HOIMA:
The completion of Kabaale International Airport in Hoima, Uganda, which is set to be the country’s second international airport, is in jeopardy after the contractor stopped working due to a lack of funds. The contractor is a joint venture between Israeli-British firms, Shikun & Binui International (SBI/Colas Limited).
According to SBC Communications Manager Amos Muriisa, the contractor halted construction two weeks ago due to the government’s failure to allocate more funds for the project. The contractor has been engaging with the government to secure more funding to complete the airport, but they have not been successful in their efforts.
Muriisa explained that the contractor faced numerous challenges during the pandemic, particularly with variations in construction material prices that they had not planned for. These issues stretched their initial budget, and they now require more funds to complete the control tower and other operations at the airport. The funds are necessary to complete the remaining 10% of the project.
State Minister for Works Fred Byamukama, while on a field visit to the site, expressed his shock that the contractor had halted work. Byamukama revealed that the government is investigating the contractor for allegedly exaggerating prices for construction materials. He suspects that the contractor may be conniving with some top government officials to swindle money.
Byamukama added that the government is negotiating with the contractor to resume construction, but if negotiations fail, they will consider terminating the contract and hiring another contractor to complete the remaining civil works. According to him, the government has cleared the €264 million needed for the entire project, and the project’s stall is suspicious. The government has already paid the contractor, and only €26 million remains unpaid.
He explained that the government is demanding the contractor account for the money already paid and explain why they need the extra funds. Byamukama is determined to ensure that the government receives value for its money and will not allow government officials to steal funds.
Kabaale International Airport is essential to Uganda’s economic development and will provide crucial support for the country’s nascent oil and gas industry. Therefore, it is essential that the project is completed as soon as possible. The government must resolve this impasse with the contractor and ensure that the airport is completed on time.
The post The Future of Kabaale International Airport in Hoima, Hangs in the Balance as Contractor Halts Work appeared first on The Ankole Times.
