City to launch investigation into IRT system budget

By Kim Saulse
7 August 2009

The City of Cape Town will launch an enquiry into the costs of the Integrated Rapid Transit (IRT) system.

City Manager Achmat Ebrahim announced that he is in the process of appointing an appropriate external agency to undertake the investigation.

According to a media relese, Ebrahim said: “Following the financial report on the IRT system to the City’s Finance Portfolio Committee, it is necessary to conduct a full investigation into the cost escalations of the project. The terms of reference, scope and duration of this enquiry will be determined in due course, but will include all aspects such as the reasons for the escalation, the
underestimates, the process, expenditure and who was responsible for what.

“Work on the project will proceed as contracts have been awarded. The investigation will run its course and the City will keep the public informed of progress. The City will, however, not pre-empt the investigation by speculating or drawing premature conclusions.”

He added that despite the investigation into the increase in budget expenditure, it is important that the project goes ahead.