Ministry moving to oust T&T firm from contracts over `non performance’

Minister of Public Works Juan Edghill with contractors at the project site recently
Minister of Public Works Juan Edghill with contractors at the project site recently

By Joseph Allen

The Ministry of Public Works (MoPW) is set to approach the National Procurement and Tender Administration Board (NPTAB) to discuss blacklisting Trinidadian company, Kallco Guyana Inc, as a “non-performing contractor.”

“Basically, the end result will be that Kallco will have to be removed from these projects. We have to ensure we follow the terms and conditions of the contract and he will be deemed a non-performing contractor, and we will have to say to the tender board that he is a non-performing contractor and that he should not be given any work in Guyana”, Minister of Public Works, Juan Edghill told Stabroek News yesterday.

Kallco (Guyana) Inc was contracted to complete a sector of the East Coast Demerara Highway road project that will connect with Dennis Street in Georgetown.

The project site

The project which begins at the Conversation Tree corridor, is approximately 1.9 kilometres from the Rupert Craig Highway and will connect to Dennis Street. It will also be linked to Sheriff Street from the Dennis Street corridor

This project was split into two lots. Lot 8 A is being executed by S Jagmohan Construction and General Supplies Inc, to the tune of $1,066, 358,738, while Lot 8 B was awarded to a Trinidadian company, Kallco Guyana Inc, to the tune of $830,293,458. The project was awarded by NPTAB last year.

Since then, some 65 per cent of the contract time has elapsed with only approximately 25 per cent of the work completed. Coupled with that, residents have been complaining about stagnant water, which is breeding mosquitos, and the lack of access to their properties.

Due to the complaints and non-performance, MoPW had made the decision to have the company produce a proposal to the Ministry of Public Works detailing how it planned to complete the second leg of the project.

This came after officials from the company had met with the Minister of Public Works and other officials to discuss the way forward. This was merely a week after a letter of poor performance was issued to the company.

It was after the meeting that Edghill informed that the proposal was to be handed in within the next few days. He also noted that a decision would be made after the proposal was submitted.

However, Edghill told Stabroek News that although it has been more than a week since the proposal was handed in, the company did not present any convincing details to show that they would be able to complete the work in time.

“Kallco is a non-performing contractor, nothing has been proposed or said to us that they will be able to complete this project within the stipulated contractual time.”  Edghill noted.

He added that the search is now on for an alternative contractor to finish the works, while also examining the legal implications.

“The project management team of the Ministry of Public Works is following the guidance of the contract to take all the necessary steps to ensure that the state’s interest is preserved and secondly, that we get the road constructed and ensure that people get what they deserve and that the inconvenience that people are suffering isn’t prolonged”, he said.

When asked if the contract will go back to tender, the minister explained that he was unable to say so at the moment, and only after the clauses in the contract are looked at. 

“I would not want to pronounce on that right now because that will be determined by what the final outcome is and how the contract is dealt with. There are clauses in the contract that need to be followed”, he said.

Edghill said that as of now, Kallco has not been instructed to leave while hinting the company might also lose the Cheddi Jagan International Airport (CJIA), Timehri contract for the construction of office space since the company is also  not performing there. He stressed however, that what is being done here is nothing different.

“You have heard me address local contractors about their non-performance and I said what I’m going to do and with Kallco it’s nothing different”, he stated.

When Stabroek News visited the worksite weeks ago, some walls of the drainage structure were already up while workers were seen constructing the foundation works for the drains.

However, at present, all tools are down and no workers are at the site.