Leonora synthetic track incomplete…Company paid $16M more than contract price and work incomplete

Mar 16, 2014 News

The German company contracted to lay the synthetic athletic track at Leonora, West Coast Demerara, has been paid in full and is back in Germany but the project has not yet been completed.
By the end of October, the company was paid all of its money – US$547,192. At that time, only 65 per cent of works were completed.
This project was awarded to BSW on March 18, 2011 for US$465,000. But that contract price was later revised due to what the company said was an increase in world market prices for materials.
In addition, the German company hired its own supervisor for the project. That supervisor had to provide additional services, thus sending up the price, further.
Alfred King, Permanent Secretary in the Ministry of Culture, Youth and Sport, confirmed that the contractor has been paid in full and has returned to Germany without the job being completed.
He said that the company had indicated that it was awaiting good weather before returning to Guyana to complete the job.
“We have told them that they can get five to 10 sunny days to get the job done,” King told Kaieteur News via telephone.
Mr King said that the contractor will have to return to Guyana to complete the project but that cost would not be borne by the Ministry.
The company started laying the track in November but stopped because of rain. Minister of Culture, Frank Anthony, was quoted by the Government Information Agency as saying that he would have to “re-invite” the company to finish the project.
Steve Ninvalle, Deputy Permanent Secretary at the Ministry of Culture, Youth and Sport, said the German company is expected back in Guyana this Thursday and would require 10 days of good weather to complete the laying of the surface. All materials for completing the project are on site.
The contract should have been completed on September 18, 2011.
The project has a five-year warranty period.
The laying of the athletic track is just one aspect to develop the Leonora facility.
Other aspects of the project include construction of a Club House/Main Pavilion, spectator stands and parking lots.

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Leonora synthetic track incomplete…Company paid $16M more than contract price and work incomplete

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