DPWH blacklists 3 contractors for one year

The Department of Public Works and Highways (DPWH) has blacklisted for one year three construction companies involved in the rehabilitation of the Surigao-Davao Coastal Road.

As ordered by Public Works and Highways Secretary Hermogenes Ebdane Jr., the three firms — RII Builders Inc., Luciano Construction Inc. and 310 Construction Specialist Corp. — cannot take part in any bidding or enter into any contract with the DPWH and its line agencies for one year.

Ebdane cited the companies’ failure to meet the required accomplishment ratings in their work on the Bacuag-Claver section of the coastal road.

The road project involves the concreting of a 27-kilometer stretch, improvement of drainage structures and ditches, and the installation of slope protection.

The department’s International Bank for Reconstruction and Development-Project Management Office (IBRD-PMO) recommended the termination of the contracts with the three companies after they jointly incurred a negative 34 percent accomplishment rating in the P511-million project, which the government is undertaking together with the World Bank.

In a report to Ebdane, IBRD-PMO director Mario Bandelaria attributed the slow progress of the three contractors to "occasional rains, inadequate equipment on-site, and limited supplies of cement and diesel fuel."

Ebdane said the three companies should be held liable for the overrun in the cost of completing the project as stated in their contracts.

He ordered his officials not to release any funds to the contractors without any approval from his office.