While government continues to promise that it will harness the benefits of ICT and claims to understand the need to up its game on the technology front, this seems to be little more than lip service.

The auditor-general’s latest report shows that a total of R102 billion was spent on consultants between the 2008/9 and 2010/11 financial years, and more than a billion rand of this amount was spent on IT projects that were either overpaid, or never completed.

The performance audit on the use of consultants at selected government departments included correctional services, defence, environmental affairs, health, police, rural development, transport and water affairs.

According to the document, the largest single amount spent on contractors for a system that was never completed was at the police department, where a contract for a firearm control system spiralled to R412.5 million, from the initial signing price of R92.8 million.

Additionally, the cost of the eNatis contract increased from R594 million to R936.2 million as the Department of Transport paid for services not included in the initial deal.

The Ministry of Police’s contract for a firearm control system was signed in 2004, for R92.8 million, relating to the core solution after negotiations dropped the price from the State IT Agency’s (SITA’s) recommended price tag of R102.6 million. However, four addendums to the deal led to a total contract value of R412.5 million, as a result of changes to the business process and technical specifications provided for in the tender.

As of March last year, the department had paid consultants R341.6 million; however, the system was only 80% completed by last September. The department indicated to the AG that it is in the process of evaluating the outstanding deliverables and a number of options are being considered for its completion.

Similarly, a Department of Transport deal, to implement eNatis, grew from R594 million to R936.2 million over four years, and included services that were not in the contract. A transfer management plan was meant to move the system from the third-party to the department by May last year, but this never happened, resulting in the contract being extended on a month-to-month basis. It also included payment for services that should not have been paid for.

These are but two high-profile examples of technology-based projects that should have been implemented swiftly and efficiently; and subsequently harnessed to save time, money and resources.

However, these and countless other ICT-related projects are allowed to spiral out of control, wasting tax payers’ money and pushing South Africa further down the ICT competitiveness rankings on the continent. Something will have to give.

Happy reading!

Martin Czernowalow