Guyana: Permanent Secretaries Instructed to Enforce Contractor Deadlines

Permanent Secretaries across all Government ministries, regions, and departments in Guyana have received instructions to enhance the management of public contracts and to impose financial penalties on contractors who do not deliver goods and services on time. This directive was announced by Dr. Ashni Singh, the Senior Minister with Responsibility for Finance, following a high-level meeting convened by President Irfaan Ali with various government officials.

Dr. Singh emphasized that the President expects the highest standards of public accountability to be maintained throughout the Government. In a subsequent meeting with all Permanent Secretaries, Dr. Singh discussed the need for tighter contract management, which includes overseeing the execution of government contracts with service providers.

The new instructions focus on three main areas:

• Ensuring that goods and services are delivered on time.
• Confirming that the quality of the goods and services meets the specifications outlined in the contract.
• Ensuring that delivery aligns with the broader terms of the agreement.

Dr. Singh highlighted that every contract has a specific timeline that must be adhered to, stating, “President Ali’s instructions are very clear: those contracted timelines must be honoured.” In cases where contractors fail to meet deadlines, Permanent Secretaries are required to impose liquidated damages, which are financial penalties stipulated in government contracts for delays.

Additionally, Permanent Secretaries are responsible for ensuring that performance bonds, which are financial guarantees provided by contractors, remain valid and do not expire. Dr. Singh noted that contractors incur financial penalties if they fail to deliver goods and services within the agreed timeframe.

This initiative is part of a broader effort by the Government to enhance the quality of services provided to citizens. The announcement comes amid ongoing public discussions regarding the timeliness and quality of public-sector project delivery in Guyana, with concerns raised about various issues including drainage maintenance and infrastructure conditions.

The Office of the Auditor-General and the National Procurement and Tender Administration Board (NPTAB) serve as the main external oversight bodies for public procurement in Guyana, alongside the Public Procurement Commission. The new directives on contract management are intended to function within this existing institutional framework.

As of the time of publication, the opposition had not publicly responded to these new directives. However, opposition figures have previously expressed concerns regarding contractor accountability and the value-for-money of public contracts, suggesting that they may evaluate the effectiveness of these new measures in practice.

Source: hgptv.com

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