4 November 2009
editorial
Kampala — THE Uganda National Roads Authority has threatened to cancel Zzimwe Construction Company's sh1.9b contract for the rehabilitation of the Arua-Koboko-Oraba road over poor performance.
One month before completion date, the company has only executed 10% of the works on the 70-kilometre stretch. The consultants have attributed the delay to the absence of key personnel and equipment. They have also blamed poor cash flow on the side of the contractor.
While it is the authority's right to complain, it bears part of the responsibility. Zzimwe is not a new company in Uganda. There are standard criteria, such as the financial and human resource capacity of a company and its track record.
How could the authority have failed to detect that Zzimwe did not have the right equipment and personnel during the bid evaluation stage?
If Zzimwe had indicated that it would hire appropriate equipment and personnel on a contract basis, why did it take the road agency so long to realise the problem?
The road in question is a key link to Southern Sudan. The roads authority should have had a keen interest in its timely completion, not only for trade but also for strategic reasons.
Ugandan tax payers have lost colossal sums of money to construction companies as a result of questionable procurement processes or poorly negotiated contracts.
The rot unearthed by the Auditor General as to the CHOGM road works is a case in point. The Attorney General, the Inspectorate of Government and the Criminal Investigations Department of the Police should take a keen interest in the award of public contracts.
The officers responsible for flouting procurement rules should be brought to book. Poorly performing construction companies should be exposed and blacklisted on the Internet.
But that might not be enough. The whole bidding process might need to be reviewed, and additional safeguards might need to be introduced to make the process foolproof.
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