Hello

Your subscription is almost coming to an end. Don’t miss out on the great content on Nation.Africa

Ready to continue your informative journey with us?

Hello

Your premium access has ended, but the best of Nation.Africa is still within reach. Renew now to unlock exclusive stories and in-depth features.

Reclaim your full access. Click below to renew.

Contractor fails to deliver Shs37b projects again

A section of Olwol Road in Lira City, which is being constructed under Uganda Support to Municipal Infrastructure Development. PHOTO/FILE/BILL OKETCH

What you need to know:

  • Monitor has established that the work was supposed to have been completed within a period of 15 months, which elapsed on August 9, 2022.  

A contractor awarded a multibillion infrastructure project in Lira City under the World Bank-funded Uganda Support to Municipal Infrastructural Development (USMID) programme nearly three years ago has failed to beat the deadline three times.

In April 2021, Lira City Council leadership contracted Al Nuaimi Group and Abubakar Technical Services to construct a children’s park at Adyel, and rehabilitate Note-ber, Olwol, Boundary, Obangakene and Aber roads and to build Coronation Park at a total sum of Shs37 billion.

Monitor has established that the work was supposed to have been completed within a period of 15 months, which elapsed on August 9, 2022.  

After the contractor failed to deliver the project, the Lira City Council contract committee then extended the contract by 45 days for the contractor to complete the works. After the expiry of the 45 days, the contractor failed to beat the deadline again.

Since then, the government has kept on extending the contract, and to date, the contractor is still struggling with the project because he is said to be implementing similar projects in Apac and Moroto municipal councils.

But during the site inspection tour by officials from the ministries of Lands and Local Government, World Bank and Lira City Council, the contractor’s team pledged to deliver the project before December 26, 2023.

Ms Sarah Awor, a female councillor representing workers at Lira City Council, said many municipalities and cities are facing a challenge in the implementation of USMID projects.

Mr Patrick Ogwal, former president of Lira City Development Forum, said he has seen compromises in the quality of works.

Leaders irked
“As we talk now, the contract has been extended for more than three times and it is not yet complete, which is past the contract period and there is no value for money,” he said in an interview last week.

Mr Ogwal suggested that the government should first take into account the capacity of local firms before awarding them multibillion contracts.

“If considering a local contractor, the government has to do a lot of research in terms of capacity, if they have the necessary equipment, qualified manpower and funds in their accounts to implement all these huge projects,” he said.

“For instance, if you value the work being implemented, it is not even 60 percent. The drainage systems have not yet been worked on, and the lights have not yet been installed,” he added.

Mr Freddie Owiny, the Lira City engineer, said the financing agreement between the government of Uganda and the World Bank in relation to USMID was supposed to have ended on December 31, 2023, but due to a few challenges, it was extended.

According to Mr Owiny, in December, they received communication that the World Bank had accepted to extend the contract up to June 2024 for projects to be completed.

He, however, assured the public that all the projects currently being implemented under USMID will be delivered for effective service delivery.

While the contractor could not be reached for a comment, Ms Sheila Naturinda, the USMID communications specialist, said the World Bank has given a greenlight for the extension of incomplete projects in the cities and municipalities.