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THE outstanding success of the modernisation of Beitbridge Border Post, which included a swathe of infrastructure ranging from a respectable housing estate of flats and houses for Government staff assigned to the border post to the physical development and equipping of the border post itself, has seen a similar option chosen for Chirundu Border Post.
The undersized, old-fashioned and inadequate Beitbridge Border Post was transformed through a public-private partnership with the private side being an efficient consortium able to meet the agreed facilities and infrastructure within the agreed deadlines to the required standards. This set of strict tests, plus the general competence of the private partner, is the secret of the success of the PPP system.
The consortium was granted a 17,5 year concession during which it will recoup the substantial capital investment it made. But the quality of the systems that were financed and facilities built, and the timespan for the recouping, has meant the fees being levied at the border post are not just acceptable, but considered by almost all who use the border post to be excellent value for money.
Zimbabweans are not shy about complaining when they feel they are being ripped off or when they think they are being gouged or cheated. But on the other hand when they get first class service at a reasonable and modest cost, what looks like a bargain, they go along with the processes.
The huge investment in the border post has meant that the Government, basically Zimra with its tax collection and enforcement and the Department of Immigration with its fairly straightforward entry and exit requirements, are able to now offer a first class service, with reasonably contented staff, who have somewhere decent to live when they are off duty.
In fact, we have reached the position where the northern side of the border post is now considered better and more efficient than the southern side, which was not the position until very recently. So sorting out the northern end of the main Zimbabwean and SADC north-south highway at Chirundu, was an obvious location for something very similar.
A Zimbabwean-registered consortium has now been approved by Cabinet as the private partner and the very precise budget of US$66,8 million indicates that a detailed agreement has been reached on exactly what needs to be built, equipped and supplied for this border post, and the far smaller town that surrounds the main northern door into Zimbabwe.
The success of Beitbridge means that standards must have been very easy to set so that the required quality is obtained, and the actual detailed plan for the physical structure was simply an exercise in physical planning. The different geography around Chirundu means that the two border posts and their services will not be mirror images, but the basic facilities will be the same.
This time the concession is for 20 years, and the slightly longer period must be taking into account the fact that Chirundu is not quite as busy as Beitbridge, some northbound traffic going the western route through Victoria Falls while Beitbridge handles everything to and from the south.
Minister of Transport and Infrastructural Development Felix Mhona was upbeat about the new deal this week.
His Ministry has been building up solid relations with private contractors, plus a financing concept that relies heavily on rational and reasonable user fees offering value for money. So there is a good track record and systems are in place that ensure this value for money.
The national highway rehabilitation and upgrade is funded largely by tolls which are now being efficiently collected by Zinara since its dramatic revamp by the Second Republic, which saw the removal, arrest and finally jailing of the corrupt staff and the conversion of the authority to something that works well.
One interesting point that has come from the desire of the Finance Ministry to accelerate the road rebuilding and upgrades is a dual system of tolls on national highways. But that has been introduced in stages to make sure that highway users are getting value for money. The higher tolls only apply on the sections of the national highway network where the physical reconstruction has been done, and again the users have largely gone along with this.
Transport companies enjoy far lower running costs and faster turnaround times on the revamped highways, so the higher tolls are more than covered by the higher profits. Even private motorists win with lower maintenance costs and fewer delays, so again the savings on spare parts more than cover the tolls.
Again the relationship between the Ministry and contractors is kept at the correct high level. Standards are laid down and second-rate work simply not accepted. A couple of road contractors had to redo some sections around Harare recently, and negotiation and argument were simply not permitted. The Ministry knew that the contractors were capable of first-class work, which is why they were hired in the first place, and so anything less than the best was an aberration that had to be fixed, promptly.
We need to remember that these partnerships, and the contractor agreements, are run by the Government, and where official services are offered, such as at border posts or even the passport office, it is the Government and State staff that provide the services. The partners and contractors build the infrastructure but have to meet high standards and work under Government direction.
The system has been working well, at least once the private side provided first-class and honest work, and this combination of State services and private investment and contracted work is allowing Zimbabwe to revamp many critical national requirements in far shorter times than would otherwise be the case, and at lower costs that would have to be charged if the capital was borrowed money for a pure Government scheme.
So long as the Government continues to find respectable and honest partners, is able to agree to costing formulas and, most importantly, continues to demand the highest standards, the systems that have been developed can be extended where appropriate.
Online Reporter