Ultimatum on bridge

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Ultimatum on bridge

Postby admin » Wed Sep 17, 2008 1:02 am

GEORGE TOWN: Take it or leave it! That’s the ultimatum given to UEM Builders Bhd by :Jambatan Kedua Sdn Bhd (JKSB), a special purpose vehicle (SPV) established by the Government to supervise and fast track the second Penang bridge project.

JKSB managing director Tan Sri Zaini Omar said UEM had been given a two-week grace period, effective from Monday, to accept the terms for the construction of the project.

Under the terms, a RM1.3bil contract will be awarded to UEM, one of the three contractors for the project.

“That’s the offer, and if they do not accept, we have to look at other means.

“We will call for a restricted tender if UEM does not accept our offer,” he said at the briefing on the latest progress of the project at Komtar yesterday.

It is learnt that UEM did not accept the offer as the contract rendered was not financially viable.On another matter, Zaini said they saved more than RM300mil after re-designing the structure of the bridge.

He said five per cent of the work had already started, with dredging being carried out and temporary jetties set up at the Batu Maung site.

Construction works will be in full swing within two months once details have been finalised with China Harbour Engineering Company Ltd (CHEC) by end of the month,” he said.

The Chinese company is another contractor awarded a RM2.3bil contract to build the sub-structures of the bridge.

“Any construction carried out below the bridge will be handled by CHEC,” he said, adding that the signing of the agreement is expected to take place by end of October.

A third contractor will be appointed through restricted tender and given a RM750mil contract for works carried out at the land portion of the bridge in Batu Maung and Batu Kawan.

He said the project, which was scheduled to commence in June last year, was behind schedule and is now expected to be completed within 40 months or the end of 2011.

Read the full article:
http://thestar.com.my/news/story.asp?fi ... sec=nation
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