Following questions raised by APNU+AFC MP, Ganesh Mahipaul, the NDIA yesterday disclosed that a $978m contract for a pump station at Black Bush Polder (BBP), Corentyne was terminated in September for poor work and several others had been granted extensions for a variety of reasons.
In its statement disclosing the termination of the BBP pump station contract, the National Drain-age and Irrigation Autho-rity (NDIA) did not identify the contractor but Mahipaul in a letter to the October 8th edition of Stabroek News had identified the company as Yunas Civil and Building Construction.
“With regards to the construction of the drain-age pump station to irrigate Black Bush Polder Farm-lands, Region No. 6, this project was terminated on September 25, 2023 by the NDIA for poor quality and performance of works being executed. This project will soon be reten-dered”, the NDIA said.
Prior to yesterday, there had been no such disclosure by the NDIA or the Ministry of Agriculture.
Mahipaul had said that the BPP project had an expected completion date of April 23, 2023 and only 14% of the work had been done but 20% of the contract sum had already been disbursed.
The NDIA explained why the construction of other pump stations – also mentioned by Mahipaul – was behind schedule. It said that adequate justification existed.
“Notably, these pump station projects are managed by experienced consultants who would have previously supervised the construction of other successfully completed pump stations. In addition, NDIA project engineers are experienced and seasoned individuals with knowledge of the construction of pump stations. All the named projects received extensions from the National Procurement and Tender Administration Board (NPTAB) in accordance with the Procurement Act. Therefore, there were adequate justifications for the delays”, the NDIA said in a release.
The Ministry said that the Charity pump station, Region No. 2, had difficulties with squatters who were in occupation of the site and the NDIA had to engage the Guyana Police Force (GPF) to remove those persons within the wayleave of the pump station and that took several months. The Ministry says that works are now progressing and pumping equipment is expected to be delivered shortly.
Mahipaul had said that this $544.8m contract was awarded on July 8, 2022 to Admantium Holdings with a stipulated completion date of July 8, 2023. Mahipaul said that only 10% of the work had been completed.
In relation to the A-Line pump station, West Demerara, Region No.3, the statement said that the NDIA had to engage shopkeepers and fisher folks to remove encumbrances such as shops, fishermen’s storage huts and utilities. This meant, according to the NDIA, that there were consultations and even compensation to aid in removal from the project site and relocation took several months. Mahipaul had said that this was a $717m contract awarded to Civcon Engineering Con-tractors with a completion date of June 12, 2023. He said that a mere 8% of the project had been finished despite 25% of the project sum having been disbursed.
In relation to the Canal No.1 pump station project in Region No.3, the NDIA said there was a delay in obtaining approval for the demolition of a community centre building. This building the NDIA said was within the construction zone and housed a sub-office for the National Library of Guyana. As such, there were engagements to provide for the relocation of the occupants and this process took some time significantly delaying the project. At the moment, foundation piles are being driven with pumping equipment expected to be delivered shortly. This project, the NDIA said, is way above the 25% completion mark cited by Mahipaul. The APNU+AFC MP had said that this $650m contract was awarded to Well Built Construction Service and was to be completed by May 31, 2023.
As it related to the Cottage pump station, in Region No.5, it was explained by the NDIA that due to the erosion of the main access dam, there was an issue with access to the project site. As such, a bridge and access dam had to be constructed. This resulted in major delays to the project, the Ministry added. Mahipaul had said that this $903m project had been awarded to VALS Construction and was scheduled for completion on December 1, 2022. He had said that only 44% of the project had been completed.
In early 2022, several agencies attached to the Ministry of Agriculture signed contracts for the construction and rehabilitation of pump stations and drainage structures, the procurement of critical machinery and the maintenance of several canals across the country.
At the signing of the $650 million contract with Well Built Construction Service for the pump station at the Canal Number One sluice, West Bank Demerara, Minster of Agriculture Zulfikar Mustapha had said that the Ministry would not be extending any deadline.
“I want to urge contractors that we will not extend the time. Last year we would have had some problems with contracts, let us hope that we correct those problems and get these works finished on time,” Mustapha emphasized.
In his letter of October 8th, Mahipaul had said “As a member of the Public Accounts Committee, I demand accountability and transparency from the NDIA. Taxpayer funds must be managed responsibly and efficiently, and these incomplete projects warrant thorough investigation and corrective action. The public’s trust and the prudent use of their hard-earned money are at stake, and we will continue to fulfill our oversight responsibilities diligently”.
Mahipaul yesterday wrote the Public Procurement Commission calling for an investigation of the award of these contracts.
