Mahipaul flays Mustapha decision to terminate Black Bush pump station contract

The rusting steel rods
The rusting steel rods

Saying that it would end up costing taxpayers millions, APNU+AFC Member of Parliament (MP) Ganesh Mahipaul, has launched a scathing attack on the Minister of Agriculture, Zulfikar Mustapha, for his decision to terminate a pump station contract at Black Bush Polder on the Corentyne. 

In a release yesterday, Mahipaul accused Mustapha of inflicting “grave financial harm upon the hardworking taxpayers of our nation” by terminating the contract for the construction of the pump station at Black Bush Polder, designed to irrigate the Black Bush frontlands.

The Opposition MP posited that terminating the contract would entail the National Drainage and Irrigation Authority (NDIA), which comes under the Ministry of Agriculture, having to  pay for work already completed and also for the materials already present on the construction site at the time of this decision.

Steel rods in place for the pump station

Mahipaul disclosed that on Tuesday, he conducted his own on-site inspection where he observed the “squandering” of millions of dollars, a sight he was moved to describe as a “disheartening spectacle.”

He went on to describe the “spectacle” as follows: “There, unmistakably, lay a cage-like formation of steel rods, consisting of both one-inch and three-quarter-inch corrugated steel rods, spanning the entire base of the project, atop what appears to be a concrete foundation. Moreover, a disheartening quantity of steel rods lie in a state of advanced rust, slowly decaying. With this project slated for retendering, these valuable materials will continue to deteriorate, translating into an exorbitant financial loss for the taxpayers.”

According to Mahipaul, his “meticulous’ audit revealed an inventory of 2,330 one-inch steel rods, with an estimated unit cost of $7,000 each, equating to a “staggering” $16,310,000; 2,700 three-quarter-inch steel rods, valued at $3,900 each, totalling $10,530,000; 2,960 five-eighth-inch steel rods, with a unit price of $2 800 each, totalling $8,288,000; and 1,540 half-inch steel rods, with an approximate cost of $2,000 each, for a total of an “alarming” $3,080,000. The total sum of the aforementioned items adds up to an “exorbitant” sum exceeding $38 million, he stated.

The MP went on the argue that the “repercussions of this decision are dire” simply because when the contract is eventually retendered, the new contractor will not be able to employ the “rust-ridden” steel rods since using them would not only compromise the structural integrity of the project, but would also raise “grave concerns” regarding the safety and longevity of the infrastructure.

As far as Mahipaul is concerned, the most prudent course of action would have been to immediately ensure the pouring of concrete over these steel rods, which he opined is a straightforward task given that the necessary cage-like structural formation was already in place. However, instead, he proffered, Mustapha chose to act “hastily,” without regard for the financial interests of the taxpayers or the integrity of the project itself when the “the wisest decision” would have been to protect taxpayers’ investments by ensuring the concrete was applied to these steel rods before any termination took place.

As such, the MP views the minister’s decision as shortsighted with concomitant financial loss. “The consequence of his decision is a severe financial loss for the very citizens he is meant to serve. It is the duty of responsible leadership to safeguard the interests of the people and wisely allocate resources. In this case, Minister Mustapha has failed in this fundamental responsibility, and the taxpayers will pay the exorbitant price for his thoughtless actions.”

The Ministry of Agriculture did not take kindly to the Opposition MP’s views, referring to them as “mischievous, misleading, inaccurate… and bordering on mischief.” In a release yesterday  by the ministry in response to Mahipaul’s missive, it strove to make clear that the Ministry of Agriculture’s National Drainage and Irrigation Authority (NDIA) acting on the advice and recommendation of its “experienced” consultants took a decision to terminate the contract for the Black Bush Polder pump station, claiming several technical breaches by the contractor, Yunas Civil and Building Contracting Services.

The release noted that the consultant’s recommendation was based on the failure by the contractor to address breaches of the contract continually combined with the failure of the contractor to execute works in accordance with the contract allied with the continued failure over the duration of the project to achieve the scheduled progress of works in accordance with the approved work programme, which altogether amounted to a fundamental breach of the contract.

Pile caps

Delving deeper, it also stated that several clauses of the contract also continued to be breached, such as the employment of key personnel – a requirement under the contract. And as it relates to design specifications, a number of discrepancies were observed with the reinforcement of the pile caps. It was also observed that no dowel bars were installed on a number of piles even though casting was ongoing and the spacing between the reinforcement bars was inconsistent with the drawings. This, it was explained, further compounded non-compliance with technical specifications and construction drawings for the project.

The ministry also pointed out that the concrete compressive test showed that the concrete strength did not meet the standard, which meant that the steel rods that were installed would have to be removed by breaking out the concrete and relacing them at the cost to the contractor. As such, given the circumstances, the decision was taken to terminate the project.

The release castigated Mahipaul for not taking the time to investigate the facts, and instead choosing to sensationalise the issue. It referred to his claim that “these valuable materials will continue to deteriorate, translating into an exorbitant financial loss for the taxpayers” as “totally inaccurate.”

“While it is indeed questionable that Mr. Mahipaul has taken the time to visit the project site and meticulously count the steel rods as well as provide a value, he should have done the same for the “fire pumps” that were procured by the previous administration since none of those pumps are efficiently operated and continue to cost taxpayers hundreds of millions of dollars. It would seem that Mr. Mahipaul’s meticulous check is more anecdotal information rather than on facts.”

With regard to Mahipaul’s recommendation that concrete be poured over the steel rods, the release called it “absurd” and countered by stating that was not based on any technical advice since the entire structure would need to be replaced given the failed concrete compressive test. It contended that in building a structure of this nature, the piles are first placed then capped following by the installation of steel as shown in Mahipaul’s photographs.

Therefore, since the concrete compressive test did not meet the required standard, the entire concrete around the pile caps would need to be broken and replaced. Further, the steel as shown in the photographs would be removed and new concrete is poured around the pile caps. The steel rods would then be replaced. As such, it said “Mr. Mahipaul lacks technical knowledge as it relates to these projects.”

Irony

The MP was taken to task for failing to engage the NDIA where the relevant information would have been provided. As such the release called for the allegations that Mustapha acted improperly to be immediately retracted while reminding that it was Mahipaul himself who advocated that action be taken against defaulting contractors. It also pointed to the irony that now that action is being taken, the MP has an issue, which it argued clearly translates that “that Mr. Mahipaul is not interested in the facts but only wants to sensationalize issues.”

The Ministry of Agriculture therefore iterated that its decision to terminate was based on sound engineering advice and not “shortsightedness” and “thoughtless action” as suggested by the MP.

However, in this clash of opinions, the Opposition MP chose to have the final word on this issue. He issued a follow-up release where he referred to the Ministry’s criticism of his suggestion where they posited the absurdity of pouring concrete as it was not based on any technical advice since the entire structure would need to be replaced given the failed concrete compressive test and delved into further technical detail to support its view.

In response, Mahipaul asked, “This now begs the question as to why would payments be made to the contractor for measured work and materials on site if the work done by the contractor was so unsatisfactory?” He added, “I present to you a letter written by the NDIA CEO where it is clearly stated that the contractor would be paid for works completed and for materials on site.” This subsequently prompted a second question, “If the ‘completed’ work will now have to be redone as claimed by the Ministry’s sensational response, would that not cost the tax payers millions of dollars?” He also informed in the interest of accuracy that the prices for the steel-rods were market prices quoted from a hardware store. As such, Mahipaul said that he stands by his findings.