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The business of waste and politics


Billy Ntaote

A grand waste management plan for Lesotho is yet to get off the ground six years after a lucrative contract was awarded to a company that would clear Maseru’s foul-smelling Tšosane dumpsite, build a new processing plant, and then manage the Mountain Kingdom’s refuse. The result? Tšosane’s dumpsite is now fuller than ever and a new company has taken over the nationwide waste management contract. But, this new company has waited over a year for the government’s final greenlight to get to work on the project. The ministry of local government appears to be stalling, which has raised questions about the government’s motives.

In 2023, EnviroTech Waste Solutions took over the 25-year contract to manage Lesotho’s waste and government from Prime Enviro (PTY) Ltd which secured the contract from former Prime Minister Thomas Thabane’s government. Until his dying day, Prime Enviro’s managing director, Peter Smith, said the reason he had not started implementing the contract was because he was still fundraising for the project.

On March 23 2023, Prime Enviro ceded the contract to exclusively collect waste, process, and manage it across Lesotho to EnviroTech. Following the surrender, Lesotho’s then local government principal secretary Pokello Mahlomola issued the required letter of intent to EnviroTech.

The letter of intent dated June 22, 2023 reads: “The Ministry of Local Government, Chieftainship, Home Affairs and Police intends to enter into Partnership Agreement with EnviroTech Waste Solutions. The Ministry is finalising the process of awarding EWS [EnviroTech Waste Solutions] exclusive rights to manage and process all the types of municipal, industrial, commercial, domestic, medical and sewage waste”.

With a letter of intent in hand, EnviroTech started raising capital for the project but it needs one more thing before it can get going with the work. This is a letter of endorsement from the government which must be issued by Local Government Minister Lebona Lephema.

EnviroTech shareholders Motlatsi Mosaase and Nthabeleng Moorosi, believe that the current local government’s Minister Lephema is frustrating the process of giving them the final greenlight because his ultimate goal is to split up the 25-year contract and award the work to multiple contractors.

Mosaase and Moorosi claim they were told by Lephema that: “… this regime [Prime Minister Samuel Matekane’s Government] does not honour contracts from previous regimes. You cannot be awarded all the waste in the country. With my powers, I would rather have you given Maseru district only, and other companies be given waste in other districts. I cannot award your company waste from the entire country”.

MNN’s attempts to get a response to these allegations from Minister Lephema were futile. He ignored requests for comment and interviews. His mobile phone rang unanswered and sometimes he would send an automated message that said “Sorry, I can’t talk right now”. Lephema was also sent questions through WhatsApp, but he did not respond. His ministerial secretary assured MNN that the request for responses was forwarded to the minister. However, no answer or interview was granted.

Former local government principal secretary Mahlomola explained to MNN why he had signed the letter of intent making it possible for EnviroTech to take over the contract.

 “I signed the letter of intent to assist EnviroTech in accessing funding to be able to proceed with the project. The waste piling up at the Tšosane dump site worried me a lot, I was desperate to have it removed, and EnviroTech offered to do that,” he said.

Mahlomola said he didn’t understand why the ministry had not continued with the project as it was not demanding any money from the government.  “I don’t know why the minister did not support the project.  If the company did not deliver the solution as promised, the government would terminate the project. That is how I see it,” said Mahlomola who was later transferred to another ministry.

But Mahlomola’s successor in the local government ministry, principal secretary Mamphaka Mabesa told MNN that allegations against her minister were false, especially those saying he had vested interests in this project. “Issues of procurement are clear, if there is a need for contractors to be engaged, we advertise and companies compete,” Mabesa said.

Responding to the question of why the government has not issued an endorsement letter for the project after a letter of intent, Mabesa told MNN “I do not want to comment on this. The reason is that the authority was granted by the Minister [deceased former minister of local government Habofanoe Lehana]. Do you understand me? That authority was at the ministerial level. It is said that it was granted at cabinet or ministerial level”.

Mabesa added later on that a letter of intent is not binding on the ministry but failed to pronounce herself on the existence of a contract with the initial company that surrendered rights to EnviroTech.

Minister accused of dodging meetings

Following the surrender of right to the exclusive rights to collect, process, and manage all Lesotho waste to EnviroTech, Mosaase said the company has been going from pillar to post trying to get an audience of minister Lephema and that’s “when we learned that he has other intentions amid our letter of intent issued by the principal secretary”.

Mosaase told MNN that preceding the issuance of a letter of intent, a “number of meetings and all necessary documents were presented to the principal secretary local government from March 2023 and subsequently a letter of intent from the ministry in June 2023 was issued. We hoped and had a reasonable expectation of having the cession endorsed by the end of July 2023”.

Mosaase added: “unfortunately to date, the cession has not been endorsed due to several reasons we prefer to discuss in person. This unfortunate delay naturally threatens the huge amounts of Foreign Direct Investment which we have already lined up as a result of the letter of intent”.

EnviroTech said while it was seeking its acquisition of an already existing agreement to be endorsed, it had to make rigorous presentations to the ministry to secure a letter of intent.

MNN learned the next step was now making a presentation before minister Lephema and subsequently the cabinet.

But MNN understands amid the invitation for EnviroTech to make a presentation to the Ministry, Minister Lephema has not been available for the presentation which would thereafter culminate in a presentation to the cabinet.

Amid the Minister’s unavailability or dodging the EnviroTech presentations, the company,

EnviroTech has further told MNN that the company is considering taking the matter to court to have the minister compelled to act.

Moorosi said its cession agreement requires the letter of intent to be endorsed by the government of Lesotho but no further concrete commitment has been made by the new government for the project’s take-off.

MNN has learned that after issuing the letter of intent, Mahlomola’s relations with his minister–Lebona Lephema–allegedly soured and resulted in his reshuffle to another government Ministry. Asked about his transfer to another ministry, Mahlomola told MNN “…I also don’t know why I was transferred from that ministry”. MNN learned that after Mahlomola left for another ministry, Minister Lephema refused to give the project a green light.

Mosaase told MNN “We have penned letters to the minister of local government asking for his endorsement of the project as it is necessary for our cession deed, but to our shock the minister only condemned the former PS [Mahlomola] for issuing us with a letter of intent to work with us”.

Mabesa only says her knowledge about the project is through visits by the EnviroTech officers whom she said “Since my arrival as PS in this office, they [EnviroTech] have been trying to explain their company. All I know is that they were still trying to transfer the rights of the former owner to themselves, that’s how far I know”.

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