PRB agreed to Chinese National Standards - China Railway

The China Railway First Group which was the contractors of the Public Rental Board Raiwai flats said the cost of the flats was to be negotiated after the completion of the building designs.

China Railway claims that PRB has falsely stated that the costs agreed upon for construction was $9 million.

In a statement, the group said it was clearly understood by both parties earlier that the price for the Raiwai Housing Project was a provisional price and the final price would be negotiated mutually and fixed by both parties after the completion.

China Railway No.1 has also refuted claims by PRB that the construction being of Chinese National Standards was a breach of contract.

According to China Railway, the contract between the group and PRB specifically allowed the structural design of the buildings to be of Chinese National Standards which was fully accepted because all the drawings were reviewed and approved by PRB’s engineers and Suva City Council.

They said it was after 6 months of approval that PRB’s engineer first raised the issue of the Chinese National Standards.

China Railway also said they obtained the approval and building permit from the Suva City Council and submitted the Bill of Quantity and the project price to PRB for its review but unfortunately both parties did not reach an agreement on the project price which saw work suspended.

The group said the project price was then referred to the Dispute Adjudication Board where they recommended a price of $11 million to $15.5 million where the board recommends an independent Quantity Surveyor to determine the final project price.

China Railway added the independent Quantity Surveyor determined the total cost of the Raiwai flats would be $16 million which the group has agreed on.

Construction is still on hold.

Meanwhile, PRB has referred all queries to the Prime Minister’s Office.


Story by: Filipe Naikaso