Basseterre, St. Kitts, August 2, 2019 (SKNIS): Reading from a letter dated October 14, 2016, from the Canadian Commercial Corporation (CCC), Minister of Public Infrastructure, Hon. Ian Patches Liburd, quoted that, “The commercial construction contract, would be signed between the Government of St. Kitts and Nevis, SCASPA and the Government of Canada, CCC and such on a Government to Government basis. Contract and construction performance risks are borne by CCC. Therefore, any potential costs or time overruns are managed between CCC and JV Driver at no risk to SCASPA.”
The minister’s remarks came during the sitting of the National Assembly on July 30 in addressing reports that the contractor for the construction of the second cruise pier has claimed additional money in the sum of 7.8 million dollars as a result of unfortunate physical conditions
“This has been fully denied by the St. Christopher Air and Sea Ports Authority,” Minister Liburd said.
As with fixed price contracts, Minister Liburd said that the general rule is that a contractor assumes the risk of additional costs associated with differing site conditions. Hence, if there was an additional cost of 7.8 million dollars to be incurred, it would then be taken up by the Canadian Commercial Corporation and its contractor.