Wednesday, November 13, 2019

FCAN to protest against amended procurement law

The Federation of Contractors’ Associations of Nepal (FCAN) is protesting against the amended procurement law.
Organising a press meet here today senior vice president of FCAN Nicholas Pandey said that the contractors will take to the streets from November 25, if the government did not address their ‘genuine’ concerns. FCAN is open to sorting out the disputes through dialogue, though we are taking to street, if our demands are not met, he added.
Expressing reservations against some of the provisions in Public Procurement Regulations (eighth amendment)-2019, Pandey said that there are discriminatory provisions in the regulations that need to be revised. “According to the newly amended regulations, the contractor company will be penalized, if any project is not completed on time,” he said, adding that it has, however, remained silent on the action against concerned government officials and other stakeholders. “Based on our experience, the prime reason for delay in any project is caused by the government staffers and the lengthy process for approving various documents, not to mention corruption at every level.”
Though there is a need to change the rules in a timely manner to ensure quality of works, he said, frequently changing any regulation for someone’s vested interests puts domestic contractors at a disadvantage.
The timely completion of any project also depends on cooperation and coordination among other concerned stakeholders including government officials, engineers and locals, he said, adding that the regulations has largely ignored this fact and needs to be amended.
Likewise, FCAN has also claimed that in altering the procurement regulations, the government has given undue advantage to foreign contractors in the tender process. “The new regulations curb the opportunities for domestic contractors as various mega projects are being launched across the country.”
Immediate past president of FCAN Bishnubhai Shrestha, on the occasion, alleged that the banks and financial institutions seek commission of up to 1.4 per cent of bid amount from the contractors for preparing bank guarantee documents.

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