NCDC inks over K400m in contracts

Caption:  Governor Parkop handing over signed contract documents to Global Construction representatives.

By MATTHEW VARI

Sunday, October 4, 2015 (Sunday Chronicle, PNG)

THE NCD city commission signed 5 contracts worth over K400 million last week to expand the city’s road network and also to rebuild the Lasitewa Dormitory at the University of Papua New Guinea which was destroyed by fire in June 2012.

Four of the five contracts will expand the city’s boundaries that will lead to the expansion of the boundaries to identify potential suburbs and economic zone for the capital.

Costing around K413 million the contracts break up into:

· A 11 kilometer (km), K119 million Taurama bypass road to link the Magi Highway consisting of a 3km four lane section and a 9km 2 lane section to be constructed by Global Construction.

· 6 Mile roundabout to Bautama along the Magi Highway, K160 million 14km four lane road by Hebou Construction.

· Koura Way starting from Waigani Drive leading into Tokarara, June Valley and out to the Hanuabada bypass, K80 million 4.7km four lane road constructed by China Harbour Railway.

· Magani Crescent (behind the National Parliament) linking up with Morota on to Gerehu linking up with Gerehu, K37 million, 5km two lane road to be built by Phoenix Builders.

· UPNG Lasitewa dormitory K16 million 150 bed male accommodation to be built by Niugini Builders.

Present at the signing NCD Governor Powes Parkop said that the new addition to the city’s roads would bring the commission’s ring-road target to fruition and congratulated all parties involved.

“I want to congratulate all who have worked hard, along with the national government to enable this ceremony to occur today,” Governor Parkop said.

“Today not only the four road contracts will be signed but also a building contract also for UPNG to reconstruct the dormitory that were gutted by fire (in 2012).”

“For the road contracts we signed an agreement with BSP to get a loan of about K300 million plus.”

He said the loan agreement was secured through a guarantee by the National Government and thanked the Prime Minister and NEC for their continued support.

“We have global here and Hebou who have proven their worth and China Habour Railway have constructed the first part of the ring-road. Their program up to now speaks for itself and they have done amazingly well.”

“It has been a challenge to build that road, reconstruct part of it, but they are on time, on schedule and within the same financial limits with no variations made.”

“We also have Pheonix Builder who have for a while are our contractor working on the feeder roads in the city.”

He mentioned criticisms aimed at Pheonix regarding their product quality, however, he pointed out the commission’s faith in the contractor.

“They have proven themselves and of course there have been some criticism and they have accepted them and explained them also, and now it is their time to step up.”

The road signing agreements also contain a three year warranty on each contract we have signed for the roads, unlike previous contracts where there are one year guarantees.

Project durations for all four road projects will see the Taurama bypass take 84 weeks, the Magani Crescent 72 weeks, 6 Mile Bautama 78 weeks, and Koura Way 90 weeks to complete.

“Our preference is that they start (construction) as soon as possible because they have to manage a bank loan so the faster they complete the better it is so that we factor into any fluctuations in interest rates,” Parkop added.