Kamla fumes over ANR airport cost overruns, delays

UNITED National Congress (UNC) and Opposition Leader Kamla Persad-Bissessar has raised alarms about a reported $431 million in cost overruns and multiple delays at the ANR Robinson International Airport project in Crown Point, Tobago.

Speaking at the UNC's cottage meeting at the Las Lomas Government Primary School on December 2, Persad-Bissessar said the matter was serious and required accountability.

Citing a report by consulting firm Mott MacDonald, she said the project has a 26 per cent cost overrun and is taking more than twice as long as originally planned to complete.

“The project has experienced many delays, which has resulted in multi-million-dollar claims,” she said.

Initially projected to cost $1.286 billion, the project’s total expenditure has ballooned to $1.7 billion, with the completion date pushed to June 2025. The airport, originally set to be completed in 2022, is nearly three years behind schedule.

Pointing to an image of the airport model, she asked, “How does that cost that kind of money?”

Persad-Bissessar criticised the National Infrastructure Development Company’s (NIDCO) and the government’s handling of the project, claiming a lack of proper management and oversight.

“In summary, three main issues emerge as the most significant factors impacting the project's progress: (a) lack of balance between control and risk allocation, coupled with deficient risk management by all parties.

“These issues point to a lack of experience in terms of managing turnkey contracts and almost non-existent previous airport construction and commissioning experience,” she said, quoting from the Mott MacDonald report, which pointed to "deficient risk management" and "inconsistencies" in project oversight.

The main contractor, China Railway Construction Caribbean, was initially awarded $912 million for the terminal and associated works in 2019. Persad-Bissessar charged that mismanagement by NIDCO, under chairman Herbert George, exacerbated delays and escalated costs.

The report also revealed NIDCO terminated its oversight consultant, CEP Ltd, in July 2022, further complicating the project’s progress. Recommendations from Mott MacDonald urged the removal of NIDCO from direct management and the appointment of an international firm with expertise in airport construction.

Persad-Bissessar sharply criticised the apparent $431 million in overruns.

The main contractor reported severe cash flow issues, with the Ministry of Finance acknowledging pending claims amounting to approximately US$14.2 million.

She dismissed a newspaper report last month with a headline saying the airport was set to open “earlier than expected.

“You’re now boasting you’re going to open it earlier than expected? You’re already two years behind time.”

Persad-Bissessar questioned the government's transparency and urged for greater scrutiny.

She also warned that rushing the terminal's opening without adequate testing and commissioning could lead to operational failures.

“The government is trying to open the airport before the general election, but the necessary systems and checks won’t be ready,” she warned.

She called for immediate action to address the issues, saying, “This is about ensuring Tobago gets the airport it deserves – not a monument to incompetence.”