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The amendment for the increases of the prices of the raw materials is submitted

of Eleni Botas

In the coming days, the amendment is expected to be tabled with the interventions announced by the Ministry of Infrastructure and Transport to address the increase in raw materials that has created problems in public works.

As the Ministry recently announced, a double package of interventions is being promoted immediately: four institutional ones for the continuation of the projects and one of a technical nature – with extension of deadlines.

In particular, the four institutional interventions are:

– Issuance of revision rates for the fourth quarter of 2021 within May

– Invoicing of asphalt, PVC and polyethylene in an accounting manner. This means that contractors will be compensated based on their invoices, at whatever price the materials in question have been purchased.

– Establishment of a project completion bonus. It concerns those who complete the projects according to their schedule without the use of extensions.

Activation of a public works price verification committee.

Also, the deadline for the execution of the projects is extended up to six months. With these moves, the Ministry of Infrastructure and Transport, mobilizes the contractors to continue and complete the projects, since the premium will be given only to completed projects without delays. At the same time, with the five interventions, the necessary breath is provided in the market by the extension of the projects without the risk of judicial entanglements.

The problem of rising prices of materials has occupied the construction industry as a whole in recent months.

All the contracting organizations in the country have rung the bell for the smooth continuation of the projects, while many executives of construction groups have openly expressed their concern about this issue, emphasizing that the increase in raw materials affects not only the smooth implementation of projects, and their profit margins.

“The costs that the contracting world has to manage are high, with most categories of materials recording double-digit increases,” they say.

Source: Capital

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