the Minister of Regional Development and Infrastructure of Georgia, Nodar Javakhishvili, stated: "The implementation of about 28 projects were planned three years ago but they were being incorrectly implemented during all this time. We corrected the flaws and international donors have allocated additional funding for us."FactCheck
took interest in the accuracy of this statement and looked into it.
In order to verify the aforementioned information, we contacted the Municipal Development Fund of Georgia and the United Water Supply Company of Georgia.
According to the Municipal Development Fund of Georgia’s information, the implementation of water supply projects with the European Investment Bank’s funding were planned in 28 cities and municipalities of Georgia with 24 of these having made it to the phase of signing a contract. The remaining four; namely, projects in Chiatura, Baghdati, Kvareli and Khashuri, were cancelled due to a lack of funding.It should be pointed out that according to the United Water Supply Company of Georgia, these projects were planned in 2012 and 2013. However, the construction work of these projects did not start until 2014. FactCheck
took interest in the specific number of projects planned in 2012 and 2013. In order to clarify this information, we requested additional public information from the United Water Supply Company of Georgia. However, we were unable to receive the requested answers. As the company’s response letter explains, the aforementioned 24 projects were being planned for gradual implementation in 2012 as well as 2013 and so the exact number of projects planned under the previous government, as well as those under the incumbent government, is unknown to us.
Since December 2014, at the request of the European Investment Bank, these projects (24 contracts) have been subjected to changes according to international standards. Specifically, the distribution network plans and pipe diameters were changed for each project (in accordance with the EN standard) and plans for water meter units were also created (in accordance with the EN standard) together with the construction of reservoirs and chlorine pumping stations also being planned (in accordance with the EN standard).
With the consent of the donor organisation (European Investment Bank), the cost of the additional work necessary due to the changes in the projects was covered in terms of allocated credit resources (by the redistribution of money between the projects).
Water Supply Projects Planned in 2012 and 2013 (24 Projects)
|City||Contractor||Working Costs (GEL)||Cost of Additional Work (GEL)|
|Dusheti||Kainat Techizat Tikinti||1,588,162.28||0.00|
|Terjola||Kainat Techizat Tikinti||1,488,642.16||464,205.85|
|Telavi-Kurdgelauri||Oil&Gas Construction Trust||6,490,342.90||561,790.15|
|Zestaponi||Alliance & Kapiteli||3,579,251.05||219,557.73|
|Kareli||Oil&Gas Construction Trust||1,713,769.85||433,545.91|
As the table makes clear, a total of GEL 83 million was allocated for these 24 projects of which GEL 16 million was spent on additional changes in the projects. Today, all of these water supply projects have already been launched. The dates for the finalisation of construction work vary from 2015 to 2017.
According to the Municipal Development Fund of Georgia and the United Water Supply Company of Georgia’s information, a total of 24 water supply projects were planned in 2012 and 2013. These projects were planned for a gradual implementation. The United Water Supply Company of Georgia failed to provide us with statistics of how many projects were planned in 2012 and 2013 as separate years. However, it is a fact that a number of these projects were planned in 2013. The implementation work was not started on any of these projects until 2014 and 2015.
Following a request of the donor organisation (European Investment Bank), certain changes were required to be made to the projects as they were incompatible with international standards. These changes were made after December 2014 and the costs of the additional work necessary due to the changes in the projects were covered in terms of allocated credit resources.Hence, Nodar Javakhishvili’s statement is HALF TRUE.