Consultant on terminated Black Bush Polder pump station project was not paid in full

Dear Editor,

The Ministry of Agriculture’s National Drainage and Irrigation Authority (NDIA) is yet again forced to respond to missives regarding the termination of the Black Bush Polder pump station project in the Kaieteur News and Stabroek News.  

The Ministry wishes to vehemently dispute the claim that the consultant on the project, Innovative Engineering was paid in full. As such, in accordance with the scope of works, most of the monies paid were for design completed and supervision works. Notably, some monies are still owed to the consultants for supervision. Therefore, the consultant was not paid in full as is being claimed.  

It is also evident that the missives lack technical expertise in projects of this nature since there is reference to the “cage-like formation of steel rods” instead of the foundation for the structure. In addition, it is stated that the formation spans the entire concrete base. This is totally inaccurate since the steel reinforcement in place only spanned less than one-third that is required for the foundation that would be in place. It is clear that the writer did not even take the time to look at the technical specifications and drawings. The comments, therefore, are anecdotal.  

It is also disheartening to note that one of the missives chose to give an estimate for the completion of the project without an engineer’s estimate being provided. It is clear that the missive was steadfast in sensationalizing the issue.    Further, the claim that “the ministry has not addressed the financial implications the termination of the project will have on taxpayers” is misleading and mischievous to score cheap political points. The Ministry of Agriculture wishes to make clear that it has explored all options to ensure transparency and accountability as it relates to this project.  

Further, the cost to be incurred for corrective works would be borne by the contractor. The contractor will only be paid for works executed in accordance with the specifications under the contract after a valuation is completed. As such, the claim about the financial implications on taxpayers is a fallacy. Therefore, the claims of $21m and $38m respectively to be paid and will be spent are spurious. 

Factually, since the termination of the Black Bush Polder pump station project, the NDIA has taken control of the site and all materials on site are being checked meticulously by the consultants/auditor and placed on a list. All materials are then taken to a safe location where they are being cross-checked by the auditor. 

It is absurd of one of the missives to state that children may wander onto the construction site since this site is about two and a half hours upstream of the Canje Creek from the Canje bridge and no residential area is nearby. The missive is clearly out of touch with the reality of the project.

Regarding the cost that is being incurred, the consultant in collaboration with NDIA personnel is in the process of compiling final costs. In addition, no further monies have been paid to the contractor and no monies will be paid until completion of the project.

With regard to the issuing of a completion certificate for performed works, Clause 60.1 of the contract states that “If the contract is terminated for a fundamental breach of contract by the contractor, the Engineer shall issue the confirmed certificate of performed works and materials ordered less advance payments received up to the date of the confirmation of the certificate and less the percentage of unperformed works…” If the writer had reached out to the entity, he would have been provided with this information. It is clear that the writer is not familiar with contracts and projects of this nature and his comments are at best, anecdotal.

Importantly, the performance and advance mobilization bonds on the project have not expired since they are valid up to April 28, 2024. As such, monies can be recouped.

The missives continued to badger the Hon. Minister of Agriculture about the termination of the contract when it was necessary and unavoidable since there was a failure of the concrete compressive strength test, the slothfulness of the contractor to execute works coupled with a number of other technical issues which led to termination. It is indeed surprising and shortsighted of one of the missives in insinuating support for a contractor doing faulty works.    

As it relates to meeting the Hon. Minister of Agriculture, there is an “open door” policy and the Hon. Minister is open to any constructive conversation or comment that would support the successful completion of capital projects under his portfolio.   

One missive also makes an allegation that these projects are awarded to inexperienced contractors and there was not strict adherence to standard evaluation criteria. The Ministry of Agriculture wishes to highlight that the award of the contract was done through public tendering and evaluated by the National Procurement and Tender Administration Board (NPTAB).

Further, why are these missives supporting a delinquent contractor when the termination was a necessity rather than complimenting the Hon. Minister of Agriculture for taking such a stance since taxpayers’ money would be saved? Why wasn’t the same position taken by the writer when “fire pumps” were being procured by the past administration? It seems as though the writer has a hidden agenda. 

Following the termination of the contract, why would questions be raised with the employer to decide to move materials that were left on site for appropriate safekeeping and thus ensuring accountability?

The Ministry of Agriculture wishes to bring to the attention of the public that in carrying out its mandate it will ensure that all projects under its portfolio are done in an accountable and transparent manner. As such, the Ministry would not be discouraged by negative comments as the Ministry continues to transform the agriculture sector.   

Yours faithfully,

Dave Hicks, CEO (ag)

National Drainage and Irrigation Authority