EXCLUSIVE: Kuwait puts road projects on hold

24 April 2018

Kuwait’s Public Works Ministry has put least three road projects on hold in line with the ongoing review of the Public Authority for Roads and Land Transport (Part)’s mandate, sources familiar with the projects have told MEED.

The projects which have been put on hold include:

  • Major road and interchanges linking Kuwait City with the under-construction Terminal 2 at the Kuwait International airport
  • Northern regional road from crossroad No. 58 to 82 (RA/260)
  • Northern regional road from crossroad No. 58 to Salmi border check post

Close to 20 firms were prequalified for the airport road scheme, whose main contract tender was expected to be issued in March.

A joint venture of local contracting firms Abraaj Energy and Al-Ayuni Contracting submitted the lowest bid for both RA 260 and RA 261.

MEED previously reported that MPW temporarily put on hold road contract awards as it undertakes a review of Part, which was created in 2014 to take over the planning, administration and operations of all land-based transport assets in the country.

It is understood that Kuwait Parliament’s Budgets and Final Accounts Committee recently Part’s draft budget for the fiscal year 2018-19.

The report said Adnan Abdul Samad, committee chairman and member of parliament, cited complications in the functions of the authority, the Interior Ministry, State Ministry for Services Affairs and Kuwait Municipality “due to the incomplete transfer of duties from these bodies to the authority, which should have been resolved since the enactment of the law [that created Part] in 2014 and submission of amendments in 2015.”

Kuwait began transferring the planning, administration and operations of all land-based transportation from MPW and Communications Ministry (MOC) to Part in 2016-17.

The transfer gained momentum last year when the country’ multibillion-dollar national rail road and urban metro public-private partnership (PPP) schemes were transferred from the Communications Ministry to Part.

 

 

 

A MEED Subscription...

Subscribe or upgrade your current MEED.com package to support your strategic planning with the MENA region’s best source of business information. Proceed to our online shop below to find out more about the features in each package.

Get Notifications