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Funds for Kichevo-Ohrid highway construction remain at EUR 598 million, Transport Ministry tells MIA

Funds for Kichevo-Ohrid highway construction remain at EUR 598 million, Transport Ministry tells MIA

Skopje, 27 March 2024 (MIA) - The new annex to the Construction Agreement with the Chinese company "Sinohydro" for the construction of the Kichevo - Ohrid highway refers only to the proposed extension of the deadline until the end of 2026, and funds for its construction remain unchanged, i.e. EUR 598 million, the Ministry of Transport and Communications told MIA on Wednesday, after the Government adopted the document on the extension of the construction deadline and forwarded the law to Parliament for adoption.

The Ministry of Transport and Communications points out that the decision to extend the deadline is based on the report prepared by a FIDIC expert due to the expiration of the previous deadline of December 31, 2023.

According to the new annex, the contractor should complete the works on the 1 and 2 highway subsections by November 31, 2026, sections 2.2 and 3 by August 31, 2025, and section 4 and 5 by September 30, 2026.

"The reason for the extension of the construction deadline is 13 new landslides that have appeared along the route, as a result of the initial inadequate project and premature start of construction of this section without taking into account the real state of the area that should have been treated in the initial project documentation," the Ministry said.

The Ministry emphasized that the Government prioritizes the construction of the highway section, as part of Corridor VIII, and all activities undertaken to complete it in accordance with all construction and safety standards.

On Thursday, Parliament will hold its last plenary session with the current composition ahead of the presidential and parliamentary elections scheduled for April 24 and May 8.

This will be the sixth annex in a row for the Kichevo-Ohrid highway, whose construction began in February 2014. The 57 kilometers long highway was initially projected at EUR 374 million, but after several annexes to the contract and deadline extensions, its price reached EUR 598 million.  At the end of last year, the Ministry hired FIDIC expert tasked with analyzing the contract for the construction of the highway section. The expert has submitted a report to the Government including three options – to extend the contract with the contractor "Sinohydro", to draw up the contract with penalty clauses or to terminate the contract.

Previously, SDSM leader Dimitar Kovachevski said that the new composition of the Parliament will decide how it will continue the project, i.e. whether with the same contractor or by selecting a contractor that has shown it can construct a motorway. "The completion of the motorway is a priority, because the citizens of the entire country deserve it, Ohrid, as the largest tourism center deserves it, therefore, the work should pick up," Kovachevski added. ssh/nn/

Photo: MIA archive

 

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