Within the framework of efforts undertaken by the National Committee in the Council of Saudi Chambers to overcome the obstacles facing the construction sector in various regions of the Kingdom and to touch the concerns of contractors, the committee preparing to increase its efforts to resolve a number of important issues including stalled government projects where it proposed study presented by an international office of consulting to study the economic impact of failure of government projects on the Saudi national economy and on construction companies in Saudi Arabia. Moreover, the results of the study will be submitted to the Council of Chambers and to the concerned authorities to take appropriate steps.
The committee declared that during its fifth periodic hosted recently by the Chamber of Commerce in Abha attended by the President of the National Committee for Contractors Mr. Fahd Al Hammadi and his deputies Mr.Fawaz Alkhodary and Engineer Muhannad al-Azzawi who were invited by a member of the committee, Vice Chairman of the Contractors in Abha Chamber and a member of Board of Directors, Engineer Saad Bin Mastour Ben Merfa'a,
Fahad Al-Hammadi said that the meeting is part of the essential role played by the National Committee to overcome all the obstacles facing the contractors sector in the various regions of the Kingdom, represented in touching the issues facing contractors especially contractors in Asir Region, including funding issues and extracts. He also pointed to the need to execute projects and try to participate in all the activities that are of concern to contractors.
He explained that the meeting approved the preparation of a working paper on the difficulties facing the contractors and then lifting it to His Royal Highness Prince Faisal bin Khalid bin Abdulaziz, Governor of Asir Region .
And about the study of "the economic impact of stalled government projects," Al Hammadi said that this study comes in the context of the continuous efforts of the Committee to address the problems of the sectors and work to resolve them in collaboration with the concerned authorities. He also pointed out that the study will focus on the background and the results of the faltering government projects on the state and contractors by the mechanism of action during the past four years, to be the base for developmental proposals of the current situation for construction sector. Moreover, the mechanism of implementing government projects in the Kingdom protects the government agencies and contractor from the expensive consequences of the implementing the stalled projects.
The participants at the meeting stressed on the need to involve the National Committee for Contractors in the study of the final draft for a public construction contract in order to achieve the aspirations of the investors in this sector and suit and address the phenomenon of the failure of various projects. Also, the Committee intends to follow up with the Ministry of Labor regarding Nedaqat Program, provide labor for the sector companies, especially (construction companies and maintenance), and find out mechanism that achieve the principle of quality and efficiency in accomplishing the projects. Also, the role of the funding was discussed the need to prepare strategy for financing the sector was adopted in two phases (risk reduction, and discuss ways of financing) and the consideration of the subject of insurance has been delayed until the adoption of the contract.