South Africa is a water scarce country. The national government has been debating two project options to solve this problem. The first one is dam construction and the other one is importing water from Lesotho. The Ministerial team is debating over these two options. You have been employed as a project manager at the Department of Water and Sanitation. Advise the Ministerial team on the following regarding these two options;

a. Highlight the economic implications on South Africa of buying water from Lesotho. [6]

b. Choose the ideal procurement model for procurement for dam construction project. Justify your choice. [2+4]