ECONOMIC DEVELOPMENT TOP PRIORITY IN EWADE’S MNWAP’S PROJECT

ECONOMIC DEVELOPMENT TOP PRIORITY IN EWADE’S MNWAP’S PROJECT

By Lwazi Dlamini

The Eswatini Water and Agricultural Development Enterprise (EWADE) Mkhondvo-Ngwavuma Water Augmentation Project has a four-pronged approach with economic development the main priority.

The other three areas of priorities are, namely, enhancing Food security, poverty reduction and job creation.

In his presentation during the signing of the Supervision contract for the Main Conveyance System (MCS) with a Joint Venture of Isiphethu, Lasicon and ConsultCo under the Mkhondvo-Ngwavuma Augmentation Programme that will create 100 000 direct jobs, EWADE’s Director of Commercial Services Musa Masilela said the project targeted the Shiselweni region because of the high poverty levels and being impacted by climate change.

The Supervision contract for the ground-breaking project worth E156 947 000 set to run from 2025 to 2028 was officially signed at Royal Villas on Wednesday morning.

The signing ceremony marked a major step forward in the implementation of MNWAP, A transformative initiative aimed at enhancing Eswatini’s agricultural productivity, improving water security and fostering socio-economic development.

RELATED: EWADE successes charms Botswana-based investor

South African company, Isiphethu Engineering and two local companies Lasicon Consulting Engineers and ConsultCo. (Pty) Ltd have been awarded the tender to supervise the Main Conveyance system (MCS), which is a key milestone under Component 1B of the MNWAP.

EWADE’s Commercial Director Musa Masilela stated that Phase 1 of the MNWAP involves the construction of the Mpakeni Dam worth E2.6 billion, the main conveyance pipeline and the irrigation development of 4,600 hectares.

Phase 1 will benefit about 4,600 farmers’ households for a projected income of at least E158 750 starting from the second year of production in 2030 (The dam is earmarked to be completed by April 2028).

Phase 2, Masilela explained, will develop 25,000 hectares and at completion, the project targets 100,000 direct jobs and many more indirectly.

EWADE CEO Dr. Samson Sithole shaking hands with Isiphethu Engineering Kensington Muchawonweyi who got 60 per cent of the E157 million tender at MNWAP

“The MNWAP aims to enhance agricultural productivity, improve household incomes and foster economic development,” Masilela said.
He added: “This initiative represents a significant investment in Eswatini’s future.”

Masilela said the MNWAP’s dual focus is on infrastructure and agricultural development.

“By integrating sustainable agriculture with advanced infrastructure, we are addressing critical challenges while paving the way for economic growth and food security,” he added.

EWADE Chief Executive Officer (CEO) Dr. Samson Sithole revealed that Isiphethu Engineering holds 60 per cent of the agreement, while Swati companies ConsultCo and Lasicon Consulting Engineers will hold 20 per cent.

Sithole explained that the joint venture complied with the Construction Industry Council (CIC) Act, which mandates a minimum 70/30 per cent share between foreign and local companies. He noted that the country had two procurement acts, which sometimes create confusion.

Sithole said the CIC Act required sharing whereas the ESSPRA Act did not impose the same requirement, though it allowed for some flexibility with international funds.

“For international funds, project funder either follows the ESSPRA Procurement Act or comes with their own guidelines, which has led to confusion among public and some companies,” he said.

RELATED: EWADE’S MNWAP project to create 100 000 jobs

Sithole stated that since the MNWAP project was government-funded, they were able to implement the 60/40 share among the companies involved.

“What’s critical is that we have EmaSwati who will gain experience from this job, and I believe they will take larger roles in Phase Two of the MNWAP,” Sithole said.
He highlighted that the second phase of the project was larger and increased participation from local entities was expected.

Sithole said even though the project had a command area of 25 000 hectares, they were consistently discussing 30 000 hectares. “The Water we have now supports up to 25 000 hectares, but we are still pursuing the additional 5 000 hectares for irrigation,” he said.

Sithole revealed that the initial plan was to build three dams and currently, EWADE had firmed up two dams, which are Mpakeni and Ethemba.
He stated that they could not proceed with the dam at Mahamba gorge due to water saturation issues affecting South Africa.

“We are still exploring suitable locations for the remaining 5 000 hectares,” he said.

Speaking on behalf of the Joint Venture, Isiphethu Engineering Director Kensington Muchawonweyi expressed gratitude to EWADE for the opportunity to be involved in the project.

“This is a prestigious project, not only from a technical perspective as engineers but more importantly from a humanitarian standpoint. The essence of the project is to alleviate poverty,” Muchawonyweyi said.

He emphasized their commitment to acting as the “eyes and ears” of EWADE, ensuring that contractors adhere to regulations to achieve the project’s goals.

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