26 Feb 2015

The Ministry of Infrastructure, Science and Technology says it entered into a contract with CCTW Joint Venture for construction of Shakawe Senior Secondary School.

Minister Nonofo Molefhi told Parliament the joint venture (JV) comprised three partners among them China Civil Construction and that in the project, there was no provision for nominated sub-contractors.

He said the ministry was aware that JV engaged some domestic sub-contractors to undertake certain activities, but the ministry was not privy to terms of engagement between the main contractor and its sub-contractors.

Mr Molefhi said his ministry had received a complaint from one of the domestic sub-contractors concerning nonpayment for services rendered. “It must be appreciated that because my ministry was not party to that agreement, we are therefore constrained to intervene on this matter contractually,” he said.

Concerning help offered to local contractors, he said the ministry has adopted a strategy of unbundling projects for equitable distribution to smaller contractors, as a result, specialist sub-contractors are engaged through nomination as opposed to domestic contracting agreement.

Mr Molefhi said this result in contractual arrangement of specialists’ sub-contractors entering into contract with the main contractor at the instruction of government thereby reducing the risk of nonpayment of sub-contractors by main contractors.

He further said over time the ministry has received a number of complaints from citizen contractors regarding nonpayment by main contractors and the ministry continues to mediate between the parties and have in some cases succeeded.

Mr Molefhi said with respect to Shakawe Secondary School, the ministry has written to the contractor to bring to their attention the sub-contractor’s complaint.

“He has been advised that failure to pay sub-contractors/employees for work done is an unethical practice which contravenes PPADB Code of conduct and may result in disciplinary action taken against them,” said the minister, adding that the matter has also been brought to the attention of PPADB.

He said the sub-contractor had also been advised to use the provision of the contract between her and the main contractor to address the breach. Mr Molefhi said his ministry was at an advanced stage in the transformation of the construction industry through appropriate policy and regulatory interventions.

He said he believes such initiatives will address some of the major issues which continue to adversely affect efficiency such as nonpayment of sub-contractors.

Gaborone North MP, Mr Haskins Nkaigwa had asked if the minister was aware that China Civil Construction Company that was engaged for the construction of Shakawe Senior Secondary School had failed to pay its sub-contractors for over two years despite having been paid by government. Mr Nkaigwa also asked what was being done to help such local citizen owned sub-contractors. ENDS