The Chinese are coming on TB Lettsome Airport project!
Following the 2011 general elections, Deputy Premier and Minister for Natural Resources and Labour Dr The Honourable Kedrick D. Pickering (R7) asked for and received the portfolio of the Airports and set out to extend the airport runway.
Two final companies; one has local partner
Our newsroom was told by our senior National Democratic Party (NDP) sources that two companies made the final list on the runway extension project. They were China Communications Construction Company Ltd, and IDL Group, who merged with Sir Robert McAlpine Holdings and local partner ADC of the Virgin Islands.
The Chinese company has no local partner and it is expected that the Government of the Virgin Islands will seek its own funding for the project. Government also had given all companies the option of providing funding for the project in the design and build tender.
According to information received from our sources, China Communications Construction Company Ltd’s bid was approximately $154 Million and IDL Group, the Sir Robert McAlpine Holdings and local partner ADC bid, was reportedly $199 Million.
No Public Tender but international evaluation
Both bids were not put to the Government’s Central Tender Board through the Procurement Unit of the Ministry of Finance. However, the Ministry of Natural Resources and Labour hired an international team of individuals to evaluate the tenders. The cost of the international team is unknown at this time.
It is our newsroom’s understanding that the Minister for Natural Resources and Labour, Hon. Pickering is to take a paper to Cabinet in the coming weeks recommending the Chinese company. It is also believed that the Chinese bid was low becaue they are expected to provide their own workers, equipment where practical and even allegedly their own rocks for the project.
Whereas, while IDL Group, Sir Robert McAlpine Holdings and local partner ADC bid was much higher their plans were to use all local workers, equipment, truckers and other tools, therefore keeping the money in the territory.
The scope of work for the Government's bidding proposal only includes the design and building of the runway extension and extra parking space for planes. No work is to be done to the airport terminal.
It remains unclear where the Government will secure the funding as it is well established that the NDP has left the country broke to win the 2015 general elections.
Both Premier Dr The Honourable D. Orlando Smith and Dr. Pickering have said publicly they are forging ahead with the airport extension project.
Up to publication time, efforts to reach Dr Pickering and his Permanent Secretary Ronald F. Smith-Berkeley were futile.
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67 Responses to “The Chinese are coming on TB Lettsome Airport project!”
Shoddy workmanship, falsified inspection records, sub standard materials and the worst safety records on the planet.
Sure, they are less expensive, but you get what you pay for. Be prepared for very big problems.
The money for this project should support local materials, local workers and support the local economy. We will not get any of that with this deal. And if they are bringing in Chinese workers then be prepared for HUGE problems once they get here. Rude, noisy, drunk etc,........
Why can't people be original?
Other families need to eat.
With Southwest buying 500 more 737 planes, there should be no reason low cost flights would not come to the BVI, which would boost the economy and pay for the airport.
Undoubtedly, airlift is a critical mode of transportation for the tourism industry and domestic travel. But the success of an expanded runway on attracting major carriers direct flights into TBL will be a function of being able to sustain a profitable passenger load factor(PLF). Airlines generally do not start or continue routes that cannot sustain the minimum desired PLF.
Moreover, the government revenue stream may not be able to fund the airport expansion on a pay as you basis. It will either have to borrow the funds and increase its debt load or enter into some type of public private venture (PPV). Is the Vondo Group a factor in this airport expansion equation?
Of course, there are no penalties (or if there are they are not enforced) for bid omission in the BVIs It's just another change order. Let's see if the pattern repeats itself:
1. Peebles: Original bid $ 62 million, final price (without furnishings or equipment) something like $ 105 million (169% of original price)
2. Pier Park: Original estimate $ 35 million, price to date $ 82 million (234% of original estimate)
3. Airport: Bid price $ 154 million, final price ? 300-400 million? Plus financing costs of course.
By the way, can someone explain why aviation is under the Ministry of Natural Resources & Labour, not Ministry of Communication & Works. Then again, on second thought, it may be 6 of one or half a dozen of the other. When is the terminal going to be upgraded? Now, we do not need an extended runway with a second rate terminal. Why is not the terminal part of the runway extension project?
See what they are up to lately, for land they are fighting to take control of, that is not even theirs. View link:
https://www.yahoo.com/news/pentagon-cites-dangerous-chinese-jet-intercept-165354051--politics.html?ref=gs