SANTA CRUZ DE TENERIFE, December 22 (EUROPA PRESS) –
The president of the Canary Islands, Fernando Clavijo, and the vice-counselor of the Presidency of the Government of the Canary Islands, Alfonso Cabello, discussed this Friday with the president of the construction employers’ association in the province of Tenerife (Fepeco) the exception to the construction management fee , which will come into force from January 1, 2024.
This measure, detailed by the Executive, represents a “relief” for construction companies, especially in outermost islands affected by high transportation costs, also allowing the competitiveness of the Canarian business sector to improve.
Thus, the vice-counselor of the Presidency of the Government of the Canary Islands, Alfonso Cabello, has specified that the 100% rate bonus represents “around 4% of the total cost of the work and in many cases what comes is to alleviate the extra costs that are increasing in each of the public works, which have very, very long bidding periods”.
In this way, “between the reference prices are identified, the work is awarded and the work is developed, in the end this eliminates uncertainty.”
The fee for construction management and inspection is applied to all certifications and is income derived from the provision by the Administration of the Autonomous Community of the optional service consisting of the management and inspection of public works carried out by contract, states a Government note. .
For his part, the president of Fepeco and the Construction Labor Foundation, Óscar Izquierdo, has thanked the Government for its support and backing of the business fabric of the construction industry, especially the companies that undertake public infrastructure works.
“It is a very important relief for companies, because in this way the industrial profit is not diminished, nor is it much lower, as a consequence of having to pay that profit rate for construction management and inspection,” he indicated. .
Furthermore, he pointed out, “it also means a relief, because the increase in prices in recent months, especially for raw materials for construction, added to the increase in freight and transportation prices, means that construction companies we are almost literally drowning in everyone.”
IT WAS NOT A VERY SIGNIFICANT RATE
Along these lines, Alfonso Cabello explained that the work of coordination and continuous supervision with each of the certifications of the work will continue to be done, but “this fee that for the entire public administration is eliminated, is eliminated. that it did not have a particularly relevant meaning, but that the companies were becoming more stressed by the cost overruns.
In fact, he added that in works that have a very long execution period, which can be over 20 months, “the prices in the materials market, of raw materials, add a lot of uncertainty and this guarantees the way in which public works are tendered and also to guarantee that they are tendered, awarded and carried out with the best possible finishes”.
Óscar Izquierdo has reiterated that “what is important, above all, is support for the business community in the construction sector, which is always so mistreated and that actions like this dignify it.”