212 reports against contractors of KLIA2, says MAHB

A total of 212 non-compliance reports (NCR) has been lodged by Malaysia Airports Holdings Bhd (MAHB) against the contractors of KLIA2 for unsatisfactory works that must to be rectified before the airport is handed over by April 30 next year or further penalties will be imposed against them.

For now the main contractor, UEM-Bina Puri JV, has been slapped with a RM6 million monthly fine since MAHB had invoked the liquidated ascertained damages (LAD) clause, reported The Star. Assuming the JV company only hands over the airport on April 30, 2014 and not earlier, the total LAD it has to pay MAHB is RM63.42 million That amount is for 318 days, beginning June 16 and the charge per day is RM199,445.40.

The UEM-Bina Puri JV won a RM997.2 million contract in June 2010 and has been paid over RM800 million. The contract is to build the main terminal and satellite buildings, a sky bridge and four piers. But the more pressing issue now is over the glaring defects and shoddy workmanship in some parts of the building.

“We met the contractors and they have agreed to do all the rectifications. Of the 212 jobs, they have made good 70,” said MAHB Mohd Zaifuddin Idris when contacted by StarBiz. He is the general manager (construction) for KLIA2.

Among the 212 defects are ceiling height not meeting specification in some areas, equipment room which should have been fitted with clean agents but were fitted with sprinklers, level of gradient on roads around the building not according to specifications and unsatisfactoty workmanship.

MAHB has been criticised by various quarters for not being able to open KLIA2 on time and some said the delays would lead to cost overuns. This is despite the fact that the airport has doubled from its original size and MAHB has maintained that despite the delays, the RM4 billion budget would be maintained. - June 24, 2013.