Contractors to face punitive action for delaying projects

Contractors to face punitive action for delaying projects
Updated 21 August 2014
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Contractors to face punitive action for delaying projects

Contractors to face punitive action for delaying projects

A projects committee in Makkah formed by Makkah Gov. Prince Mishaal bin Abdullah has threatened to take punitive action against companies that do not stick to schedule in implementing contract-based projects.
Prince Mishaal is personally following up on stalled projects and demands monthly reports about delays, said committee members.
Contractors responsible for two stalled projects, one of which falls under the Makkah Development Authority, blamed service companies, such as the National Water Company (NWC) and the Saudi Electricity Company (SEC), for failing to set up amenities on the project sites.
The other project is directly affiliated with the NWC.
Majdi Zubeidi, regional service director and a committee member, said the committee was formed to guarantee timely implementation and act as a mediator between companies, contractors, consultants and project sponsors.
Zubeidi largely blamed delays on failure to guarantee vital services, such as sewage pipes, electricity and flood channels, to the sites.
“This process needs time to be coordinated and resolved,” he said.
“The committee found that some projects were experiencing a 10 percent delay, while others were 30 percent behind schedule. The governor ordered the formation of the committee after many projects failed to meet the delivery deadline.”
Projects that do not fall under the authority’s radar will be referred to the Makkah Provincial Council for discussion among ministers.
Field inspectors will visit sites every month and hold two meetings monthly to review the situation on the ground, he said.
“Citizens will also be able to file complaints about delayed projects and a service document for locations with bad services will be distributed among team members.”
The committee began by reviewing large-sized projects under the Health, Transport and Municipal and Rural Affairs Ministries.
Assessment reports will be filed with Fuad Ghazali, chairman of the projects committee at Makkah’s Provincial Council, who will discuss delays and solutions with the governor.
Penalties will vary depending on what is stipulated in individual contracts.