September 7 ,2021
Dear Editor,
I read with amusement and concern on the new development surrounding the CJIA Modernization Project, where there has been an award of a $400M contract between the Ministry of Public Works and Total Solutions, published in Stabroek News on September 4, 2021. This, I find interesting and troubling! There are many questions to be asked, which I will do publicly and hope the Minister of Public Works provides the appropriate responses in the public. Editor, the CJIA Modernization Project has been plaguing our nation close to a decade now (2011-2021). Guyanese should be concerned, since taxpayers are the ones to repay the loan. The following must be put into perspective, so that your readers will have an appreciation of this missive.
On November 11, 2011, the People’s Progressive Party Civic Government, through the Ministry of Public Works entered into contract with China Harbour Engineering Company (CHEC) for a total sum of US$138M, funded by EXIM Bank of China, with an additional sum of US$12M, funded by the Government of Guyana. Let me hasten to say that though the contract was signed in 2011, actual works commenced on January 16, 2013, some fifteen months between signing and commencement of works. Also, the supervising Consultants, MMM group Limited in association with CEMCO commenced supervisory work on July 1, 2014, some eighteen months after, which meant that CHEC was executing activities on the project without supervision. When the APNU+AFC Coalition took office in May 2015, there were major financial issues and challenges on the project. Records revealed that thirty-five percent (35%) of the monies were expended on the project, which the contractor had claims of over US$44M.
The APNU+AFC Coalition Government discovered the following were not conducted: No feasibility studies, no soil investigations, absence of sites survey and preliminary reports or detailed studies, all linking to the project. Only two elements were agreed to, the contract sum and scope of works. Editor, was the People’s Progressive Party Civic Government serious about this project and value taxpayers’ dollars? I do not think so! This project should not have been with the people of Guyana some ten years after and yet to see a final product; if they had done what was expected from the initial stage of the project Guyanese today would have been enjoying the ambience of this modern facility. The People’s Progressive Party Civic as a Government has many failed projects under their record pre-May 2015; as a result of failed leadership and egregious decisions. Lest we forget, the Skeldon Modernization project (FAILED), Fibre Optic Cable (FAIL-ED), Charity Wharf (FAILED), Amalia Hydro Project (FAILED), One Lap Top per family (FAILED), just to name a few.
Editor, I now turn my attention to the recent signing of the $400M contract between the Ministry of Public Works and Total Solutions for the acquisition of two additional boarding bridges for the project. Some-thing seems off with this arrangement, since the CJIA Modernization project has an existing contract with China Harbour Engineering Company, whose responsibility is to procure and install ALL facets and fixtures for this project. How come Total Solutions fall into this arrangement? I guess the Minister of Public Works can explain. The people of Guyana must be reminded of an article captioned “Nothing being left to chance” – Edghill, following visit to CJIA project, carried in Guyana Times dated January 10, 2021. In the article at paragraph five (5), Mr. Edghill is on record, “we should have the preliminary drawings for additional works that they have to do by another two weeks, so that we can be able to confirm that by the end of March all the designs for additional works, will be done and we’ll be into construction.”
Further Editor an online article carried by News Room on January 9, 2021 captioned – Edghill tells CHEC: “Stick to outstanding works deadline on CJIA” it was reported in the article, “in December, Government brokered an agreement with CHEC for the company to undertake $1.8 billion in works on CJIA at no additional costs to taxpayers.” Editor, the article went on to remind us of the additional works to be undertaken by the CHEC. They are as follows:
1. An extension of the airport’s boarding corridor to accommodate two more passenger boarding bridges, providing the airport with a total of six boarding bridges capable of servicing aircraft such as the Boeing 777, Dreamliner, the Airbus and similar trans-Atlantic aircraft.
2. An extension to the Terminal Building to provide accommodation for additional commercial space such as food courts and duty-free shops. The Terminal Building will feature a modern airport façade covering the full length of the Departure Terminal.
I do recall on many occasions, my colleague and Former Minister of Public Infrastructure, David Patterson, M. P provided extensive clarity on this project, with much emphasis on the “high contentions,” surrounding the number of boarding bridges for the new Terminal Building. He reported to the people of Guyana that the “contract did not speak specifically to eight boarding bridges, however, it was the Coalition’s decision to have a completed Terminal Building with four boarding bridges, since the contract had provisions for two.” Editor, I browsed the website of the Ministry of Public Works and have not seen any advertisement regarding the procurement of boarding bridges, for which the contract has been awarded and signed for $400M. Additionally, a visit was made to the website of the National Procurement and Tender Board, where I perused tenders evaluated on the following dates: August 24, 2021, August 26, 2021, August 31, 2021 and September 2, 2021, again I have not seen any information on “Total Solutions,” or this project was evaluated at that level, but there is an award. This is quite troubling and Guyanese must be provided with information surrounding the awarding of this contract. If I missed sighting the information, then Mr. Edghill should provide guidance where I can locate the information.
Editor, it is prudent to remind Guyanese that Cabinet meets weekly to debate, discuss and give its No Objections to projects, travels and matters of national importance; thereafter, gov’t provides a “post cabinet” press conference, to advise the public on projects approved, inter alia. The Government has deliberately not hosted regular Post Cabinet Press Conferences, to keep the public engaged. There-fore, Editor, since the People’s Progressive Regime likes to boast of being “transparent and accountable,” I challenge Mr. Edghill to provide answers publicly on the following questions:
1. Advise the public if Total Solutions is a local company… if not, when was the company formed and registered in Guyana and who are its principals?
2. How long has the Company been operating in the construction industry?
3. Provide a list detailing works done in the last ten (10) years by Total Solutions.
4. Was there a public tender for the works? If yes, when and where was the advertisement (s)?
5. What has caused the sudden change from China Harbour Engineering Company doing ALL additional works without Costs by Taxpayers, as previously reported?
6. Was the $400M catered for in budget 2021?
7. Where will these boarding bridges be procured?
8. Is this arrangement a breach of contract between the Ministry of Public Works acting on behalf of the Government of Guyana and China Harbour Engineering Company, since the initial arrangements according to contract allows or caters for ALL fixtures and Facets for the project to be procured from China?
9. Is there an amendment to the Contract regarding eight (8) above? If so, when was this done and can the revised contract be made public?
10. What percentage of works on the project have been completed to date and the total sums paid as at August 31, 2021?
11. What is the balance of the project as at August 31, 2021?
12. When is the project likely to see its final completion?
13. Kindly provide a status update on the contractor’s performance and the $14B bonds as retention?
14. What mechanisms are in place to ensure that Guyanese taxpayers do not lose anything by China Harbour Engineering Company, if they are to walk away?
Editor, in concluding, I wish to reiterate my concerns regarding this new development by the Ministry of Public Works, and by extension, the Peoples’ Progressive Party and Total Solutions. It is clear that since August 2, 2020, regular updates on the project are not being provided to the public, but to read that the Government has reneged on its initial position, as reported in December 2020, that is, “CHEC Company to undertake $1.8 billion in works on CJIA at no additional costs to taxpayers.” Editor, I can only conclude that this project, before coming to a full completion, will be riddled with corruption and deceptions. Should Guyanese trust the Peoples’ Progressive Party? Editor, like ALL Guyanese, I look forward to reading Mr. Edghill’s responses to the fourteen (14) questions posited.
Sincerely,
Ms. Annette Ferguson, MP
APNU+AFC