NIA bans 3 contractors for breach of obligation

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THE NATIONAL Irrigation Administration (NIA) has blacklisted three contractors from any government procurement contract until early next year for failing to meet their obligations without a valid reason.

In a statement on Thursday, NIA identified the contractors as MAC Builders; the consortium of ITP Construction, Inc. and Guangxi Hydroelectric Construction Bureau Co., Ltd; and Premium Megastructures, Inc.

They were served with blacklist orders on their respective contracts for their failure to fully comply with contractual obligations without a valid cause or non-compliance to any written lawful instruction of the procuring entity or its representative.

The blacklist orders were recommended by the government agency’s contract termination review committee.

NIA, which handles the country’s irrigation development and management, said the three contractors are barred from participating in any government procurement until Jan. 27, 2022, while some P2.06 billion worth of aggregate performance securities of the contractors will be forfeited as a result of the blacklisting orders.


“Other violations under the revised implementing rules and regulations of Republic Act No. 9184 or the Government Procurement Reform Act include the absence of minimum essential equipment listed on the bid,” NIA said.

“The said equipment is necessary to prosecute the contract works in accordance with the approved work plan and equipment deployment schedule as required for the project,” it added.

According to NIA, MAC Builders is the contractor of the Malinao dam improvement project in Pilar, Bohol, with a project contract amounting to P730.95 million.

“NIA imposed a sanction to forfeit the performance security of MAC Builders in the amount of P219.28 million,” it said.

Further, NIA said the ITP and Guangxi Construction consortium is the contractor of Balog-Balog storage dam under the Balog-Balog multipurpose project in San Jose, Tarlac worth P5.86 billion.

“NIA forfeited the performance security of the contractor amounting to P1.76 billion,” it said.

Meanwhile, NIA said Premium Megastructures is the contractor of the Bonot-Bonot earthfill dam project in Buenavista, Bohol worth P273.51 million.

“The performance security of the contractor in the amount of P82.05 million has been forfeited,” it said.

“NIA remains firm to its stance against inefficient project contractors as delays in project implementation means depriving the Filipino farmers with the best irrigation service that they deserve,” it added. — Revin Mikhael D. Ochave