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Al-Turki criticizes the performance of contracting companies
​Saudi Gazette report

JEDDAH — Jeddah Mayor Saleh Al-Turki, said the contracting sector is a promising sector but raised a pertinent question: “Is the contracting sector ready to be part of the development.”

He noted that they have held meetings to evaluate the risks in new projects and added, “I was surprised that 90% of ministerial projects are delayed because of contractors.”

Elaborating on the matter, he said, “I used to tell them (contracting companies) not to get involved in projects that they cannot complete.”

He added that he contacted these companies but their response was “weak”.

He said, “Forty percent of Jeddah projects are stumbling, the gardens are in a miserable condition and environment protection is not there.”

In response to this condition, he said, they would not offer any contract next year if contractors remain as they are.

Al-Turki was speaking at the second session at the 75th JCCI anniversary entitled “the public-private partnership and the role of constructing companies”.

The deputy minister of Power, Industry and Mineral Resources Khaled Al- Dwaifer said the Saudi Vision 2030 focuses on youth. He added that there are 500 initiatives, which aims at enhancing the private sector and increase its contribution in the GDP from 40% to 65%.

Among the promising opportunities, he said, is the program to develop the national industry and logistic services along with renewable energy projects.

According to Al-Dwaifer, the mining sector can provide great investment opportunities that can reach $40 million.

The Chairman of the Eastern Province Abdulkareem Amar said any successful project needs an owner, a contracting company and a consultant. The spending in this sector is about SR1 billion a day, he added.

“Despite the challenges facing this sector including regulations and fees this sector was able to do projects that we are optimistic about,” noted Amar.