East Demerara conservancy drainage included in $141M contracts

Five contracts amounting to more than $141 million for drainage in the problematic East Demerara conservancy and other areas were yesterday signed by the Ministry of Agriculture.

Three of the contracts are being funded by the World Bank under the Conservancy Adaptation Project while two are funded by the Inter-American Development Bank (IDB) under the Agricultural Sector Support Services Programme (ASSP).

The first contract was awarded to Associated Industries Limited (AINLIM) to supply a Hydraulic Excavator, which will be used in the execution of drainage works in the East Demerara Water Conservancy (EDWC). The value of the contract is $37,325,000.

Another contract was awarded to A&S General Contracting Inc. to the tune of $49,899,400. This contract will see the Lama Sluice being fully rehabilitated. According to Agriculture Minister Robert Persaud the doors of the Lama Sluice have been in a precarious state for a long time and said that these repair works were welcomed.

The Guyana National Industrial Company received the contract for the fabrication of a punt and pontoon for the EDWC. The contract is to the tune of $34,684,400. The pontoon will be used in the EDWC to transport machinery and aid in the clearing and excavation of drainage canals.

Under the IDB-funded ASSP project, two contracts were awarded to the General Equipment Guyana Ltd. The first was to the value of $8, 116,450 and will see a Laser Leveler being used at the Burma Rice Research Station to aid in improved rice research and cultivation techniques.

The second contract is to the tune of $11 million and will see equipment being supplied to the Burma Rice Research Station to facilitate improved research.

Minister Persaud said that these contracts seek to enhance the rice research capacity of the Guyana Rice Development Board (GRDB). He pointed out that there are concerns as it relates to the GRDB and its limitations regarding rice research.

Giorgio Valentini, the local representative for the World Bank, said that the organisation was pleased to be associated with these contracts. He said that the projects are being undertaken to improve the EDWC, and pointed out that Guyana is prone to the effects of climate change.

Meanwhile, IDB Representative Marco Nicola also expressed optimism that the project will have a positive impact and pledged additional support in the sector by the IDB. He pointed out that this contract represented part of an ongoing relationship between the IDB and the agriculture sector of Guyana.

The Minister, meanwhile, reminded the contractors of the importance of sticking to deadlines and said that failure to do so significantly impacted the agriculture sector, in particular the farmers, negatively.

Meanwhile, Persaud pointed out that attempts by the Ministry of Agriculture to acquire its own equipment for drainage work should not be seen as an attempt to get rid of contractors. He said that the emphasis was on capacity building, and he said that this was being used to help in the earthen works as opposed to civil works.  He said that these purchases were done to ensure maximum profit. He pointed out that whenever money was invested to purchase an excavator, the investment was recovered within a few months.