Saudi companies to face punitive action for delaying projects

August 23, 2014 10:22 am

A projects committee in Makkah formed by Makkah Gov. Prince Mishaal bin Abdullah has threatened to take punitive action against companies that do not stick to schedule in implementing contract-based projects, Zawya reported. Prince Mishaal is personally following up on stalled projects and demands monthly reports about delays, said committee members. Contractors responsible for two stalled projects, one of which falls under the Makkah Development Authority, blamed service companies, such as the National Water Company (NWC) and the Saudi Electricity Company (SEC), for failing to set up amenities on the project sites. The other project is directly affiliated with the NWC. Majdi Zubeidi, regional service director and a committee member, said the committee was formed to guarantee timely implementation and act as a mediator between companies, contractors, consultants and project sponsors. Projects that do not fall under the authority’s radar will be referred to the Makkah Provincial Council for discussion among ministers.