A survey conducted by the Ministry of Urban Development and Construction indicated that land provision constraints, environmental impacts, poor designing, input and foreign currency shortages and low capacity of contractors are the major shortcomings that are currently challenging Ethiopia’s construction industry. Due to these drawbacks, significant number of construction projects used to be delayed and more importantly even if they were completed on time their qualities were usually compromised to be low.
Delayed infrastructure development of including condominium house, road and railway facilities in the capital and in regional states constitutes the best examples in this regard.However, the question was as to what were the root causes of the country’s visible construction delays and as to what were the impacts they had left with? Construction Sector Transparency Initiative Ethiopia (CoST) Country Manager, Tesfaye Yalew believed that the major problem in the sector is absence of transparent system.
According to Tesfaye, the construction sector by its nature has a wide exposure to corruption as it embraces various chains. It involves various participants, it takes long time and high volume of money, several technical documents, scattered geographic sites.
Therefore, transparency is the tool to avert corruption and ensure value for money in the area in this complicated business. Therefore, establishing an accountable system and improve transparency is a fundamental measure in the area. In this regard, organizing a close cooperation among the stakeholders and mainly in the government structure is essential.
Installing most up-to-date information releasing outlets such as latest software in the official websites of the institutions will also help to update their partners and the public at large about the projects they undertake from the inception to disposal phases.
Tesfaye reaffirms that each Ethiopian taxpayer in every corner of the world has the right to know about each project that makes use of money he or she has contributed in the form of tax. And this would help the society members to know what is going on in their country and to take part if they are capable of and interested on the projects. If there is transparent scheme, there would be valuable outcome.
A transparent institution would have an open bidding to filter out the capable contractor to its project. Then the contractor would provide the finished project based on the schedule. However, most of the developing countries lack such transparent system and they easily faced mismanagement and corruption which lead the project for delay of time and cost overrun. Moreover, mismanagement and corruption expose the taxpayer for extra contribution.
The public also languished for absence of infrastructure that might not available due to such squandering system. Therefore, establishing a system that helps to ensure transparency is fundamental in this regard. That is the main goal CoST Ethiopia is endeavoring for, Tesfaye noted. The initiative is mainly working to bring about transparency in various projects that the country undertakes. It is working to ensure transparency from foundation to disposal phases in various projects so that it could be possible to avoid corruption and mismanagement.
Transparency is the core to ensure value for money, he underlined. “It is crucial to unveil each stages of a given project about the way it could apply.
The time it takes, the money spent and continual updates in the area are significant parameters to the owners and upcoming beneficiaries. We look for institutions’ transparency in all procedures including the significant of their projects, the bid system, and the social value and priorities in the project.”
According to Tesfaye, the initiative core idea is ensuring transparency to enable the public to get the needed benefit from projects that undertake by its money and global funds. Therefore, employing the budget through conducting feasibility study and priority matters is critical.
The transparency system allows intended bodies to investigate feasibility study, priority matters, biding system, audit in each step, and assessment of quality and project progress. On the contrary, lack of transparency averts follow up and professionals and stakeholders’ recommendation and support.
The major problem in the country’s construction sector emanated from absence of serious feasibility study, prioritization, proper design and schedule. Similarly, lack of information disclosure about the progress of the projects is another reason to the delay and failure of various projects, he stated. Most of the government institutions lack transparency in the operation of various projects and CoST is working to solve this problem. It is working with the institutions to provide truth, accurate and completed information.
The information is commendable to be posted in the websites of the institutions for update and accessibility in every corner of the country, according to him. In this regard, CoST is working with Federal Public Procurement and Property Administration (FPPPA) in developing a database that allows institutions to submit and update information about their projects. The system has different variables that identify and disclose institutions and their projects in a way that everyone can check it online. Currently, about 11 government institutions are submitting their information into the database.
CoST would work to enforce the data submission process. This would help to enable the media to monitor the projects progress in each step. Likewise, CoST is working with universities to disclose information about the construction projects they undertake. It has given training to 41 institutions about the necessity of disclosing project information and the way they could submit the information to FPPPA data system. However only the 17 institutions have done based on the request. Recently, the initiative has launched its evaluation of project disclosure of 14 universities in seven projects.
Among these, five of the universities have not disclosed the information about their projects. Consequently, either the institutions have deliberately avoided documents or they have poor management, Tesfaye believed. Even the universities that have disclosed their information have faced 10.6 percent cost overrun on average, he said. Therefore, the institutions are urged to compile the result and recommendation of the CoST.
They are also asked to consistently work in close cooperation with stakeholders including CoST, Federal Auditor General, FPPPA and Federal Anticorruption Commission to avert mismanagement and corruption by using transparency as a means.
The country will have efficient project accomplishment when the accord between the aforementioned institutions is properly implemented. In the agreement, the CoST would give training, FPPPA would monitors institutions to install information and the Auditor General also check the already submitted data.
The recent agreement signed between various ministries and the parliament would assist this effort and allow institutions bring results based on the schedule despite the restraint in the quality of the projects. Therefore CoST would work to solve this constraint.
Through time, the initiative would shift its role from enforcing information disclosure to interpreting the already provided data. In any case, the country needs to have proactive project information disclosure system. This is the key to follow the projects progress and allow the tax payer to get benefited. This has two significance including ensuring the right to get information and enjoying the accomplished projects.
Herald January 1/2019
BY YOHANES JEMANEH
