BECHTEL’S FEE FOR MANAPOURI £1.5M.

Press, Volume CIII, Issue 30592, 7 November 1964, Page 3

BECHTEL’S FEE FOR MANAPOURI £1.5M.

(From Our Parliamentary Reporter) WELLINGTON, November 6. The Government would pay the consultants for the giant Manapouri power scheme, the Bechtel Corporation, about £1.5 million, or 5 per cent of the total cost of the £3O million project, the Minister of Works (Mr Allen) said in Parliament today. Answering questions from the deputy-Leader of the Opposition (Mr Watt) he said there was still hope that the scheme would be completed on schedule and power available to the national grid by April, 1968.

“The situation is bad. The contract is behind, but there is still hope that it can be finished on time providing there is more harmony on the job.”

Mr Allen said planning was being done for a village at Manapouri so that the contractors to build the power house would be able to move on to the job within a very short time. The time for tenders for the power house had been extended to January, he said. Defending the Government’s decision to employ the

Bechtel Corporation as consultants, Mr Allen said the Ministry of Works would not have sufficient engineers available to run the project. “Therefore, the decision to employ Bechtels was a good one.” Earlier, in the discussion of the Ministry of Works’ estimates, Mr Watt said it was the first time the Minis-

try had not been consultants on a major State power project. He had been told Bechtel employees were being paid three and four times the amount that was being paid to Ministry of Work’s men. “Mistakes” “Bechtel have made mistakes. They said half a million yards of earth would have to be moved to make a road but this amount was removed when they were only half-way through the contract,” said Mr Allen. “Every contract based on Bechtel estimates has proved them incorrect, and yet we’re paying them big money. “On the Minister’s own statement, contracts are behind schedule. Had the Ministry of Works set the schedules, they wouldn’t have been so far out.”

Mr Watt said he thought the estimate of completion by April, 1968, was unrealistic. "I don’t believe it will be finished then, but the significant thing is that the whole of the power planning depends on that date. “If there is any doubt at all, we should be thinking of getting on with something else.” Mr Watt demanded to know why tenders had not been called for the power house. “The papers are all ready and it was intended to call for tenders in June or July of this year. What is the hold up?” M.P.s To Visit Project (Parliamentary Reporter) WELLINGTON, Nov. 6. Seventeen Government members of Parliament and their wives, most of them from the North Island, will visit the Manapouri power project tomorrow'. It is the third tour by National Party members, made at their own expense, to become familiar with regions of the country. Mr H. J. Walker, M.P. for St. Albans, is convener of the tours which have previously been to Westland and the Coromandel Peninsula.