Vietnam should have regulations to assess the ability of contractors, experts said at a recent conference held by the Ministry of Construction.
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| Weak contractors may publically shamed |
Chairman and General Director of Global Petroleum Investment Corporation Nguyen Quoc Hiep gave an example of current loopholes in contract bidding for construction work that allowed a subsidiary company that is weak in human resources and capital to use its parent company's dossier to bid.
Although the parent company would be qualified to construct a project, it’s smaller subsidiary would be incapable of meeting the client’s demands.
Hiep said in this case the management agency must clarify the responsibility of which legal business entity was signing the bid submission document to avoid problems and fraud.
President of the Vietnam Association of Construction Contractors (VACC), Vu Khoa said there were many loopholes in the regulations.
This was why so many grossly incompetent contractors won bids at low prices but can't complete the construction work or did a low quality work.
Khoa called for a public assessment of contractor capacity, with the results made public.
However, what criteria should be used for the ranking lacked consensus among the conference delegates.
Dinh Dang Khoa, Associate Prof., Ph. D of University of Civil Engineering said they should rank enterprises that had been in operation for at least three years.
Khoa also suggested classifying the contractors by their expertise, such as construction design consultant or surveyors. The assessment could be based on the enterprises' profits or production value.
Deputy Minister of Construction Bui Pham Khanh said the ministry was already surveying the capacity of the country’s construction enterprises.
"Based on the results, we will propose the criteria for the ranking." he said.