In 2018, CMS Water Engineering secured an R85-million contract to upgrade the Bospoort water treatment plant near Rustenburg, but irregularities and non-compliance led to its failure. The project, meant to double capacity for 500,000 residents, remains incomplete seven years later. This debacle mirrors issues in the later Rooiwal wastewater project, highlighting systemic tender problems.
The Bospoort upgrade, awarded in 2018 by Rustenburg Municipality, aimed to expand the plant's capacity to serve 500,000 residents with drinking water. Despite the R85-million budget, CMS Water Engineering's bid was initially R115 million, prompting a reduction in scope to fit the funds.
Consulting engineer Ian Pollard from Bigen Africa deemed CMS's bid 'grossly non-compliant' with 'material and serious deviations,' recommending disqualification due to high costs and lack of value for money. However, the bid adjudication committee scored it 93 out of 100 points and approved the award. Supply chain head Sam Makhura allegedly misrepresented Pollard's report, claiming it supported the decision, though a second expert review was cited in defense.
Payments began swiftly: CMS invoiced R17.5 million just six days after signing, followed by R7 million a month later, totaling over R26 million in advances—unusual under National Treasury rules. Most funds were transferred to CMS Global Solutions, a separate entity co-owned by CMS boss Rudolf Schoeman and Eric du Plessis, despite the contract being for mechanical and electrical work outside their expertise.
Bigen's review verified only R3.4 million of the claimed R19 million in equipment, noting wrong specifications and incomplete materials. Rustenburg's municipal manager Sello Makona later stated in court that the equipment's 'extent, usability, ownership, suitability and value' was in serious doubt.
In 2019, the Auditor-General urged cancellation and a Hawks investigation over irregularities like unexplained scope changes and potential invoice fraud. The municipality halted payments, initiated disciplines, and sought court intervention in 2020 to set aside the contract, but delays allowed CMS to secure the similar Rooiwal deal months earlier. Former employees described Rudolf's demands for advances and suspicions of bribery, with funds allegedly diverted to personal expenses.
The project site, visited by amaBhungane last year, showed only a faded CMS shipping container. A new tender was issued this year to complete the work, amid ongoing water crises in Rustenburg.