CIF highlights systemic procurement failures in NamWater overseas contractor allocation

CIF highlights systemic procurement failures in NamWater overseas contractor allocation

Business Reporter

THE Construction Industries Federation of Namibia (CIF) has strongly criticised NamWater for its practices that undermine native contractors by favouring overseas corporations.

NamWater has cited efficiency points, reminiscent of alleged poor workmanship, non-completion, and challenge abandonment.

Barbel Kirchner, basic supervisor of the CIF, nonetheless, stated that whereas NamWater locations blanket blame on “local contractors” with out differentiation and with out being clear about which contractor they’re referring to, the underlying drawback probably lies in poor procurement and choice processes by the authority.

Picture for illustrative functions solely. Photo: CIF Namibia

“Generally, misalignment between project scopes and the capacities of contractors can lead to suboptimal outcomes. This should not serve as a justification for the further increasing preference for foreign contractors. On the contrary, it is critical that before adjudication and award of tenders, there is a clear understanding of the actual capacity of the contractor, i.e., the level of experience of the considered manpower, the financial capacity, as well as the availability of plant and machinery,” Kirchner stated.

She added that the continued follow of NamWater and another public entities continues to undermine the native building trade by sidelining succesful native contractors.

“Such actions not only contravene the national objectives of promoting local entrepreneurship and job creation but also highlight significant failures in the current procurement and contractor selection processes. CIF has been advocating since 2006 for the establishment of a construction council aimed at enhancing the regulatory framework to ensure quality workmanship and timely project completion. Every contractor in Namibia would then be required to register with the construction council, which would also categorise them according to their capacities. Therefore, without a regulatory body such as a construction council in place—or, in the absence of a council, membership in the CIF—poor project outcomes and the abandonment of projects must be considered as one of the risks,” Kirchner stated.

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She concluded that this may very well be immediately attributed to the poor choice of contractors by entities like NamWater.

“NamWater’s choice to consider foreign contractors following alleged failures by local firms is not only disheartening but also detrimental to the growth of Namibia’s local industry and economy. It is also a gross misjudgment to attribute the failure of some projects to the abilities of all local contractors. This broad-stroke criticism risks damaging the reputation of our capable local businesses and stifles the potential for local economic development and job creation,” Kirchner emphasised.

She thus referred to as for the institution of a building sector council and an pressing acknowledgment and response to earlier communications from the CIF to NamWater and its line ministry in August 2024, together with detailed proposals for trade reform, to have interaction all stakeholders in significant and constructive dialogue.

The CIF on the time had referred to as for the cancellation of AfDB-funded challenge adverts, requesting that challenge sizes be lowered into smaller tons earlier than being readvertised. The CIF’s request was ignored.

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