SANRAL resets road maintenance procurement

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30-09-2026
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Freight News
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The South African National Roads Agency Limited (SANRAL) is preparing to extend existing routine road maintenance (RRM) contracts as it rebuilds its procurement programme following the scrapping of its R9.5 billion contractor panel.

Replacement procurement is not expected to be completed by the end of November, the agency told Parliament’s Transport Portfolio Committee on September 29.

SANRAL is now procuring RRM contractors through individual tenders instead of appointing a 20-member national panel.

The decision follows a High Court ruling in July that set aside the panel tender after SANRAL acknowledged material procurement irregularities.

The panel model intended to simplify a maintenance programme previously managed through about 251 contractors. SANRAL invited bids on November 29, 2024, for a five-year panel of 20 contractors to undertake RRM work across the country.

Reducing the number of contractors was expected to speed up procurement and improve contract management, according to the agency. About 401 tenders were received with 20 bidders recommended for appointment.

Using fewer contractors did not work, prompting a return to individual tenders, said Acting SANRAL CEO Lehlohonolo Memeza.

“Our review identified several procurement failures, including tender boxes not being opened within the required timeframe, the tender opening register not being made available to bidders and a selection criterion introduced during evaluation that was not in the original tender,” Memeza said.

The panel was also appointed without price competition and contractors were selected on functionality, SANRAL acknowledged.

The replacement procurement process is underway with 109 RRM consultants and 132 contractors procured, according to the agency. About 70 contractor tenders are already in the market.

Procurement has been staggered across 241 packages to avoid overwhelming tendering capacity, driving up prices or allowing a small number of companies to secure too many awards, SANRAL said.

With the process expected to continue beyond November, the agency is preparing extensions of existing RRM contracts in the interim.

Routine maintenance covers pothole repairs, drainage upkeep, road markings and guardrails on the national road network, including routes carrying heavy freight traffic.

The replacement procurement process is subject to additional scrutiny, Memeza said.

“Our internal audit and legal teams are currently reviewing each stage of the process to prevent a repeat of the failures that led to the original panel being set aside,” she said.