A group of road contractors started holding a vigil at Roads Fund Administration (RFA) offices in Lilongwe Wednesday, when they protested delayed payments, claiming that they are owed K50 billion.
However, RFA maintains that the money owed is on the lower side.
Vice president for the contractors’ association, Kondwani Kadango, told The Daily Times that RFA owes them approximately K50 billion.
Kadango said that since January, the contractors have not received funds from RFA, making it challenging for them to pay workers and settle other bills.
He said despite attempting to resolve the matter amicably, the contractors have been left with no choice but to hold vigils, which, he said, would continue until their grievances were addressed.
“We will continue with the vigils until our grievances are addressed. How do they expect us to work without payment?” Kadango asked.
RFA spokesperson Masauko Ngwaluko admitted the delay but attributed it to the fund’s non-receipt of the Road Levy from the Malawi Energy Regulatory Authority.
“We are, indeed, facing challenges to pay the contractors but this is due to non-receipt of the Road Levy. We are negotiating with government and we believe this will work out,” Ngwaluko said.
However, Ngwaluko disputed the amount owed, stating that it was K11.8 billion, not K50 billion.
Last week, Transport and Public Works Minister Jacob Hara informed Parliament that the government was facing challenges in paying contractors due to lack of funds from Road Levy.
Hara assured stakeholders that the government was exploring alternative sources of funding for road maintenance.
In May, the contractors petitioned RFA over delayed payments amounting to K45 billion, which had accumulated since January.
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