Notwithstanding the efforts by Namibia’s Roads Authority to justify the shortlisting of seven foreign companies after the prequalification phase for the 32 km road rehabilitation project between Karibib and Usakos (TR7/1), the Construction Industries Federation of Namibia (CIF) and the Metal and Allied Building Workers Union of Namibia (MANWU) are dismayed that the second phase of the tender for the road upgrade goes ahead.
This is despite Namibian authorities and stakeholders being fully aware of the implications for the local construction sector.
At the same time, the CIF and MANWU remain very concerned about the state of Namibia’s construction industry and again recently engaged authorities, requesting that changes in the industry will take place immediately.
With no meaningful reaction from the state, the CIF and MANWU now escalate efforts and take to the internet for the public to become more aware and for relevant authorities to hear them.
The most recent attempts to engage authorities during the first two weeks of June 2023 included joint letters by the CIF and MANWU that had appealed to President Hage Geingob, Prime Minister Saara Kuugongelwa-Amadhila, Minister of Works and Transport John Mutorwa and other senior ministers of the cabinet.
RA was once again being approached jointly in writing by the CIF and MANWU, as well as the KFW and the German embassy in Windhoek.
Other financing organisations have also received the correspondence, such as the African Development Bank.
Attempts also included making lawmakers further aware. As such, the speakers of both houses of the Namibian parliament, as well as the leader of respective opposition parties, had been reached out to in order to garner their support for the local construction sector.
The two member-based organisations, CIF and MANWU, yesterday initiated an online peaceful protest to call for urgent changes in Namibia’s construction sector.
The call for changes includes that government will commit itself and announce publicly the following: That the project for the road upgrade between Usakos and Karibib is cancelled immediately and re-advertised in smaller lots, and that the technical specifications be reviewed.
Moreover, that there will be a deliberate effort to engage the majority of Namibian-owned contractors on all infrastructure and building projects will be sized accordingly, and that government plays its part in creating an environment for decent work in the construction sector.
Fourth, that government supports the “optimal development” of the construction sector where there is space for every-sized contractors: Majority-Namibian-owned SMEs, majority Namibian-owned mid-sized contractors, majority Namibian-owned large-size contractors, and only then foreign contractors or non-majority Namibian-owned contractors, and that joint ventures between majority Namibian-owned contractors must be given preference.
And finally, that government commits itself to the establishment of a construction council as soon as possible, as it would be in the interest of the private and public sectors.
Bärbel Kirchner, CEO of the CIF, says: “Everyone is encouraged to enter the competition and upload their protest poster and message in support of bona fide local civil and building contractors. It is really important that we support our own.
“This is for the maintenance of an important sector of Namibia’s economy and the support of local construction and building businesses, as well as their employees and their families. Ultimately, it is for the survival of our sector. We, therefore, call on everyone to support our campaign to go viral. It is impossible that our local contractors are being displaced when we have our capacity.”
Kirchner further urged government to effect the proposed changes for the Namibian construction industry not only to ensure its survival, maintaining and building of capacity in the sector, but also in the interest of the economy at large.
Any form of public procurement should not only have development role in terms of the infrastructure and building development but also in view of creating employment and addressing poverty.
“The engagement of foreign contractors will not be able to achieve the same, and may even be in contradiction of existing policies of our government, and will have disadvantageous macro-economic implications.”
Justina Jonas, secretary general of MANWU says: “Both MANWU and CIF have tried just about everything to convince the authorities, but they are not hearing us. It is going on for far too long. Our workers are losing jobs because our local businesses do not have enough work. We talk and talk but no changes are happening.
“We are tired. Why should foreign companies get the work that our bona fide local contractors can do? There is no place for foreign contractors, except and only then when there is no local capacity. How can you have foreign companies operate in the space where our SMEs, our mid-sized contractors and/or own large-size contractors should operate. They infiltrate the Namibian construction sector at every level until there is not a single local contractor left.
“Truly, if we can create jobs in our country, we must support our businesses. Government should take the lead in supporting local businesses. Otherwise, it appears that government is not taking this seriously at all.”