Govt: Local contractors will benefit from road project

 By SHIRLYN BELDEN 

THE government will insist 30% of contract benefits will go to local contractors when the China Railway Engineering Company begins construction on the Highlands Highway this month, Minister for Works Francis Awesa said. 

He said the company would allow for the 30% local contractors as sub-contracts, depending on their own arrangements and plans for machinery and material for the construction work. 

Awesa said the government would make sure many local landowner contractors and business people were involved.  

According to the company’s vice-president Bai Rui in Port Moresby on Wednesday, the construction would engage local contractors in sub contracts to assist the main construction work of the Lae-Nadzab phase of the infrastructure project. 

“The 30% of the local contracts will be largely from the local procurement of raw material, instruction material and the employment of workers,” she said. 

Awesa said the next project would connect Madang to Ramu and Mt Hagen and Enga to Madang, East New Britain and West New Britain and Lae to Port Moresby. 

He said the government had the financial support and would strategise to deliver these important projects.