Thank you, Mr. Speaker. We’re all aware of cost overruns on many of our infrastructure projects, which have been spiralling out of control for a number of years. It’s something we need to be very concerned about and finally get on top of, because projects get cancelled and deferred.
It has come to my attention that one of the contributing factors to this problem is the way the fees are structured for project consultants. The fees are structured based on a percentage, which actually may give the consultant an incentive to encourage cost overruns. Mr. Speaker, that is not the way we should be running these projects.
My question to the Minister of Public Works and Services is: will the Minister commit to a timely review of the fees we are providing to consultants to ensure they are not unwittingly providing incentives for cost overruns?
Mr. Speaker, the government of the 16th Assembly has appointed a committee made up of all the infrastructure departments in the lead, and what we’re tasked with is to review the infrastructure process and the process used to select and determine prices and also do the construction. We’ll certainly, as part of that, consider the concerns the Member is raising, and we will report back as things progress.
I’m glad to hear it’s at least being discussed, but the way the Minister coins it is that status quo will continue to be the process that we’ll live by. I cannot justify that we don’t attach a fixed fee as opposed to percentages, because we cannot justify losing people on jobs over poor fiscal management that this government’s been running by.
So will this Minister, who can do the job, clearly and immediately take on this task and report back to this House on his findings on a way we can save money and fix the process so consultants don’t have the advantage of these projects by encouraging them to go into cost overruns?
I thought I had been very clear and concise when I committed to take that on as part of our review. I’ll reinforce that by saying yes, we will take his advice and follow it up.
Mr. Speaker, I’m not used to a “yes” from this Minister so quickly. Now, what does “immediate” mean in this particular case?
Laughter.
Because at the rate government moves, “immediate” could be the 17th Assembly. So I’d like this Minister’s definition of what “immediate” means. Are we going to see it before the next sitting?
I’d like to respond by saying that the Member can consider it started already. Thank you.
