Vice President, Dr. Bharrat Jagdeo revealed on Thursday that several persons are thwarting the government’s goal of equitable distribution of contracts. He said this is being done by incorporating several companies and using all of them to bid for a single contract to up their chances of winning. During his press conference today, Dr. Jagdeo issued a stern warning against these practices. He said they are intentionally derailing opportunities for new contractors.
Dr. Jagdeo, along with the Minister of Public Works, Juan Edghill and the Minister of Finance, Dr. Ashni recently visited Regions Two and Five to address regional administrations and local contractors. They reiterated the government’s commitment to ensuring that procurement opportunities benefit regional contractors, particularly for smaller projects. This initiative he said aims to build local capacity and foster a new generation of contractors across Guyana.
At today’s presser, Dr. Jagdeo emphasized the importance of a transparent and lawful procurement process, fully compliant with the Procurement Act. “We are aware that some people are thwarting the goal of the government by identifying or incorporating multiple companies and bidding on projects,” he said. “This results in situations where, within a single household, multiple contracts are awarded, which defeats the purpose of our objectives. While not illegal, it undermines our efforts to distribute opportunities more broadly.”
The Vice President made it clear that the government will crack down on such practices. He outlined steps to ensure government agencies and officials act transparently and without conflicts of interest. Officials with the power to influence contract awards must declare their interests and abstain from bidding if they hold positions directly related to the adjudication and awarding of contracts. Additionally, other government officials, even those not directly involved in the procurement process but who may own or have family members owning companies, must also declare their interests.
Dr. Jagdeo also highlighted the public’s perception of unfair advantages when they see certain individuals or their family members frequently winning contracts. This perception he stated, erodes trust in the system and the government’s commitment to fairness. He also addressed concerns about substandard work and failure to adhere to project specifications, warning that the government will impose liquidated damages and blacklist contractors who do not complete projects on time or deliver poor-quality work.
Notably, recent meetings in Regions Two and Five saw an unprecedented turnout of contractors, with over 700 attendees combined, reflecting a growing engagement at the local level.
Moreover, Dr. Jagdeo stressed the need for ongoing education and training for regional contractors to ensure they fully understand the procurement laws and their responsibilities. This effort is aimed at eliminating excuses of ignorance and ensuring adherence to the legal standards in contract execution.
