Tuesday, 31 January 2012

Cash crisis hits highway

Completion of the section of the John Ross Parkway to the Arboretum (canal) intersection is now scheduled for the end of April

Unable to balance its books, the KZN Department of Transport(DoT) has suspended all capital road works projects in the province - including the John Ross Parkway. The work stoppage was implemented last Monday and construction will only resume on Monday 19 March. Notification given by the DoT said the decision was taken as a measure to reduce expenditure leading up to the end of the financial year. The suspension of works does not apply to road maintenance activities. An amount of R169-million was allocated by the DoT for the John Ross Parkway for the 2011/12 financial year. To date, about R140-million or 82 percent of that allocation has been spent.

There are currently 15 contractors involved in the construction works. ‘While we have been instructed to suspend all contracts there is certain work that we have recommended should continue as it would be in the best interest of the Department to do so,’ said Brian Henwood of lead consultants Henwood & Nxumalo. ‘The Department is currently assessing our motivation and will advise us of their decision in due course. ‘One of the contracts is the relocation of water and sewer services in progress at Empangeni Rail. ‘This work is at a critical stage and there will be considerable benefit in continuing to completion, expected at the end of February.’ Henwood confirmed that the contract for the difficult Empangeni Rail section has been awarded to Afrocon Construction, who are ready to commence but could also be subject to the two-month delay.

He also voiced concern about the safety of road users and the protection of the works during the stoppage. ‘We have retained a small team on site to manage the situation the best we can under the circumstances,’ said Henwood. ‘As far as penalties and any extra costs incurred as a result of the delay is concerned, the general conditions of contract provides for the suspension of the works and allows for the contractor to claim for costs arising from such suspension. ‘Contractors will be paid for work done before the suspension, and the Department will not allow contractors to continue working and get delayed payment in April even if they agree not to charge interest.’ The postponement of construction will have a great effect on estimated completion dates for the various sections of the John Ross Parkway. Already hampered at the end of last year by a bitumen shortage, revised completion dates for highway sections are now:

Eastbound carriageway (Empangeni to Richards Bay):
•Cemetery (Oilco) to N2 (0.9km) - end of May
•Alton intersection (0.2km) - end of May
•Alton to CBD interchange/Foskor/Hillside (2km) - April
•East Central Arterial to Arboretum/canal intersection (0.6km) - April

Rehabilitation of Westbound carriageway (old road, Richards Bay to Empangeni):
•Cemetery to N2 - end of May
•Alton i/s to CBD interchange - end of June
•ECA i/s to Arboretum i/s - end of April.