Malawi News

Ministry, PPDA differ on road contractor

Ministry, PPDA differ on road contractor

The Ministry of Transport and Public Works has maintained its stance that the Rumphi-Nyika Road contract should be awarded to a foreign contractor, saying local contractors lack the capacity to undertake the work on the road.

The ministry’s stance comes after the Public Procurement and Disposal of Assets Authority (PPDA) rejected a Roads Authority (RA) submission to award the construction contract for the road to Plem Construction.

PPDA Director General Eddington Chilapondwa recently disclosed that the authority had not granted a no-objection due to RA’s failure to provide preferential treatment for indigenous contractors.

However, Transport Minister Jacob Hara insisted that awarding the contract to local contractors would be suicidal because there would be no progress on the ground.

“We have tried this approach before, for example with the Chitipa Ilomba Road, which currently involves several local contractors, but we still encounter problems.

“They need to enhance their capacity. At present, Malawian contractors do not have the capability to construct such roads,” Hara said.

He stressed that although contracts are awarded according to procedures, it is crucial to use judgement in evaluating the situation.

Hara added that his ministry would engage with PPDA, noting that similar challenges have been faced on other projects such as the Mzimb a-Mza langwe and Nkhufi roads in Nkhotakota, where bids have not been responsive.

However, president of the Malawian Building Contractors and Allied Trade Association, Weekly Mhango, criticised the government for apparently failing to build the capacity of local contractors to compete with international firms.

Mhango pointed out that international contractors have easier access to loans from banks in their countries, making it simpler for them to undertake such projects.

“Banks are hesitant to lend to us for road construction projects due to delayed payments from the government. If the government were to enhance our capacity, we would be able to handle large-scale projects” Mhango said.

Meanwhile, Sub- Traditional Authority Kawazamawe from Rumphi has expressed frustration on behalf of local residents, stating they are tired of being misled regarding the road’s progress.

Recently, Member of Parliament for Rumphi West, Yona Mkandawire, shared a video clip on social media highlighting the stalled condition of the road.

In July 2018, former president Peter Mutharika launched the construction of the 241-kilometre Rumphi-Nyika Road.

Initially awarded to Mota Engil, the contract was terminated after the Tonse Alliance adminitration took office in 2020.