An investigation into the rising cost of Transnet’s new multi-product fuel pipeline has been welcomed. “By Transnet’s own admission, costs of the construction of the pipeline have doubled due to their underestimation of the complexity of the project,” Democratic Alliance spokesman Jacques Smalle said. “Costs have now escalated from R12.7 billion to R23.4 billion,” he said in a statement. “The pipeline cannot become Medupi 2 – marred by continuous delays and increasing cost.” According to Business Day, if a “prudency review” of the first phase of the project finds irregularities, Transnet could face punitive tariff adjustments. Sapa
