City appoints new provider without tender

The City of Tshwane appointed a new SAP service provider outside a tender process.

The Tshwane city manager has defended the appointment of a new SAP Service provider.

PRETORIA - The decision to appoint a new SAP service provider outside a tender process is only a temporary solution to ensure the municipality continues to function, Tshwane City Manager Jason Ngobeni revealed on Tuesday.

The previous contractor's term expired at the end of December, but the tender procedure had not been concluded on time to appoint a new company.

EOH SAP Services was appointed at the last minute to take over managing the system.

Ngobeni said a tender for a new SAP support service was cancelled with the appointment of a new group chief officer.

"He made a recommendation that the tender does not address all of the requirements of the ICT of the city."

The municipality used a law which allows for the appointment of a service provider already appointed by another state entity.

In this case, the company provides the same service for the City of Johannesburg.

"We appointed this company for a period of six months and (on a) month-to-month (basis) thereafter. This was meant to prevent the system from collapsing."

Ngobeni said the tender process will start before the end of the year.