Questions Arise Over $8.6M Airport Contract Controversy

Former Prime Minister Mahendra Chaudhry has expressed his concerns regarding the awarding of an $8.6 million contract to Pacific Building Solutions for the construction of a new terminal at Labasa Airport. Chaudhry claims this figure is approximately $3 million higher than the bids submitted by other reputable contractors.

According to Chaudhry, the lowest bid received was $5.2 million, with a proposed project duration of 54 weeks, in stark contrast to the 21-month timeline submitted by Pacific Building Solutions. He raised questions about the rationale behind awarding the contract to Pacific Building Solutions despite other bids being based on the same plans and coming in significantly lower.

Chaudhry noted that an unsuccessful bidder reached out to the Airports Fiji Limited (AFL) for clarification on the decision process but received no written response. He emphasized that as a state-owned entity, AFL is obligated to maintain transparency and accountability in its dealings, particularly since taxpayer money is involved.

The project entails building a temporary terminal at Labasa’s Waiqele Airport while the existing terminal is demolished, followed by the construction of a new terminal with distinct departure and arrival areas. Under the agreement, work on the temporary terminal was scheduled to commence in the first week of October 2024 and be completed by January 2025. However, Chaudhry pointed out that as of mid-October, there has been no visible progress at the Labasa Airport, raising concerns about potential delays.

The construction of the new terminal is expected to begin in January 2025, with a completion target of June 2026, but this timeline may be further jeopardized if the temporary structures are not finished on schedule.

Chaudhry also recalled that Pacific Building Solutions was a partner in the Nadi Airport modernization project in 2013, which was estimated to cost $105 million but ultimately surpassed that budget, finishing in June 2018 at $130 million, with delays of nearly three years. He urged the Prime Minister’s Office to investigate the matter and hold AFL accountable for its actions.

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