Involve locals or leave: Marape

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FOREIGN road construction and maintenance companies awarded contracts will ensure 40 per cent of the business deal is given to Papua New Guinean contractors and sub-contractors.
“If they cannot do that, they can pack up and leave,” that is the stern warning and direction recently issued by Prime Minister James Marape.
The prime minister made known his stand during the recent signing of a multi-million-kina road and highway rehabilitation and maintenance contract which was awarded to five contractors. Four of them are from overseas.
When officiating at the Department of Works client and staff function recently, Marape said: “We are in a phase of infrastructure development, and we have awarded road projects to eligible contractors.
“But, at the same time, I want to make it clear to foreign contractors that as per the contract agreement, 40 per cent must go to our local contractors and sub-contractors.
“If you feel that you cannot meet that requirement, then you can leave,” Marape said.
“With respect to the companies awarded contracts, who have the capacity to mobilise equipment and manpower and work according to set time-frame, the Government’s overall objective here is bringing services to our people.
“Therefore, local contractors must be incubated by foreign companies,” he explained.
“I would like to commend you (contractors) that you are still out there doing the work.
“We will make an up-front payment and the rest after the contract is completed.
“This is simply because we do not have the luxury of funds readily available.”
The road and highway rehabilitation and maintenance contract was valued at K1,180,943,467, and awarded to China Harbour Engineering Company, Civil Contractors Pacific Limited, COVEC (PNG) Ltd, China Wu Yi Co Ltd and Metallurgical Corporation of China Ltd.
They will repair, rehabilitate, upgrade and maintain the roads and highways connecting Henganofi in Eastern Highlands to Kagamuga (Western Highlands) and Morobe’s Nadzab, work on a four-way lane road within the Mt Hagen area, design and construction of the Rindita to Kware road in Southern Highlands and carrying out pavement restoration and building a four-lane road between Kokopo and Tokua in East New Britain.
The projects were fully funded under the Connect PNG programme.
Works and Highways Minister Solan Mirisim said: “We have made significant progress on many new and ongoing projects between 2020 and 2023.
“K5 billion worth of contracts have been executed for various types of capital works on the main highways, missing link roads, sub-national and bridge works covering the entire country.
“Half of that is funded by the Government while the balance is funded by our development partners, both internal and external,” said.
Mirisim said most of the Connect PNG projects were multi-year initiatives meant to be funded and implemented over a fixed time period.
“Our priority now is to upgrade and maintain 4,200km of 16 priority national highways by 2027.

10 comments

  • It is not necessary to forcely award contracts to our local contractors if they did not have the neccessary tools and skills to deliver to the required standards. Why force to give them subcontract if they don’t have the capacity to deliver to the standard required…? This kind of attitude has caused the country to regress instead of progress. Give the contracts to the contractors who are qualified, the contractor who meet all requirements of contract.

  • Government must be more focused on maintaining existing roads during this hard economic times.
    Connect PNG policy is obviously consuming government budgets every year ,neglecting important areas like health, Law &Order , investments into creating more jobs and quality Education for our Citizens.
    Politicians should not use Connect PNG Policy , engaging there own company to do substandard road works to use up Nation budget . Our Nation is going through very tough economic times and our citizens have suffered more and therefore Government must come up with better policies to improve our Nation ‘s Economy.

  • Great initiative of the Government how about National Highway from Wewak in ESP to Nuku & Lumi and to Vanimo from inland when will be that to upgraded and seals it’s been long time now, can the Minister look into it and try and have some planning for this road.

  • Before we connect PNG what are some of the cash crops that our government identify from villages that will benefit our people. Our government have to focus on how to make money not borrowing money. When people find it easier to travel into towns and cities we expect more law and order issues. Most of our people are too emotional and they cannot control their temper. Only handful will see this as opportunity to make money. Government have to be worry about the majority that are still illiterate. Government have to contain rising law and order in the cities before connect PNG. For my point of view this is to early to connect PNG when tension is still high.

  • Thankyou, Mr. Prime Minister,
    Construction companies working on the Highlands Highway between Kainantu and Goroka are consuming too much time with little machineries and equipment working, the progress of the work is very slow, No QUALITY job is done..

  • It’s now or never with connect PNG road connectivity,! This is real capital investment which Germany and British fail to do at the eve colonial era, then Australia failed to do up
    until png became Independence no Government had seriously made sure that PNG must become a healthy, wealthy and wise country at the earliest time frame. Connecting all weather roads systems to all pockets of our people is the first priority of any Country in the world.. thank you !!Marape Government…this Government is focused on the right path, eventually , all our Soci- economic struggles , including law and order , unemployment and the list goes on ..will naturally translate to PNG becoming a healthy wealthy and wise nation people. Simply because every PNG citizen will work, those who are educated and have a career in both Government and private sector..there should be no excuse for those who aren’t employed because everyone should be involved in cultivating customary land , in industries such as coffee, coconut, rubber, cocoa, cattle , fisheries, and so forth, the informal sector will contribute significantly to export, local business activities will boom… simply because all PNG children can access markets,

  • I think that you are letting the Chinese take away the real purpose of foreign and domestic contracts. There is a lot more civil engineering companies in road, and bridge building that are closer than China. And would be cheaper to do so. To get machinery and equipment to all the sites will be a marginal cost, especially to ship it in from overseas. Once on land it can be better organised. And the starting point for these companies should be allocated to the nearest points of entry. With roads there should be train lines or tracks allocated with the roads for less road usage in the future.

  • It’s more good the government can embark on the pressing issues that are affecting the good citizens of this nation with the availability of the funds.

    Roads links are one of the most important infrastructural developments but it’s more better to look upon seriously on the known issues affecting the people of this nation as a priority.

  • Connect PNG Programme is one way of opening up the locked economic potential of the untapped resources of this country.
    In time this Programme will have a positive impact. There are vast valleys and timber land, minerals and human resources not fully utilized. These areas once connected will make a lot of difference. Connected PNG is a smart innovative approach for the country.

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