UNRA ordered to give some deals to local companies
Posted Monday, October 21 2013 at 01:00
Kampala- Minister of Transport and Works Abraham Byandala has instructed the Uganda National Roads Authority to desist from awarding foreign-owned firms full contracts without involving local contractors.
Speaking during the re-launch of Uganda National Association of Building and Civil Engineering Contractors (UNABCEC) last week, Mr Byandala said majority of projects are being done by foreign-owned firms, something that weakens rather than empower local construction players.
“I have directed Uganda National Roads Authority to award 5 per cent of the contract to local contractors. That will increase to about 20 per cent,” Mr Byandala said.
He continued: “And this is something that UNRA will implement immediately as Cabinet has been on my case over this issue.”
The minister’s revelation was prompted by the call emanating from the UNABCEC members that they have been treated unfairly when competing for bids against foreign owned firms—who take most of the deals.
They also contested the notion that they do not have experience and capacities to handle huge projects, arguing that they cannot match their counterparts if they are not given chance to develop their capabilities and experience.
But according to the Minister, the qualities of services in the construction industry are still wanting, pointing to a bigger problem in this business.
“Quality and timely delivery of projects remains the local contractors’ biggest issues,” Mr Byandala said.