The Water and Sewerage Company (WASCO) in Lesotho has come under fire from the Public Accounts Committee (PAC) over the award of a smart meters tender to FocalPoint Communications and Business Development. The Committee has questioned whether the procurement process was properly followed, citing concerns that WASCO executives were taken to China by the company while it was still bidding for the Advanced Metering Infrastructure (AMI) project. This trip has raised suspicions of bribery.
The controversy began with a request for proposals issued in 2021, which was cancelled and reintroduced over the years. FocalPoint was eventually awarded the tender on March 2, 2026, although the contract was only terminated on September 18, 2026. PAC chairperson, Machabana Lemphane-Letsie, has questioned why WASCO's chief executives travelled to China for factory acceptance testing (FAT) when the company had already received a letter from Econet Telecom Lesotho (ETL), indicating that it was withdrawing from the intended joint venture with FocalPoint.
The trip to China has been deemed particularly questionable as the WASCO officials who travelled were not technical officers who would ordinarily be expected to assess the technology. Among those who travelled were WASCO board chairperson Thabo Stephen Monyamane, Chief Executive Lebohang Ncheke Makara, and General Manager Finance Leboela Lebete. Lemphane-Letsie stated that the trip was suspicious, especially since ETL had written to WASCO's procurement unit stating that it had never applied for the Advanced Metered Infrastructure project.
FocalPoint managing director, Teboho Nthejane, admitted that his company covered the WASCO delegation's transport costs to China. He told the Committee that FocalPoint had received its letter of award from WASCO on March 2, 2026. Nthejane explained that FocalPoint had partnered with Chinese company Liason Technology because the tender specifications required technology capable of adapting to Lesotho's climatic conditions.
The PAC has also questioned the propriety of FocalPoint paying for the trip while its tender was still part of the procurement process. The Committee has asked WASCO to identify other bidders or companies that had also paid for officials' study tours. WASCO senior procurement officer, Motlatsi Mohobela, revealed that Vodacom Lesotho and Yours Tech had covered expenses for WASCO officials during trips to various destinations in South Africa.
Conflicting evidence has emerged over when WASCO's engagement with FocalPoint actually ended. PAC member, Dr Tšeliso Moroke, accused General Manager Finance Leboela Lebete of misleading the Committee after he stated that WASCO had ended the process with FocalPoint on January 16, 2026. However, Dr Moroke pointed out that this was impossible since FocalPoint's managing director had produced a letter showing that FocalPoint was awarded the tender on March 2, 2026.
The PAC's questioning has placed the procurement of WASCO's smart meters under renewed scrutiny, particularly the circumstances surrounding the award, the China trip funded by the prospective supplier, the withdrawal of ETL, and the subsequent termination of the contract. The Committee's concerns have highlighted the need for greater transparency in the procurement process.
Key points
- The Public Accounts Committee questions the propriety of WASCO's award of the smart meter tender to FocalPoint Communications.
- The Committee has raised concerns over the China trip funded by FocalPoint while its tender was still part of the procurement process.
- Conflicting evidence has emerged over when WASCO's engagement with FocalPoint actually ended.
