By Elesha George
Road defects on two major highways are costing the Government of Antigua and Barbuda millions of dollars in repairs and legal fees.
Parliament recently approved a US $4.4 million loan from the Caribbean Development Bank (CDB) to address unfinished roadworks and infrastructure defects on Friars Hill Road and Sir George Walter Highway. These projects were originally funded by a US $14.9 million grant under the UK government’s Caribbean Infrastructure Partnership Fund (UKCIF) project, administered by the CDB. However, the work stalled due to disputes with the contractor, Bahamas Hot Mix (BHM).
Prime Minister Gaston Browne disclosed that BHM is demanding nearly US $14 million through arbitration, a claim tied to the incomplete roadworks. The government has countered that parts of the project were substandard, citing defective road surfaces and recurring potholes, particularly in the Woods area, which have required ongoing patchwork repairs.
“Unfortunately, they did not complete the contract, and parts of the work were substandard,” Browne said while presenting the resolution in the House of Representatives last week.
The dispute centres around delays in completing the project. At the time, the Antigua Public Utilities Authority (APUA) used the construction period to install new water pipes, fibre optic cables, and underground power lines. BHM requested a contract extension with additional pay, arguing they needed more time to finish the work. However, the government rejected the request, stating there was sufficient time left on the contract to complete the project on budget.
Two years after the agreement, the government noted that little progress had been made, with BHM taking an inordinately long time to advance the work.
The recently approved CDB loan will be used to finalize infrastructure improvements such as sidewalks, curbs, and drains on the two major roadways. Despite the arbitration, Browne assured residents that the government remains committed to completing the roadworks to address complaints about deteriorating road conditions.
The Prime Minister, while not specifically referring to BHM, also criticised the tactics of some contractors, accusing them of bidding low to secure projects and later seeking additional compensation through arbitration. He called for stricter contract oversight and urged regional governments and institutions like the CDB to address such practices. “This issue is not unique to Antigua and Barbuda. Across the Caribbean, contractors play these games, bid low, and exploit contracts through arbitration,” he said.
Browne is confident that the government will achieve a favourable arbitration outcome but acknowledged the significant financial burden the dispute and repairs have placed on public resources. The Ministry of Works is the largest area of government expenditure, accounting for over EC $267 million in the 2025 budget.
BHM was also initially contracted in 2017 to build the new Barbuda airport runway before work on that project stopped abruptly.
Another bologna story. Who in government is responsible for writing the contract? who was responsible for overseeing the project? Why wasn’t it done by local contractors? The project should have been supervised from day one. Why is it we are always a day late and millions short? We didn’t keep our eyes on the government.