BRATISLAVA, January 12, (WEBNOVINY) — Transport Minister Jan Figel (KDH) opines that costs of construction of D1 highway sections secured by selected construction companies for substantially lower tendered prices compared with projected costs should not increase later. He does not fear that real prices would substantially exceed prices agreed in contracts with contractors after completion of highway sections. “Changes can only result from unpredictable costs like archeological findings, war ammunition or unexplored geological relations or climate changes. I do not admit signing one thing and expecting something completely different in the end. That has been the practice of previous years and I principally refuse it,” said Figel in an interview for the SITA news agency.
The head of the Transport Ministry regards precision and relevance of contracts that the National Highway Company signs with successful applicants to be the fundamental framework for enforceability of prices and quality. “Successful companies are no unknown “garage” firms. The applied procurement method via yellow FIDIC specifies that the contractor both draws up the project and carries out the construction part and therefore seeks alternatives and optimizes costs to be able to guarantee the final price,” stated Figel.
Contracts with suppliers of highway construction works co-financed from European funds use so-called milestones that the European Union controls before, during and after construction. “This method is very demanding but we are not concerned about that. Transparency secures savings and facilitates development in Slovakia. If we proceeded with public-private partnership (PPP) projects like Fico’s government, Slovakia would really be caught in an unsustainable situation,” thinks Figel. He reminded that three packages of PPP projects, two of which have been halted, would require state’s annual payment of together EUR 600-700 million to concessionaires in thirty years. Figel is convinced that such demand on the state budget would halt any further highway construction, while it is still necessary to continue construction in other places than D1 highway. He denounced talks about „bakelite highways“ because it offends Slovak companies that can secure good quality constructions and guarantee their work.
The Transport Minister stated that new construction of 56 kilometers of highways has been launched under the 1.5-year rule of the current government. “Construction of mere 19 kilometers of highways in a half profile, which accounts for only nine kilometers in a full profile, was started during the same period of Fico’s government. We have offered more action and less talk,” said Figel.
SITA