METEC building construction delay costing Tourism Bureau millions

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photo: Anteneh Aklilu

The Addis Ababa Cultural and Tourism Bureau (AACTB) wants to have its own office. However the agency reports that because of slow G+12 head office construction work being done by the Metals and Engineering Corporation (METEC), the bureau has wasted nine million birr on house rent.
Currently the bureau is paying 538,000 birr a month to rent an office around Arat Killo. Since 2014 they have paid 25 million birr in rent. When the building is finished it will be the office for ACTB, the Addis Ababa Children and Youth Sport Center, a theater and a game emporium. Six years ago METEC agreed to complete the project at a cost of 348.3 million birr in three years time. However, the corporation requested an additional 200 million birr from the Addis Ababa City Administration Construction and Housing Development Bureau (ACHDB) to complete the project.
The hard currency shortage and the increasing cost of finishing materials are the reasons given by METEC for the total increasing cost of the construction.
ACHDB is not happy with METEC’s request. They wrote a letter to the Cultural and Tourism Bureau to administer the project but the bureau told the construction bureau to finish the project. A letter is signed by Tesfaye Omega, vice head of ACTB said the misunderstanding between the construction bureau and the consultant is costing time and money.
“By no means transferring the administration to cultural bureau is not a fair thing. The construction bureau has not had good coordination with the consultants. When the consultants ask for a price adjustment ACHDB, which made the deal in the first place,  has the duty to entertain  the question but instead it is trying to escape the challenge by transferring the problem to us which is not legal.”
Habtamu Tekle, the Addis Ababa Children and Youth Center CEO told Capital that poor supervision by ACHDB is the big reason behind the delay of the project.
“METEC asked for a price adjustment to ACHDB one year ago but they replied recently and told the cultural bureau to administer the project. It is misunderstanding by stakeholders that is   retarding the project.”
He added that the building work needs a   fast response from the administration  so the building can be finished and used for its indented purpose.
Addis Ababa Children and Youth Center is currently using an old hall located in  Arat klilo.