SGS asks govt to okay vehicle inspections

Three years since the parliamentary inquiry into motor vehicle inspections began, Société Générale de Surveillance (SGS) has requested the Government to be allowed to perform its duties without interference.

SGS country manager, Kanvaly Bamba while appearing before the Physical Infrastructure Committee of Parliament after the re-negotiation of the contract and signing of the addendum in April 2020, it was agreed that the Company resumes work within 20 business working days from the date of signature.

However, todate, nothing has happened yet the company is ready for work and addressed most of the issues that were raised by Parliament after investigations.

"Unfortunately, this is yet to happen yet we are paying the staff full salary, servicing the equipment, paying taxes and paying the concession fees," he said.

Bamba informed the Committee chaired by Robert Kafeero Ssekitoleko, that the Company has resorted to borrowing to meet its financial obligation.

SGS lawyer, John Teira informed the Committee that "without knowing what was going on," SGS decided to write to the Minister of Works and Transport noting him of legal options.

"We are concerned over the government's silence. We signed an addendum in April and we are in September. The government is saying nothing. We want to know what is going on because we are incurring costs," he said.

The team informed the Committee that they had revised the inspection fees by more than a half.

In March 2015, the government signed an agreement with SGS to provide periodic motor vehicle inspection service.

In November 2016, the company commenced the services but in 2017 Parliament directed the Committee on Physical Infrastructure to investigate the company activities and consequently suspended the enforcement of the services until a number of issues were resolved.

Parliament was concerned about the high fees, lack of involvement of major government agencies such as NEMA, Police and Uganda Revenue Authority (URA), tax evasion and involvement in fraudulent activities, influence peddling, construction of the stations in road reserves and others.

Cabinet, however, in February 2020 approved the mandatory and periodic motor vehicle inspection service, which was halted by Parliament in 2017, citing job creation and enhancement of revenues.

Cabinet agreed that the system will improve road safety, control air pollution, create jobs, curb theft of motor vehicles, and enhance tax collection.

SGS has since established 7 service centres across the country to inspect motor vehicles. They are situated in Kampala, Mbarara, Gulu, and Mbale.

The MPs assured the team that they would quicken the process of report writing since most of the controversial issues have been resolved.

MP Elijah Okupa wondered whether the Company had imported the required equipment to inspect the vehicles.

"We are happy that the fees were revised. They are now affordable," he said.