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Project awarded to companies beyond their general capacity: Minister

Construction and Infrastructure Minister Dr. Abdulla Muthalib has said that the Public Sector Investment Program (PSIP) projects have been awarded to companies lacking the capacity to execute them effectively. The minister made the statement while answering questions by MPs and Monday’s Parliament sitting.

Providing an example to support his statement, the minister noted that over 35 projects are currently contracted to the Road Development Corporation (RDC). He said the company lacks the capacity to carry out such a large number of projects simultaneously.

Dr. Muthalib also pointed out that the Maldives Transport and Contracting Company (MTCC) in undertaking multiple development projects, more than its general capacity allows. While MTCC’s typical capacity ranges between 40 to 60 projects, the company is currently handling over 160 projects, he noted.

The minister emphasized that delays in implementing projects often occur due to projects being awarded to government-owned companies rather than being opened to public tender.