… Pegs Mobilization Fee at 20% of Contract Sum
The Rivers State House of Assembly, on Tuesday, at its 127th Legislative Sitting, has passed a Bill for a Law to amend the Rivers State Public Procurement (Amendment)Law No.1 of 2021 and other related matters. The House passed the Bill after extensive debate and legislative scrutiny.
Leading the debate, the sponsor of the Bill, Hon. Lemchi Nyeche, Member representing Ikwerre Constituency, argued that the import of the Bill cannot be overemphasized as it seeks to delete Section 3 of 2021 amendment Law, and to ensure that mobilization fee of not more than twenty percent of the contract Sum is paid to suppliers or contractors, supported by a contract performance bond.
Contributing to the debate, Members applauded the Bill, stating that when passed into Law, it will curb reckless and arbitral payment of mobilisation fee in government contracts, adding that twenty percent is enough for any serious government contractor to mobilise to site and commence work.
Commenting on the Bill, the Speaker, Rt. Hon. Martin Chike Amaewhule, emphasized the importance of the passage of the Bill, which he noted will engender probity and accountability in the payment of mobilisation fee in the State.
Rt. Hon. Amaewhule described the situation where one man is given the latitude to give even hundred percent of the contract sum in the name of mobilisation as absurd; and once again condemned the refusal of the Governor to appoint Chairman and members of the Board of the Bureau for Public Procurement.
He hinted that the purported appointment of an Acting Director-General of the Bureau for Public Procurement is not known to the Law establishing the Bureau, therefore, such appointment cannot stand.
Relying on the rules of the House, the House resolved into the Committee of the Whole and gave the Bill clause by clause consideration before reverting to Plenary to pass the Bill.
The Speaker thanked Members of the House for their legislative acuity and commitment to the peace and development of the State despite operating in challenging circumstances.
Signed
Martins Wachukwu
S. A. Media To The Speaker, Rivers State House of Assembly
Monday, 26 March 2024
