Featured Project: East London Beachfront Precinct

Eastern Cape

Description
Construction of the proposed new East London Beachfront Precinct, Court Crescent. The scope of work for this project is as follows: Construction of new facilities comprising of an Information Centre and Ablutions, Hawker Stalls, Amphitheatre, Planters, Seating Areas, Water Feature and Drinking Fountains. There is also electrical and mechanical installation, associated site works such as retaining walls, walkways, steps, platforms, water, sewerage, stormwater reticulation and the refurbishment of existing structures. Estimated Contract Value: R87 000 000.00. -33.0132059, 27.920364999999947

 

Status Region
Underway East London
Category Value
Building R61 Million – R100 Million
Industry Timing
Hospitality & Leisure January 2020 – June 2021 (18 Months)
Sector Class
Public Open Tender

 


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About Sasha Anderson

Millennial Mom + wife living the hash-tag life. Remember: If You Fail - Fail Forward

Activation plans for the Construction Industry post COVID-19

At the end of April, the Construction COVID-19 Rapid Response Task Team (CC19RRTT) submitted proposal medium-term plans for the development and construction industry post-COVID-19.

Below is a synopsis of the proposal. The full proposal document is available below.

Short-term interventions include re-activation of construction sites and processes with a focus on health and safety measures to assist the safeguarding of construction workers and suppliers.

Medium and longer-term interventions are required to support the built environment and construction sectors to ensure contributions to economic recovery and growth.

The Public Infrastructure builds, together with private sector investment, plays a key role in creating employment opportunities in the sector and its regulation determines the successes or failures of the Built Environment sector.

The property development sector, both private and public, is responsible for fixed capital investment that addresses both social and market needs and, importantly, reflects medium-to-long term confidence in the future of the country.

Government contributes towards public infrastructure builds and regulates the sector through various entities, guidelines and provisions which play a key role in creating employment opportunities in the sector.

The Covid-19 situation happened at a time when the entire building industry was in a crisis, bringing focus and urgency to the need to review some of the regulatory framework and procurement environment for which Government is responsible.

More than two-thirds of any development process is currently being spent on obtaining statutory approvals, twice as long, if not longer than it takes to construct a typical development. Construction can only commence once statutory approvals are in place. If one were to support the construction industry, one cannot but address duplication of statutory processes and delays in the statutory approval phase of a project. Such delays also inhibit any national economic turnaround.

The submission is structured along with the following main themes:

  1. The need for the alignment and merging of all statutory approval processes into a single application process.

  2. The empowerment of qualified and registered design professionals to self-certify their work, or alternatively peer certification on a rotational basis.

  3. Restructuring of public procurement processes under the guidance of the quantity surveying, architectural and engineering professions who are responsible for procurement processes in the private sector daily noting the need to acknowledge the broad intent of the current PFMA & MFMA’s. The shortcomings of these policies in the procurement of professional services also should be acknowledged and reviewed.

  4. Establishing a supply chain environment which differentiates between the procurement of goods and procurement of professional services.

  5. Creating a regulatory framework which supports the industry to be sustainable rather than contribute to its collapse.

  6. Increase public-private partnerships for the provision of infrastructure projects.

  7. Facilitation of development finance to ensure that more projects get to the bankable feasibility stage.

The medium-term plan calls for a fundamental change in government and public engagement in order for more construction projects can take place, thereby delivering all the benefits that the construction industry can achieve as an economic multiplier in terms of creating employment ultimately resulting in the recovery and the future of the country.

The construction industry is paramount in achieving any future economic growth and the proposed plan will most certainly assist in its activation post-COVID-19.

The Full Proposal Document

cc19rrtt_medium_term_proposa

Source: ASAQS


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About Sasha Anderson

Millennial Mom + wife living the hash-tag life. Remember: If You Fail - Fail Forward

Leads 2 Business Weekly Quote

posted in: General 0

The Significance of Sustainability: “What’s the use of a fine house if you haven’t got a tolerable planet to put it on?” Henry Thoreau


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Millennial Mom + wife living the hash-tag life. Remember: If You Fail - Fail Forward

Featured Tender: Consultancy Services for Undertaking Feasibility Study, Detailed Engineering Design, Environmental and Social Impact Assessment and Preparation of Tender Documents for Upgrading of Nangurukuru – Liwale Road Section (230 Km) to Bitumen Standard

Featured Tender: Tanzania

Contract Number:

AE/001/2019-20/HQ/C/55 – Tanzania National Roads Agency

Description:

This invitation for expression of interest follows the General Procurement Notice (GPN) which appeared in Daily News Issue no. N/A dated 26/09/2019. The Government of the United Republic of Tanzania has set aside funds for the operation of the Tanzania National Roads Agency – HQ during the financial year 2019/20. It is intended that part of the proceeds of the fund will be used to cover eligible payment under the contract for the Consultancy Services for Undertaking Feasibility Study, Detailed Engineering Design, Environmental and Social Impact Assessment and Preparation of Tender Documents for Upgrading of Nangurukuru – Liwale Road Section (230 Km) to Bitumen Standard. The Tanzania National Roads Agency – HQ now invites eligible Firms to indicate their interest in providing the services which include Consultancy Services for Undertaking Feasibility Study, Detailed Engineering Design, Environmental and Social Impact Assessment and Preparation of Tender Documents for Upgrading of Nangurukuru – Liwale Road Section (230 Km) to Bitumen Standard

Category Industry
Consultants Institutional
Region Site Inspection
Tanzania No Details
Closing Date Contract Period
22 June 2020 at 10:00 (Local Time) No details

 


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Infographic: Vendor vs Open Quotes

Use our latest infographic covering Vendors and Open Quotes to decide which is best for you.

Open Quotes vs Vendor

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About Marlaine Andersen

Leads 2 Business Advertising Co-ordinator and Digital Designer

Abandoned Construction Projects in Africa

posted in: Construction Chat 0

An abandoned construction project can be defined as a project which has been 1) totally abandoned, or 2) indefinitely delayed. Abandonment may happen at any stage of a project life-cycle and incur a significant amount of loss.

There are various reasons why construction projects are abandoned:

  • Inadequate planning
  • Inadequate finance
  • Inflation
  • Bankruptcy of Contractor
  • Variation of project scope
  • Political factor
  • Delaying in payment
  • Incompetent project manager
  • Wrong estimate
  • Faulty design
  • Inadequate cost control
  • Change of priority
  • Unqualified/inexperience Consultants
  • Administrative/legal action
  • Disputes
  • Natural Disasters

The effects of construction projects are mainly:

  • Unemployment
  • Bad image for government
  • Government sector underdevelopment
  • Slow economic growth
  • Financial institutions lose confidence in the state
  • Discourages investment
  • Loss of revenue by state

Here are a few construction projects that have been abandoned and the reasons:

1. The Ghana-STX Building Project, a $10 billion housing project – The project was supposed to lead to the construction of 200,000 houses in Ghana for over 5 years. From research findings, causes of failure of the project were due mostly to disunity, lack of effective governance and project control. Corruption was also a feature.

2.  Mususu Kalenga Building in Zambia – The structure was built at a cost of K400 million by the Zambia State Insurance Corporation and sold to Royal Lutanda Company Limited at K800 million in 2000. The 11-storey building has remained abandoned for over 25 years. There is no indication as to why it was never completed.


3.    900-1000MW Coal Power Plant at Lamu in Lamu County, Kenya – Kenya’s National Environment Tribunal revoked the license granted to the Power Company to build a coal power plant, due to the companies failure to do a thorough environment and social impact assessment (ESIA) that met the requirements of the law.

4.    Construction of a 20,000 seat capacity stadium in Mongu District in Zambia – The government abandoned its plans for the Mongu Stadium most likely due to lack of funding.

5.    Grand Police Bay Hotel, Seychelles – There was a lot of backlash regarding this project and the government decided to not proceed with its plans.

6.    Al-Noor Tower, Casablanca, Morocco – The 540m high skyscraper was to include a luxury hotel,  offices, apartments, an art gallery and a luxury arcade of shops. The client, Middle East Development LLC decided to not proceed with the development stating that a tower if this size was not an appropriate project for Morocco at the moment.

7.    Hope City – A mixed-use development in Ghana – With a downturn in the economy, relocation of the project, and erratic power supply, work on the project never got underway. RLG Communications, the Ghanaian tech company which was supposed to be spearheading the project was itself caught up in various scandals. To date, nothing further has happened with this development.

8.    Pinewood Uranium Project, Tanzania – Kibo Mining (AIM: KIBO; AltX: KBO) announced on 24th February 2017 that it will cease activities at its Pinewood and Morogoro uranium coal and gold projects with immediate effect. The reason behind this strategic choice is in that both Metal Tiger and Kibo Mining have experienced considerable success in other projects of their business portfolio and this has led to these interests becoming the absolute focus of each company.

9.    Construction of sewers, roads and infrastructural services for 360 plots in Kazungula Village and at Nnyungwe area in Kasane, Botswana – Government mysteriously abandons the P80 Million tender as works near completion and this sparks corruption rumours.

Sources:
Research Gate – Abandoned
Research Gate – Government
PM World Library
The Gazette
L2B


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About Nadia Milln

My journey at Leads 2 Business all started back in September 2014 as a content researcher in the Daily Tenders Africa Department. In March 2018 I was promoted to content researcher in the Private Project department. I am a fun loving, bubbly person and mom to a beautiful baby boy who is the absolute light of my life.

Featured Project: Kaptis Hydropower Plant

Kenya

Description
Construction of the 14.7MW Kaptis Hydropower Plant in Western Region, Kenya.

 

Status Region
Procedural Kenya
Category Value
Infrastructure R 100 million+
Industry Timing
Power Grid, Industrial 2020 onwards
Sector Class
Private Open Tender / Pre-Qualification / Invited


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About Minnie Zondi

I am an insanely optimistic ambivert that does everything from the heart instead of the mind. Deeply interested in people and matters that pertain to mankind.

How lack of Electricity affects Construction Projects in Africa

All building construction projects are reliant on a number of different inputs to be successful. Examples of these inputs would be raw materials, labour, transportation and electricity.

Unfortunately, the reliable supply of electricity cannot be guaranteed in many African countries due to lack of infrastructure, maintenance and untrustworthy contractors, which leads to load shedding.

What is load shedding?

The deliberate shutdown of electric power in a part or parts of a power-distribution system, generally to prevent the failure of the entire system when the demand strains the capacity of the system.”

How does this affect construction projects in Africa

  • Investor confidence is reduced as investors worry about the safety of their investments being undermined by instability and unreliability of power.
  • The overall economy is affected not only by reduced investor confidence but also the fact that most businesses, in general, cannot operate without power. Suppliers, sub-contractors, manufacturers and most other inputs to the building industry are crippled without power.
  • The increase in the cost of electricity can be as much as three times higher than it would be if the grid were reliable, therefore increasing the building costs.
  • A delay in building completion of projects, therefore putting pressure on contractors and delays in starting in their next project. Sometimes projects cannot be completed and would need to be postponed.
  • An extra cost for the supply and upkeep of generators, therefore leading to higher building costs and an increase in pollution.
  • Electrical equipment – Surges and voltage spikes cause damage each and every time, although most often the equipment carries on working. Eventually, the equipment will fail.
  • Have to use more manual labour, as they cannot use electronic equipment. This will not be as efficient and will take longer to complete the project, as well as being more expensive.

In closing, make yourself aware of load shedding schedules, and take power outages into account when pricing and planning for your project. Look at the history of load shedding in the country to determine the risk of any unplanned or unscheduled outages. Consult with the electricity provider to determine their short term and long term upgrade and maintenance plans for their power network.

 

Sources:

Dictionary
702
QZ


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About Pauline Rainbird

I have been working at L2B since March 2011 and my current position is Deputy Head of Department - Africa. When I am not working I am either riding my bicycle or spending time with my dogs.

Leads 2 Business Weekly Quote

posted in: General 0

“The difference between Stumbling Blocks & Stepping Stones is how you use them” Unknown


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Featured Tender: Consultancy Services for Review of Feasibility Study, Preparation of Detailed Design and Tender Documents of the Proposed Pesi Dam Water Supply Project

Featured Tender: Kenya

Contract Number:

CRVWWDA/PESI/C/DAM/1/2019-2020 (Expression of Interest) – Central Rift Valley Water Works Development Agency

Description:

Central Rift Valley Water Works Development Agency was established under Water Act 2016, as an autonomous agency reporting to the Ministry of Water & Sanitation and Irrigation. The Agency was created to improve delivery of water services within areas of its jurisdiction which include Baringo, Laikipia, Nakuru, Narok and Nyandarua Counties mainly through construction of National Bulk Water and Sewerage Works. The primary objective of Pesi Dam Water Supply Project is to provide a reliable and sustainable water supply to Nyahururu Town, Ol Kalou, Ol Joro Olok, Ndaragwa, Mairo Inya, Karampton and other needy areas within the project areas. Kenya Water Security and Climate Resilience Project – Phase 1 Preparation of a National Water Infrastructure Investment Pipeline (NWIIP), Feasibility Study for Malewa Dam and Water Supply to Ol Kalou, Naivasha and Gilgil Towns in Nyandarua and Nakuru Counties Feasibility Study of Water Supply to Ol Kalou Town by EGIS – EAU in September 2019. The Ministry of Water, Sanitation and Irrigation through Central Rift Valley Water Works Development Agency intends to identify a suitable Consultancy firm to undertake the Review of the Feasibility Study, Carry out the Detailed Design and Prepare Tender Document for the water supply system for the proposed project area. Scope of works: (i) Review the Feasibility study of the dam and water supply system; ((ii) Carry out Hydrological study, Geological and Geotechnical Studies of the selected 2 dam sites and based on the results of the study, select the most suitable dam site; (iii) Carry out detailed Dam Design including spillway and Intake structure and other ancillary works based on the existing feasibility study; (iv) Prepare Dam Safety Plans / Report; (v) Carry out route survey, preliminary and detailed design of water transmission pipeline from the treatment plant to supply areas; (vii) Carry out Environmental and Social Impact Assessment (ESIA) and assist the Client to acquire the Licence; (viii) Prepare the Resettlement Action Plan (RAP) and Valuation Report of Project Affected Persons / Institutions for areas affected by the Project and assist the Client in the Implementation of the RAP; (ix) Prepare Tender Documents; (x) Assist the Client in evaluation of the Tenders to Procure Contractor; and (xi) Prepare the Terms of Reference for Supervision Phase. The Central Rift Valley Water Works Development Agency hereby invites eligible Consultancy firms to indicate their interest for Consultancy Services.

Category Industry
Consultants Institutional, Water
Region Site Inspection
Kenya No Details
Closing Date Contract Period
15 May 2020 at 12:00 (Local Time) No details

 


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About Pauline Rainbird

I have been working at L2B since March 2011 and my current position is Deputy Head of Department - Africa. When I am not working I am either riding my bicycle or spending time with my dogs.

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