NWFP government to review rates of contracts

23 Aug, 2008

The provincial government of NWFP has started work on revision of the rates of the government contracts and decision is likely to be announced within a period of two-weeks.
This was announced by NWFP Minister for Health, Syed Zahir Ali Shah while replying questions regarding the delay in the completion of the development schemes of health department in the question-hour session of the provincial assembly here on Friday.
The question was raised on delay in the completion of the construction of District Headquarters Hospital at Dasu, Kohistan on which construction work was started in 2003. However, after the devastating earthquake on October 8, 2005 the government forfeited the guarantee money of various contractors. According to the answer submitted in the provincial assembly by the department it was informed that only two percent work included cutting of the rocks, levelling of the ground and construction of a ward had completed. So far a budget of Rs 5.298 million has been spent on the project. However, no contractor is ready to participate in the contract.
Qalandar Lodhi of PML-Q also supported the reply of the department saying that in the present circumstances no contractor will come to join the bidding of the contract.
In reply to the questions of the members, the Minister for Health, Syed Zahir Ali Shah said that government is working to review the rates of the contracts of the development schemes. The decision, he said would come within a period of two-weeks. The minister admitted that presently no contractor is ready to participate in the bidding. The process, he said was nearly completion. The matter, he added had already been approved by the finance department and had been sent to Chief Minister Secretariat for final approval.
Abdul Akbar Khan of PPP called for announcement of the decision within a period of two-weeks. Otherwise, he expressed the fear that the matter would damage the development schemes of both current and last financial years.
All Pakistan Contractors Association (APCA) in its convention held last week had given a deadline of August 25 for reviewing the rates of the contracts of development schemes and had threatened to boycott participation in any kind of bidding in the province.

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