Date: February 06, 2019

INSPECTION REPORT OF QUALITY INSPECTION TEAM (QIT) OF NESPAK

Job No: J- 3836 Division: CONSTRUCTION MANAGEMENT (C.M)

PROJECT / SITE Construction of Pakistan Kidney & Liver Institute and Research Center, (PKLI), Lahore.
PACKAGE C-1, PHASE – 1.

Knowledge Park Corner, Phase – 6 / 7, DHA, LAHORE.

PROJECT MANAGER WASIM SAIF DAR

CRE/ SITE INCHARGE Resident Engineer / Engineer’s Representative

AFTAB AHMAD

DATE OF INSPECTION DECEMBER 13, 2018

TEAM MEMBERS HASEEB A. KHAWAJA - Convener QIT

AHSAN G. HASAN - Member QIT
MUHAMMAD TAHER - Member QIT

CONTRACT DATA

CLIENT Infrastructure Development Authority of Punjab (( IDAP ),

Government of Punjab.

ASSIGNMENT / Design Construction Supervision

YES YES
SCOPE
Top Supervision XXXXXXXX NESPAK YES J.V XXXXXXXX

CONTRACTOR(S) M/s HUAQI – SPARCO JV.

CONTRACT PRICE Rs. 3.254 Billion (Rs. 3,253,609,713)

VARIATIONS No approved variation yet.

However, there are some varied works as follows, which are under process and are
expected to cost approximately 5 to 6 million rupees (less than 0.5% of Contract
Price) :

i – Underground water tank washout pumps

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 ii- 1500 Psi RCC slabs & beams for future extension
iii- External Plumbing Works (HDPE Pipes, Sewer Lines, Manholes etc.)
iv- Sui Gas Network
v- Shifting of Patients’ Apartment Building (Excavation Works)
DATE OF JULY 17, 2017
COMMENCEMENT

PERIOD / 480 Calendar Days / NOVEMBER 07, 2018 for Whole WORK
COMPLETION DATE with some partial completion targets.

EXTENSION No Extension Of Time (EOT) is granted yet.

/REASONS 1-Contractor had submitted sectional EOT request of 130 days till June 26, 2018 from
February 16, 2018 for Section- II (PKLI Bazar). However, the review by Nespak did not
recommend any extension, the complete analysis was submitted to the Client . The
Contract does not provide for penalties on sectional completion default, so it became
immaterial when the whole period has also expired.
2- Contractor has now on December 05, 2018 applied for EOT for the whole of the
works up to September 05, 2020 i.e 666 Days over the contract period of 480 calendar
days. It is now under review by Nespak. It is however, glaringly noted that the concept
of parallel activities has been completely ignored by the contractor and most of the
causes are flimsy.
COMPLETION This sub-project ( PACKAGE C-1, PHASE – 1 ) comprises of the following four (04)
STATUS buildings with total covered area of 330,443 Sft.:
i-Patient Apartments Block 155,760 Sft Basement+Sub-Basement+G+10 floors
Basement+Sub-basement+Ground+4 floors Frame completed and work on the 5 th is in
progress.
Block work partitions, plastering and door frames upto first floor are in progress.
ii-Nurses’ Dormitories (Male) 70,074 Sft Basement+Sub-Basement+G+09 floors
Frame work completed. Work on roof in progress.
Block work partitions, plastering and door frames upto 6 th floor are in progress.
iii-Nurses’ Dormitories (Female) 70,074 Sft Basement+Sub-Basement+G+09 floors
Frame work completed. Work on roof in progress.
Block work partitions, plastering and door frames upto 6 th floor are in progress.
iv- PKLI Bazar 34,535 Sft Basement+Ground+01 floor
Structure and finishing work are nearly complete. The Electrical, Mechanical &
Plumbing works are in progress before it can be considered to be ready for taking
over.

The decision regarding construction of Energy Center (No 2) and Hospital Street has
not yet been finalized by the Client, which may cause further delay in the completion.

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PHYSICAL PROGESS i -Patient Apartments Block About 29.7 %
(%age) ii-Nurses’ Dormitories (Male) About 47.0 %
iii-Nurses’ Dormitories (Female) About 47.7 %
iv- PKLI Bazar About 95.8 %
OVERALL (Average) About 33.4 %
FINANCIAL About 26.5 %
PROGRESS

TARGETS(S)  The completion period has expired on November 07, 2018

 No Extension of Time has yet been approved
 Only the PKLI Bazar building is near substantial completion, for which the
Electrical, Mechanical and Plumbing works are needed to be completed and
made operational
 The other three buildings are far from completion
 Contractor has on December 05, 2018 applied for EOT for the whole of the
works up to September 05, 2020 i.e 666 Days over the contract period of 480
calendar days . It is presently under review by Nespak

SITE SUPERVISION 16 member team of staff is posted at site as follows:

STAFF  Resident Engineer 01
 Resident Architect 01 (Intermittent)
 Asst. Resident / Planning Engineer 02
 Material Engineer 01
 Inspector Mechanical 01
 Inspector Electrical 01
 Quantity Surveyor 01
 Surveyor 01
 Associate Engineer (Civil) 05
 Field Assistant 02
16
SALIENT FEATURES The project is a part section of the Pakistan Kidney & Liver Institute and Research
Center, (PKLI), Lahore (PACKAGE C-1, PHASE – 1 ) comprising of four (04) buildings.

 The floor slabs of two (02) i.eNurses’ Dormitories (Male) and theNurses’
Dormitories (Female)are in Flat Slab construction on the requirement of the
Client’s Structural Engineer.That is simpler/repetitive in formwork and as such
quicker in construction. The framework of both the buildings has been
completed.
 For the third building i.e Patient Apartments Block, the floors are in
Beam/Slab construction. Hence their framework is still in progress.
 The structure of the fourth building i.e PKLI Bazar is in curved form but has
still been completed being only part basement and two (02) floors only.

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QUALITY ASSURANCE
Check Requests YES Compaction YES Steel YES

Cement
YES YES YES
Aggregates Concrete

YES YES
Bricks /Bocks Bitumen Misc.
DOCUMENTATION
Maintained YES Maintained XXXXXXXX Not XXXXXXXX
To some well
Extent maintained

Remarks
HEALTH & SAFETY Observed Partially Observed
YES XXXXXXXX

Neglected
XXXXXXXX
Nespak has no staff posted specifically for Health & Safety, but the contractor’s staff
includes such personnel posted at site.

CONTRACTOR MR. DU YU - Project Manager

REPRESENTATIVE

COMMENTS OF He only complained of the high dollar exchange rate. That basically relates to the
CONTRACTOR failure in importing mainly the HVAC equipment . Such stance towards the end of the
REPRESENTATIVE contract period is unjustifiable.
About the civil works, he stated that the J.V is planning to speed up the activities.
They have submitted their request for Extension of Time, which is under review.
CLIENT MR. ASIF REHMAN BABAR
REPRESENTATIVE
PROJECT DIRECTOR (IDAP)

COMMENTS OF He was pleased and had no complaint about the site supervision.
CLIENT However, he had complaint about the delays in actions sought from the central
REPRESENTATIVE offices.
The purpose of the QIT was explained to him and he was assured that the Nespak
Management will definitely look into his complaint to improve the situation.

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REMARKS 1. The site is well staffed for construction supervision by Nespak according to the
Consultancy Agreement.
2. Records are well maintained.
3. Quality of executed works is reasonably good.
4. The project is equipped with Tower Cranes, Concrete Batching Plant, Transit
Mixers, Concrete Pumps, Cement Blocks Making Machine and the Materials
Testing Laboratory. However, ignoring the Electrical, Plumbing and the
Mechanical / HVAC Works is not understandable but is surely related to the
experience and the finances.
5. However, the progress has been extremely slow and the lost time is not
recoverable.
6. Execution of the Electrical, Mechanical & Plumbing Works has been grossly
neglected by the contractor.
7. M/s HUAQI, the Chinese partner of the Joint Venture have the lead position
but actually the local partners M/s SPARCO are observed to actually carry
the control over the works execution. Ch. Muhammad Sadiq of SPARCO is the
Authorised Representative of the Joint Venture and in control of the project.
There are at site, only two (02) Chinese engineers holding the position of the
Project Manager and the Construction Manager/ Senior Project Engineer. All
the rest staff are Pakistanis. It is also gathered that SPARCO has more of
Irrigation Works to it’s credit and had therefore gone for a Joint Venture.
8. The client , Infrastructure Development Authority of Punjab (( IDAP ), is also
completely staffed at the Project site and fully involved in the overseeing the
whole KLPI Project planning and construction activities.
9. Out of the four (04) buildings, only one (PKLI Bazar) is near completion but for
the other three (03) , even the grey structure is not complete (is in progress)
in spite of the fact that the contract completion period has expired on
November 07, 2018.
10. The contractor did not procure the imported items/equipment in time and is
still failing in placing the orders on the pretext that the exchange rate of dollar
has jumped very high. This is a very serious matter and needs to be addressed
immediately.
11. The Client also should urgently decide and give instructions about the
construction of Energy Center 2 and the Hospital Street.
12. Looking at the present efforts of the contractor and the quantum of the works
remaining , the project completion is going to be extremely delayed and no
efforts are seen from the parties to the Contract, to avoid that

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QIT OBSERVATIONS
Tense Cordial Normal Varying
 Client-
Consultant XXXXXXXX YES XXXXXXXX XXXXXXXX
Relationship

 Consultant-
Contractor XXXXXXXX XXXXXXXX YES XXXXXXXX
Relationship

 Contractor- YES XXXXXXXX

XXXXXXXX XXXXXXXX
Client
Relationship

QIT INSTRUCTIONS 1. The delay is inevitable and Nespak should guard against it.
2. The main front entrance steps of the PKLI Bazar building are seen to be of
normal size treads, which may be reviewed by the architect. Normally the
public building fronts have much wider treads for better appearance and
convenience to the public climbing them.
3. Cold bitumen has been applied for waterproofing. Although got laboratory
tested, its performance should be watched during heavy rains.
4. The PKLI Bazar has a large tiled terrace, fully exposed to the sun and the
weather. As no movement has been allowed, it’s behavior under the extreme
weather conditions should be watched against cracks or lifting.
MISCELLANEOUS
OBSERVATIONS
 Contract
Management -Normal in accordance with the contract provisions.

 Payment
Invoices of -Verification has not been delayed at the Nespak end. However, some payment delays
Contractor did occur at the client’s end

-Have been paid by the Client up to August, 2018 i.e the Agreement period. Extension
 NESPAK Fees request of Nespak thereafter , is under process with the client.

 Remarks -Delay in completion is the serious problem of the project. Seriously tough dialogue by
the Client with the Contractor is essentially required

PHOTOGRAPHS SHEETS ARE ATTACHED.

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