Harare City Council has decided to cancel the Pomona waste management agreement which was imposed on the local authority by the Department of Local Government.
The Council had decided to suspend the 30-year agreement for a month before the latest developments.
The local authority also ignored local government minister July Moyo’s order asking the council to pay a $1.5 million bill owed to Geogenix BV for services rendered in May and June to the energy management plant. Pomona waste.
Harare Mayor Jacob Mafume yesterday confirmed the local authority had canceled the Pomona deal, saying Moyo should go to court if he was unhappy.
“I can confirm that we canceled the Pomona deal. We came to that deal at the last meeting we had,” Mafume said in an interview.
“We are a council and we make our decisions. If they are not satisfied, they go to court. Once we have made a resolution, it is binding and remains valid.”
Last week, the Combined Harare Residents Association (CHRA) filed an urgent application with the High Court seeking an order quashing a resolution to use city devolution funds to pay Georgenix.
CHRA is represented by Archford Rutanhira and Evans Moyo of Zimbabwe Lawyers for Human Rights (ZLHR).
The government imposed the costly waste-to-energy agreement on the city of Harare without launching a tender.
As part of the deal, the local authority is supposed to pay $22,000 a day or around $1 million a month to the contracted Dutch company for the next 30 years.
But the council refused to foot the bill after deciding to suspend the 30-year agreement between the local authority and Geogenix BV, represented by its executive chairman Delish Nguwaya.
The government pressured the local authority to pay the debt, which led to the government deciding that the state would use the city’s decentralization funds, forcing the CHRA to go to court.
The Ministry of Local Government accused the city of Harare of frustrating the deal which was given national project status.