Infrastructure Ministry: Completion bonus and 6-month extension of deadlines so that the projects do not slow down

The Ministry of Infrastructure and Transport is activating a bonus for the completion of projects and an extension by 6 months of the deadlines for the execution of the projects as an antidote to the rapid price increases of energy and materials. In fact, the premium, which will be given as an incentive to contractors in order to continue and complete the projects, will be given only to projects completed without delays.

According to the relevant announcement of the Ministry, after the end of today’s meeting with representatives of the contractors, four institutional interventions will be adopted in order to shield the executed and auctioned projects. This is a necessary breathing space for the market, in which in recent months, and especially after the Russian invasion that escalated the energy crisis,  concern was widespread.

Methods

As it is noted, dealing with the increase in material prices was the subject of today’s and last meeting between the Minister of Infrastructure and Transport, Mr. Costas Karamanlis and the Undersecretary in charge of infrastructure. Mr. George Karagiannis, with contractor representatives.

At the meeting, the Minister informed the representatives of the companies that a double package of interventions is being immediately promoted: four institutions for the continuation of the projects and one of a technical nature, which concerns the extension of deadlines.

The four institutional interventions concern the issuance within May of revised rates for the fourth quarter of 2021, for the pricing of asphalt, for PVC and polyethylene, the establishment of a project completion bonus and the activation of a Public Works Price Assessment Committee.

Regarding the extension of the deadline for the execution of projects up to 6 months, it is noted that the risk of judicial involvement is thus avoided.