Prime
26 road projects stall over funding
Contractors carry out expansion works on the Northern Bypass in March 2020. PHOTO/ FILE
What you need to know:
- UNRA says the delays in implementation of the projects have been precipitated by government’s failure to avail the authority with the required funding.
Work on at least 26 out of 30 road infrastructure projects listed for construction under the transport sector programme of the third National Development Plan (NDPIII) is yet to commence even as the plan inches towards the halfway mark of the timeframe within which it is meant to be implemented.
Projects under the five-year policy are meant to be implemented between the financial years 2020/2021 and 2024/2025.
The State Minister for Finance (General Duties), Mr Henry Musasizi, declined to comment on the matter, but Mr Allan Ssempebwa, the Uganda National Roads Authority (UNRA) spokesperson, told this publication that delays in implementation of the projects have been precipitated by government’s failure to avail the authority with the required funding.
“You may have noticed that we are also talking about closing of the financial year with a debt. The problem is mostly financial, but as government gets financing, certain projects are able to get money and works go on. Most of these projects will kick off,” Mr Ssempebwa said.
Stalled projects
The affected projects were listed under the integrated transport infrastructure and services project, the objective of which is to increase stock and quality of transport infrastructure by investing into the development of an inter-modal transport system.
The plan entailed development, operation and maintenance of national roads by rehabilitating at least four roads and upgrading 22 roads from gravel to tarmac. The upgrade had been expected to add at least 1,957.95kms to the all-weather road network.
According to UNRA’s annual performance report for the Financial Year 2021/2022, which was released in August last year, 22 of the affected roads had been lined up for upgrading from gravel to tarmac, while four were meant to have been simply rehabilitated.
The performance report indicates that the contracts for work on the 22 roads is “under procurement” and lined up to commence this financial year (2022/2023), but the Authority hastens to add that the award of contracts for the same is “subject to confirmation of funding by the Ministry of Finance, Planning and Economic Development at contracting stage”.
Delayed projects
Monitor has learnt that some of the NDPIII projects that took off have also been pegged back due to inadequate funding from government.
Most of the projects that are running are, however, said to be running way behind schedule. Some of these include the 23.7km Busega-Mpigi expressway, which was contracted to joint venture firms involving China Civil Engineering Construction Corporation and China Railway 19th Bureau Group Uganda Limited at a cost of Shs547.5b.
Work commenced in June 2019, with a completion timeline of 30 months, but a source within UNRA has since informed this publication that the project, is more than 12 months behind schedule.
The project was initially pegged back due to an increase in the scope of work that was precipitated by the need to realign the route to avoid densely-built settlements; delayed mobilisation of equipment and manpower imposed by the outbreak of the Covid19 pandemic, and challenges that UNRA met in regard to compensation of landowners.
The project has now been hit by delayed remittance of funds by the government.
Also pegged back is work on the 11km Najjanankumbi—Busabala Road, which was contracted to the China State Construction Engineering Corporation (CSCEC) at a cost of Shs258b. Work on the project, which was flagged off by President Museveni in December 2020, was meant to be completed within 36 months, but has also fallen behind schedule due to funding difficulties.
Mr Ssempebwa confirmed the delays, but hastened to add that government has been pushing to ensure the projects go on despite the limited resources.
“Much as works have delayed pending, of course, some payments, they have not completely stalled. Even with (the) cash constraints, government has ensured works do not stall. Focus has been put on continuation of the ongoing projects so that we do not see them stall as it gets financing for these others that have not yet kicked off,” he said.
Chronic financial troubles
However, despite the optimism expressed by Mr Ssempebwa, a look at UNRA’s annual performance report for the financial year 2021/2022 paints an image of an organisation that is wallowing in debt due to continued underfunding over the last five years.
The report shows that it has only been on three occasions in the last six financial years that it has been availed with above 50 percent of its budget, but even then, the allocations never made it to the 55 percent mark of the budgetary requirements.
In the financial year 2015/2016, UNRA had a budget of Shs582b, but was availed only Shs261b.
In the FY2016/2017, it had a budget of Shs400b, but was availed only Shs217b; in FY2017/2018, it had a budget of Shs596b, but was availed Shs267.8b.
In FY2018/2019, UNRA had a budget of Shs596b, but was availed only Shs312.56b; in FY2019/2020, it had a budget of Shs596b, but was availed only Shs282.2b; in FY2020/2021, it had a budget of Shs596b, but was availed only Shs310b, and government availed only Shs235.1b against a budget of Shs596b in FY2021/2022.
“UNRA brought forward a debt of Shs215.059b from the previous financial year (2020/2021). This debt reduced the approved budget for FY2021/2022 by the same amount. By close of FY2021/2022, UNRA closed with a debt of Shs471.84b…” the report reads in part.
Among those that it owed money as at the close of FY2021/2022 were land owners, who it owed slightly more than Shs128b and government, which it owed Shs255.5b. It is not clear how much of this debt has been cleared since FY2022/2023 commenced.
“This (bad state of finances) is mainly due to the debts carried forward, as well as the unreleased 24 percent of the approved budget for the year of reporting. Only 46 percent of the required Shs511b was released for land acquisition during the year, leading to UNRA’s failure to acquire right of way for ongoing and planned road development projects,” the report further reads.
Other stalled projects
Work on the construction of at least 10 bridges on several roads across the country have also stalled.
Some of the pending bridge works include the proposed construction of bridges in Dunga, Mahoma, Mpanga, Nabuswa (Nyabuswa) and Perepa on Bukuku-Rubona road in Kabarole District; in Nyamugasani on the Rwentare-Katwe-Katojo road, and Kyanya on the Mobuku-Maliba-Kyanya-Ibanda road.
Other stalled bridge works include that of Isango on the Bwera-Kithoma-Kiraro road, Apaa on the Amuru-Omee-Rhino Camp road 1; Lions Swamp Crossing on Moroto-Napak-Abim-Pader road; five bridges in Lotoketangisira on the Kaabong-Kapedo Road.
The planned provision of ferries and search and rescue boats on Lake Bunyonyi has also not been done due to lack of funds.
“Like I have already said, most of these projects will kick off as government gets financing,” UNRA spokesperson Allan Ssempebwa said.
