Accra, Aug. 4, GNA - Professor John Evans Atta Mills, flag bearer of the National Democratic Congress (NDC), on Monday assured road and building contractors that his government would establish a befitting national awards scheme for them if voted into power. He noted that, even though the entire economy largely depended on the construction industry to move forward, it was sad that there was no national award scheme for players in the industry.
"I wonder how many road and building contractors were given awards during the recent wholesale national awards but I assure you that Atta Mills will put a separate award scheme in place for you when I become President," he said.
Prof. Atta Mills gave the promise when he took his turn at a forum for flag bearers of political parties jointly organised by the Association of Road Contractors (ASROC) Ghana, and the Association of Building and Civil Engineering Contractor of Ghana (ABECEG). The forum which was under the theme: "The Construction Industry and Election 2008," was designed to enable flag bearers to relate their vision for the construction industry to industry players. Prof. Atta Mills noted that, much as he believed the contractors needed to be motivated, he also believed that recalcitrant contractors should be sanctioned, saying that, the NDC would also establish a sanctioning scheme for that purpose.
He outlined some of the challenges facing the construction industry as delays in the payment for executed for the government, lack of proper classification for contractors, lack of technical assistance and the influx of foreign contractors, especially in the case of donor-funded contracts.
On the issue of delays in payment, Prof. Mills said he was aware that it impacted negatively on the credibility of local contractors with their creditors, adding that an NDC government would not only ensure prompt payment but also pay interest on payment delayed.
Prof. Mills noted that one of the causes of delays was the several signatories needed to allow payment for contracts, saying that, the financial administration law required only one signature, that of the head of the contract awarding institution.
"NDC will ensure strict implementation of the financial administration law in that respect to allow for prompt payment for contracts," he said.
Prof. Atta Mills also noted that several contracts went unpaid because they were awarded as a matter of political consideration, but were not covered in the annual budget, saying that under the NDC only contracts covered in the budget would be awarded. He also noted that it was not fair for foreign contractors to take charge of 100 per cent of donor funded contracts, saying that, under his government, "we will ensure that it will be agreed that all foreign contractors partner with local contractors on 60/40 per cent basis for contract execution".
Prof. Atta Mills said that kind of arrangement would ensure transfer of technology to local contractors and thus empower them technically to deliver on bigger contracts in the future. "My government will also ensure that foreign contractors join the local associations just like every professional body everywhere in the world.
"You can't operate as a lawyer in any country without recourse to the bar association of the country; this should apply to engineers and contractors as well," he said.
He assured the contractors that the NDC would not abrogate contracts awarded by the previous government just as a matter of change of government but would continue to fund properly awarded contracts to qualified contractors. "We will establish a clearly laid out classification system with the help of local industry players to ensure that contractors awarded government contracts had the capacity and expertise to deliver," he said.
Prof. Mills noted that the discovery of oil in Ghana would come with a boom in the construction industry, saying that an NDC government would concentrate on empowering the local industry technically and financially to take advantage of a benefit from the expected boom.
