Of Lubowa Hospital Project & Uganda, where a furniture & Toilet Company Wins Multi-Billion Contracts

Parliament has directed Government to provide the status report on the  construction of the Lubowa Specialized Hospital as well as the eligibility of Power China International Group to undertake the project.

Deputy Speaker Anita Among made the directive on Thursday, 30 September 2021 following concerns raised by Bukooli Central MP, Hon. Solomon Silwany who said the works had delayed.

Silwany also revealed that President Museveni directed the Uganda National Roads Authority (UNRA) to enter into a pre-finance agreement with Power China International Group to construct six different roads in the country worth 557.8 km.

According to Silwany, the contracted company deals in furniture and toilet equipment and has not undertaken a road construction project before.
“In the last Parliament, Hon. Bahati told the House that promissory notes had been provided to the same company to construct Lubowa Hospital. Parliament agreed to the contract but to date nothing has been done,” said Silwany.

He asked Parliament to task the Ministries of Finance and Works to investigate the company and establish their scope of work saying it could not handle the magnitude of assigned work.

 “I pray that this House tasks the Minister of Finance to give information to the President and ask him to withdraw his directive because the company is incompetent and cannot do the job,” Silwany added.

State Minister for Industry Hon. David Bahati said the matter concerning the pre-financing of the contract to Power China International Group to construct the roads, will be brought before the Minister for Works and Transport who will update the House accordingly.

The Minister of State for Planning, Hon. Amos Lugoloobi said there would be close to zero risk of financial loss to Government in the contract, given that project pre-financing charges the company to commit its resources for two to three years after award of the contract.
Anita Among said Government ought to do due diligence on potential companies for contract, before advising the President on whom to direct for the award of different contracts.