The Auditor-General, Obadiah Biraro recently released his annual report for the financial year that ended June 2019.
The audit was revealed issues in different projects Implementation.
The audit identified 22 cases of stalled projects worth Rwf115.3 billion that resulted from inadequate contract management.
Doing Business has looked into some of the stalled projects.
Rwf80bn Base-Butaro-Kidaho-Road Project
Upgrading the road Base-Butaro-Kidaho road (63Km) at the cost of Rwf80.2 billion was supposed to be completed in March 2018.
However, after spending over Rwf17 billion, the project stalled.
The contract with the previous contractor was amicably terminated on 24 December 2018 and the works completed were valued at Rwf17.4 billion which was higher than the value determined by the supervisor of the contract which was Rwf11.9 billion.
This, auditor noted, has resulted in a loss of Rwf5.4 billion
However, the process for hiring a new contractor was initiated
Rwf1 billion road in Nyagatare
The project for rehabilitation works of Nyagatare-Rwempasha-Kizinga Road in Nyagatare District at the cost of Rwf1.1 billion was supposed to be completed in February in 2018.
Rwf737.8 million had been paid to the contractor when the contract was terminated. A new contractor is yet to be hired to complete the work.
Water supply system in Bugesera
The Rwf585.4 million project by WASAC to supply water in Bugesera has also stalled.
It was supposed to be completed in 2016. Rwf117 million had been spent by the time the previous contract was terminated. A new contractor is yet to be hired to complete the remaining work.
In December 2019, three years after the expected date of completion, the auditors carried out another physical verification and observed that the project was cancelled.
Rwf2bn road in Rusizi
The Auditor’s reported noted delays in the completion of works on the access road to the Rusizi III hydroelectric (147 MW) dam
The project was to be completed in 2015 but the contract with the previous contractor was terminated and the new contractor is not yet hired to complete the remaining work.
Rwf1bn Gisenyi modern market
Construction works of Gisenyi Modern Market in Rubavu at the cost of Rwf1 billion were supposed to be completed in June, 2013.
The district after getting advice from MININFRA was committed to ensure completion of the structure and operationalization of the market.
On 10 October 2019, this market was changed ownership from public property to become district private property.
This was to help the district to make a decision on its completion.
However, by the time of audit in December 2019, Rubavu District did not provide any plan on how this market will be completed or any other resolution regarding its use in future.
Software of management of taxpayers
Design and installation of software of management of taxpayers in Gicumbi District at the cost of Rwf8.7 million was not completed yet Rwf5 million has been paid to the contractor.
It was supposed to be completed in 2013.
The contract with the previous contractor was terminated and the new contractor is yet to be hired.
The court ordered the previous contractor to pay a total of Rwf7.2 million as a refund to the district.
However, up to the time of audit in February 2020, this amount had not yet been recovered.
Rwf22bn electrical grids project
The Interconnection of Electrical Grids of Nile Equatorial Lakes countries project (NELSA) was also found to have challenges.
It is expected to cost Rwf22.3 billion and construction Substations of 220 KV transmission system, in Karongi, Rubavu, Kigali and Goma in DRC.
It is expected to be completed in 2025.
However, the Auditor General noted that the contract with the previous contractor was terminated on 10 March 2017, and the new contractor is not yet hired to resume the remaining works.
The tender to resume the work for Bwishyura substation in Karongi District and Murambi substation in Rubavu District is in process whereby the tender document was published on 01/12/2019 and bids were expected in January 2020.