No progress on East Bank to East Coast bypass road, north west ferry

The Ministry of Public Infrastructure (MoPI) returned more than $4 billion in loans provided for the execution of various projects after seeing very little to no movement on four projects, says MoPI Minister, David Patterson.

Chief among those projects was the $2.1 billion East Coast to East Bank Bypass road, funded by the Government of India. MoPI Technical Services Manager Nigel Erskine had previously told Stabroek News that works on the Ogle to Diamond bypass road were expected to begin in the final quarter of 2019 year as the preliminary report, which suggests that a four-lane highway is most feasible, was handed over in October 2018 by Indian company, RITES.

Erskine had said that the draft design was expected in the first quarter of last year, and that the final design was expected a month after that, and thereafter the tender documents made ready. He also said that bidding would take a further four to six months, after which the contractor was expected to be mobilised and ready to start the works.

The second major project which did not proceed was the procurement of an ocean-going passenger and cargo ferry at the cost of $1.33 billion. In its January 6th issue, Stabroek News reported that New Delhi’s Exim Bank, which is funding the procurement, did not provide a no-objection to the contractor recommended by government. This information was gleaned from the 2018 Auditor General’s report, which has been presented to Parliament, but has not been tabled.

The report stated that the entire allocation remained unallocated, and Patterson said the sum was returned to the Consolidated Fund.

It is uncertain when these funds will be re-distributed, and the projects executed.

Patterson also said that $600 million for works on the Sheriff Street-Mandela Avenue road expansion project was returned to the Inter-American Development Bank after non-compliances by the foreign contractor, Sinohydro Corporation, stalled works.

In its 18th December 2019 issue, Stabroek News reported that the contractor had failed to adhere to the environmental management, social management, road safety, and traffic control regulations and other contractual obligations resulting in the IDB withholding payments. Patterson said yesterday that works on this project resumed last Monday.

Patterson also said that $585 million provided by the IDB for an energy matrix study was returned.