractor, N$8.2 million paid to the consultant, and N$2.61 million for other expenditures.
“The project was terminated in 2010 and re-tendered again in 2016. However, the process was not successful due to the non-responsiveness of the bidders. The same consultant was recommended again in 2021, and currently the contract has been awarded to a new contractor,” the report states.
The hearing participants expressed frustration at the government’s failure to act against those responsible.
“What happened to the contractor? Why did the ministry continue to pay the consultant even though the building was only partially complete?” one person asked.
The auditor general’s report states, “The ministry paid a total of N$8,262,361.95 to the consultant (WML Consulting Engineers), although the project was not completed.”
The contract with the consultant was signed in November 2006.
The contractor was appointed in July 2007, and construction began in April 2008.
The project was expected to be completed by June 2009.
However, the ministry terminated the contractor’s services in December 2010 due to poor performance. At that point, only 66% of the hospital had been completed.
Kandjeke raised concern that no proper action had been taken to recover the funds.
“There is no evidence that the ministry referred the matter to the attorney general for advice on how to recover the funds lost.”
The contract with the consultant expired in December 2010, but the ministry signed a new contract with the same firm in October 2021. This decision raised further concerns during the hearing.
“There was no value for money on this project. The consultant was paid a total amount of N$8,262,361.95 for only 66% of the work done,” the report reads.
The incomplete hospital building has remained unused for more than a decade. Hearing participants asked what steps the ministry had taken to protect the structure from further damage.
The ministry said the hospital construction project had been reactivated and that a new contractor had taken over. The revised completion date is set for March 2025.
“The Ministry has incurred irregular, fruitless and wasteful expenditure amounting to N$41,403,207.80 on the Otjinene District Hospital project, which was not completed, and no patient has ever been treated at this facility,” the report states.
