Mnangagwa’s son at centre as US$300m wastegate scandal unfolds
The Harare City Council (HCC) has handed over the Pomona dumpsite to Geogenix BV, a company linked to President Emmerson Mnangagwa’s son and controversial businessman Delish Nguwaya.
Geogenix B.V, jointly chaperoned by Nguwaya and Collins Mnangagwa is expected to be paid at least US$22 000 a day and US$14,600,000 a year, according to its contract.
The company is expected to transform the dumpsite into a waste management
Nehanda Radio on March 22 reported that Geogenix B.V, was, without going to tender, given Pomona Dump sites for free by City of Harare (COH) councillors led by acting Mayor Stewart Mutizwa in June last year.
This is despite reports the contracted company was blacklisted in Europe over dubious conduct.
Harare North legislator Norman Markham has since approached the High Court challenging the awarding of the project, which will see the city pay Geogenix US$316 million.
It further alleged that Local Government minister July Moyo forced council into hurriedly approving the deal before the March 26 by-elections, which saw the opposition Citizens Coalition for Change councillors becoming the majority.
In a joint statement, Harare City Council and Geo Pomona Waste Management said: “It is in the public interest that we jointly issue this statement, primarily to update the general public, but also to avert any misinformation on the developments at the Pomona dumpsite,”
“The City of Harare concluded a Build, own, operate and transfer (BOOT) joint venture agreement with Geogenix BB with a contractual lifespan of 30 years.
“This project will transform the Pomona dumpsite into a modern urban waste management facility for the City of Harare and its residents, elevating the city’s urban waste disposal capabilities to modern standards. The benefits of such a milestone, if allowed and supported by all stakeholders, are extensive.”
The company caused outcry in Europe in 2020 when an Albanian newspaper, City News Albania, exposed it as having “tried to hide their names”.
The newspapers said: “The concession company of 128 million euros, Integrated Energy BV SPV, which has taken over the Sharra landfill and the Tirana incinerator, has single shareholders Integrated Energy BV, a company registered in the Netherlands, a chain of shell companies, which tried to hide their names.”
It is further reported that the company, in a different identity, caused controversy in Europe and “an investigation of a wide network of journalists of an investigative network from several European countries, Integrated Energy BV at one point disappeared, and did not appear anywhere.
“But we were able to find out that Integrated Energy BV, the company that has 100% of the shares of the company that has the concession of the incinerator in Tirana, had changed its name to Geogenix BV.”
According to the contract signed between the two parties, on financial matters: “From the Commencement Date, COH shall pay the Fee to the Contractor, which shall be equal to the rate of USD 40 (Forty) (excluding applicable value added tax [VAT]) per each tonne of Waste deposited by COH at the Site, operated by the Contractor, from the Sites Handover Date. COH will pay the Fee to the Contractor within thirty (30) days from the date of the invoice receipt by the Contractor.”
“For the first year not less than 550 tonnes/day and in any case not less than 200 750. tonnes/year” which translates to US$22 000 a day.
“From the fifth year until the end of the contract not less than 1000 tonnes/day and in any case not less than 365 000 tonnes/year (US$14,600,000).”