Thursday, June 17, 2010

Mutati admits rampant corruption in construction sector

COMMENT - Mr. Ibrahim Mahlab is CEO of The Arab Contractors Co.

Mutati admits rampant corruption in construction sector
By Chiwoyu Sinyangwe
Thu 17 June 2010, 14:10 CAT

COMMERCE minister Felix Mutati has admitted that there is a lot abuse in the construction sector as most contractors were ineffective and over-pricing on public works.

Speaking at Intercontinental Hotel on Wednesday night when he officiated at the reception to announce the partnering of Flame Arab Constructors with Flame Zambia to spend US $10 million in setting up a quarry cement batching plant and other supporting services for the construction sector in the country, Mutati said Zambians were tired of undelivered services by contractors.

Mutati said the government was hoping that Egyptian company would help introduce technology that would help to lower the cost of construction to the levels in Egypt.

He wondered why it cost US $150,000 to construct a one kilometre tar stretch in Egypt while constructing the same distance in the country costs US $1 million. Flame Arab Constructors should demonstrate that it would require around US $350,000 to construct a kilometre of tar road in Zambia.

“So, let’s bring in the people who are going to deliver for the people of Zambia at a cost-reflective price… with good quality so that the competition, the abuse particularly in the construction industry with regard to pricing, to quality to delivery, we can begin to eliminate it and chop it out,” said Mutati.

“Our people, the Zambian people are tired of explanations especially from, particularly from the contractors of ‘why they are unable to deliver.”

Flame Zambia chairman Mohammed Salama said the company would demonstrate good workmanship through the plant and would want to be engaged in more construction projects in Zambia.

Salama said the technical and financial support that the company would receive from Flame Arab Construction would help them reduce the cost of construction in Zambia.

“Through Flame Arab Constructors, we will be bringing down the cost of construction to more developments to happen suing the same resources at hand; thus creating more employment and more projects,” said Salama.

“We will achieve this by having our own quarry cement plant, which we think will help to reduce the cost of construction in Zambia.”

He said in the last four years that Flame Zambia has operated in the country, it has undertaken some substantial projects, including the construction of Finsbury building at the Kabwe roundabout and Radisson Hotel opposite Arcades shopping centre.

The company has trained 400 Zambians in various construction skills, and was contributing more to the sector.

And Flame Arab Constructors chairman Ibrahim Mahlab said the company, which achieved a turnover of US $2.5 billion and recorded a backlog of US $4.5 billion worth of project last year, wants top contribute to the development of infrastructure in Zambia.

Flame Arab Constructors would also be training 20 Zambians from the Arab Construction Institute in Egypt.

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