Jeddah Mayoralty introduces contractor ruling

Authority says that contractors must thoroughly calculate value of schemes

Contractors working in Jeddah will have to calculate the value of their schemes accurately from now on.

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The Jeddah Mayoralty has made it mandatory for contractors working on bridge, underpass and tunnel projects in the region to thoroughly calculate the value of their schemes, it was announced on Saturday.

The local authority said that these calculations would include the cost of relocating services such as water and electricity. The aim of the measure is to put an end to faltering and delayed projects, the mayoralty said.

It added that the ruling would prevent contractors from charging extra after signing a contract to relocate services. This was the major reason behind the increased costs of projects, as well as delays in their implementation, it added.

The ruling stipulated that even if there appeared to be no pipelines or wiring interfering with operations on a projects, contractors were still obligated to double check with utility providers, otherwise no financial claims for having to relocate services would be considered.

The local authority added that the authorities in charge of the awarding of projects would not look at reimbursement requests made after the signing of contracts, regardless of the reason.

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