Kalco gets to keep Conversation Tree road contract amid concerns about non-performance

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[File Photo] A section of the Conversation Tree/Delhi Street road widening project

Following concerns of their non-performance with the road widening project from Conversation Tree to Dennis Street, Georgetown, Kalco Guyana Inc. has since engaged with the Public Works Ministry and has now moved to being a performing contractor.

Guyanese company S Jagmohan Construction and General Supplies Inc. and Trinidadian-owned Kalco Guyana Inc. were awarded the contract for the $1.8 billion road widening project.

During a site visit of the project a few months ago by Minister of Public Works Juan Edghill, it was observed that Kalco was significantly behind schedule and as such, the company was asked to submit a revised work plan detailing how it can finish within the stipulated deadline of November 5.

As of July, though 65 per cent of the contract time had elapsed, only 25 per cent of the work was completed.

On Tuesday, Minister Edghill informed the media that the government and the company have since met to discuss the issue.

“The principals of Kalco came and we engaged them…or they engaged with us and we made certain agreements. They have engaged Guyanese subcontractors to do specific aspects of the work so that there will be multiple things being done at the same time to move the project along,” he explained.

“What we’ve basically done is taken their revised work programme, in keeping with the suggestions that they’ve made with how they would move from being a non-performing contractor on that project into delivering it.”

“They have asked for the opportunity to deliver. They have asked to be removed from being non-performing to performing and they have shown how they intend to do that,” he added.

And according to Edghill, since the meeting, work has been moving apace.

“I think my engineers who are supervising the project have indicated that maybe about 90 plus per cent of what they said they will do, they are doing. They had to bring in additional resources from Trinidad in terms of personnel, they had to hire more people here in Guyana, put additional equipment onsite–things like that have happened.”

A section of the Conversation Tree/Delhi Street road widening project

In July, Minister Edghill had called out Kalco for being behind schedule on the project, saying “both contractors need to up their game. This project needs to be finished in the contractual obligated time, November 5. Jagmohan seems to be making progress, Kalco is practically making no progress. From the engineers’ advice, 65% of the contract time has elapsed and only 25% of the work has been completed”.

This project involves the construction of a four-lane carriageway from the East Coast Highway at Conversation Tree to Delhi Street.

It also includes a double-lane carriageway on the reserve west of Delhi Street for northbound traffic and the implementation of concrete revetments between the East Coast Demerara Highway and Railway Embankment.

During the project launch last year, Minister Edghill had emphasised that this initiative forms part of government’s plan to provide alternative routes to persons entering and leaving Georgetown.

The project was split into two lots: Lot 8 A of the project is being executed by S. Jagmohan Construction and General Supplies Inc., to the tune of $$1,066, 358,738, while Lot 8 B was awarded to Trinidad company, Kalco Guyana Inc., to the tune of $830,293,458.

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