Where was the supervisor when contractor bungled Black Bush Polder pump station project? Mahipaul questions

Oct 20, 2023 News

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…says firm paid full $21M sum to overlook project

Kaieteur News – Opposition Member of Parliament (MP), Ganesh Mahipaul on Thursday questioned the role of the consultancy firm which was hired by the Ministry of Agriculture to design and supervise the construction of the $987M pump station at Black Bush Polder (BBP), Corentyne.

“What exactly was Innovative Engineering Consultancy Services supervising?” Mahipaul asked as he noted that the firm, Innovative Engineering Consultancy Services, which was contracted by the National Drainage and Irrigation Authority (NDIA) at a cost of $21,712,000 to design and supervise the construction of pump station, was paid in full before recommending termination of the contract on September 25, 2023.

On Wednesday, Mahipaul hammered Minister of Agriculture, Zulfikar Mustapha over the termination of the project noting that the decision was “short-sighted” and that taxpayers stand to lose more than $38M as a result.

Later on Wednesday, the minister the Opposition MP of “lacking technical knowledge” on the issue, while noting that he provided “misleading” information on the issue.

Yesterday Mahipaul responded to discrepancies which the Ministry of Agriculture identified as being among the factors why the project was terminated.

“The Ministry of Agriculture in a response to my findings surrounding this project claims that the concrete compressive test showed that the concrete strength did not meet the standard which would require the steel rods that were installed being removed and that the concrete will be broken out and steel rods replaced,” he said.

In addition, he pointed to discrepancies which the ministry alluded to regarding the reinforcement of the pile caps. “It was observed that no dowel bars were installed on a number of piles even though casting was ongoing,” he said adding that the spacing between the reinforcement bars was inconsistent with the drawings. “This further compounded non-compliance with technical specifications and construction drawings for the project,” he said.

Given the inconsistencies, he questioned the whereabouts of the consultant when the errors he identified were made by the contractor. “Why was the contractor allowed to place the cage-like formation of steel rods consisting of both one-inch and three-quarter inch corrugated steel rods spanning the entire concrete base if the concrete strength did not meet the standard which would require the steel rods to be placed there?” he questioned.

Mahipaul said the Ministry of Agriculture must be held accountable for the financial losses which will occur as a result of the termination of the project by the NDIA.

“With $21, 712, 000 paid to the consultant, over $38M in steel-rods deteriorating via rusting at a fast rate and millions yet to be paid to the contractor for completed work and materials on site, the Ministry of Agriculture must be held accountable for bad contract management and wasteful spending of taxpayers’ money,” he said.

ONE BILLION TO COMPLETE

As regards re-tendering the project, Mahipaul said that by his estimation, over one billion dollars will have to be paid to a new contractor to “correct the errors and complete this project.”

He said the estimated cost excludes, “the millions that will have to go towards the consultancy firm for supervision again.”

He added too that the ministry has not addressed the “financial implications” the termination of the project will have on the taxpayers. “But I wish to make it abundantly clear that I am not interested in engaging in tit-for-tat politics with Minister Zulfikar Mustapha,” he said.

The Opposition MP said he contacted Mustapha my phone to arrange a discussion concerning the pump stations throughout the country. “Regrettably, to date, the Minister has not provided me with a suitable date and time for this conversation. Consequently, I feel compelled to seek answers through public channels,” Mahipaul said.

“The fundamental point in all of this back-and-forth is that, when we entrust billions of dollars to contractors who are inexperience, it places a heavy burden on taxpayers, resulting in wasteful spending. Ensuring that contracts, particularly for technical projects such as the construction of these pump stations, are awarded to experienced contractors is of paramount importance. Therefore, strict adherence to the Standard Evaluation Criteria is not just a preference but an absolute necessity,” he added.

PROPER FUNCTIONING NPTAB

In addition, he noted that the issue reflects on the functions of the National Procurement and Tender Administration Board (NPTAB) and the Procuring Entity. “The Procurement Act of 2003, Section 39 (3), explicitly states that the procuring entity shall, if it concurs with the Report of the Evaluation Committee, publicly disclose the name of the tenderer identified by the Evaluation Committee as the lowest evaluated tenderer,” he said.

Mahipaul said if the procuring entity disagrees with the Evaluation Committee’s determination, it shall issue an advisory recommendation to the committee regarding which bidder should be considered the lowest evaluated bidder. He said the Evaluation Committee shall take that recommendation into account.

Earlier this month, Mahipaul issued a call for a probe into several pump station contacts across the country which he said were way behind schedule.

The project at BBP, which was undertaken by Yunas Civil and Building Construction, was expected to be completed by April 23, 2023. The contract was awarded by the NPTAB in 2021. Mahipaul said that only 14% of the work had been done but 20% of the contract sum had already been disbursed.

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• Black Bush Polder, Ganesh Mahipaul, Innovative Engineering Consultancy Services, Opposition MP, project, pump station

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