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Housing and Infrastructure Development Minister Speaks Tough on 20% Sub-contracting Policy

The Minister of Housing and Infrastructure Development Honourable VINCENT MWALE has warned that Government through his Ministry will not hesitate to terminate contracts of contractors who are not adhering to the 20% subcontracting Policy.

Hon. Mwale says the 20% subcontracting is Government Policy which every contractor must abide by without fail or compromise.

Hon. MWALE said Government will not allow foreign or big local contractors to indiscriminately breach Government policies.

Housing and Infrastructure Development Minister Vincent Mwale inspecting rehabilitation works of Mungwi road accompanied by the Permanent Secretary (MHID) and RDA officials.

The Minister was speaking in Lusaka when he and his Permanent Secretary, Eng. Charles Mushota paid an impromptu visit on the Avic construction site on Mungwi road in September.

“I am in receipt of a petition from small and medium scale contractors who have complained that you, Avic are not complying to the 20% sub-contracting Policy.” The Minister said.

He added that the 20% sub-contracting Policy was developed by Government so that local contractors are empowered financially and also so that they get the much-needed skills and experience in construction.

“As Government we want that, through the 20% sub-contracting Policy, we build capacity in Zambians who in future may bid for bigger contracts because that have gained the experience”, Hon. Mwale added.

Housing and Infrastructure Development Minister Vincent Mwale inspecting rehabilitation works of Mungwi road.

Housing and Infrastructure Development Minister Vincent Mwale talking to Avic International representative Cui JI during inspection of Mungwi Road.

The Minister was assured by Avic International Country representative CUI JI that his company was complying with the Government Policy of 20% Sub-contracting to Small and Medium scale Contractors.

Mr. JI told the Minister that Avic respected Government’s Policies and would never do anything to the contrary.

“Our company has engaged local contractors through the 20% Sub-contracting Policy. We are a law-abiding company and we have never done anything that disregards Government’s Policies and Laws.” Mr. JI said.

He explained that Avic International had more than 48 sub-contractors actively working on various projects in the country.

Housing and Infrastructure Development Minister Vincent Mwale, his Permanent Secretary Eng. Charles Mushota and Avic representative inspecting rehabilitation works on Mungwi road.

The Minister directed the Road Development Agency (RDA) to compile a report on all the construction companies with running contracts on their compliance levels regarding the 20 % sub-contracting Policy.

 

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