4.2. Extension of contract with Arivia.kom a) According to the DWA Procurement manual, contract periods may only be extended for a maximum period of a year. The DWA Delegation of Authority indicates that the original contract value may not be increased by more than 50%. b) According to an unsigned contract, the DWA entered into a contract with Arivia.kom for a period of 36 months ending 28 February 2006 for an amount of R180 million. According to the above regulations, the contract could only be extended until c) 28 February 2007 for an amount of not more than R90 million (50% of the original value). d) The contract was extended by 49 months and the original value was increased from R180 million to R1, 056 billion (587% instead of 50%). e) The former Director-General (DG) approved the extension from 01 March 2009 to f) 30 November 2009 (9 months) for an amount of R344 million in contravention of the DWA Procurement User Manual and the DWA Delegation of Authority. g) The suspended acting DG approved a further extension of the contract for the period 01 December 2009 to 31 March 2010 for an amount of R80 million in contravention of the DWA Procurement User Manual and the DWA Delegation of Authority. h) Although AGSA reported in May 2010 that the contract was extended in contravention of the DWA Procurement User Manual and the DWA Delegation of Authority and constitutes irregular expenditure, the contract has not been cancelled.