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Gov’t says NWC already implementing reforms highlighted in Auditor General’s audit

Gov’t says NWC already implementing reforms highlighted in Auditor General’s audit

From Jamaica Observer · () English

Summarized and contextualized by DistantNews.

At a glance

News Official statement New plan
  • The Jamaican government acknowledges the findings of an audit report on the National Water Commission's (NWC) management of capital projects.
  • Minister Matthew Samuda stated that several corrective measures recommended by the audit are already being implemented.
  • The audit highlighted weaknesses in project prioritization, procurement, contractor management, and financial reporting, while the government cited external factors like the COVID-19 pandemic and global economic conditions for some challenges.

The Jamaican government has accepted the findings of an audit report detailing weaknesses in the National Water Commission's (NWC) management of capital projects and budget execution. Water Minister Matthew Samuda affirmed that the audit aligns with the Auditor General's role in ensuring accountability for public resources.

The performance audit identified several critical areas needing attention, including issues with prioritizing capital projects, lengthy procurement timelines, contractor oversight, reporting systems, liquidity challenges, and a persistent backlog of audited financial statements. These findings underscore the need for urgent reforms within the NWC.

The audit was consistent with the Auditor General’s constitutional mandate to promote accountability and value for money in the use of public resources.

— Matthew Samuda, Water MinisterAcknowledging the purpose and validity of the audit.

Minister Samuda acknowledged these institutional weaknesses but also pointed to the broader operational and economic realities that impacted the NWC during the review period. He cited the COVID-19 pandemic's disruption of supply chains and workforces, leading to project scope changes and cost increases. Additionally, rising shipping and commodity costs, severe drought, and escalating energy prices placed further strain on the commission's finances. The downturn in Jamaica's tourism sector also reduced revenue from a key customer base.

Despite these challenges, Samuda emphasized that the government supports the NWC's commitment to addressing the audit's recommendations. He stated that many of the corrective measures are already underway or actively being implemented, reflecting an ongoing institutional reform effort that predates the audit's publication. The NWC is reportedly developing strategic master plans for regional capital project prioritization and has issued directives to improve contract conditions regarding price volatility.

What is equally important to place on record is that this corrective process is already underway. Several of the recommendations identified in the audit have already been acted upon or are actively being implemented, reflecting an institutional reform effort within the NWC that predates the audit’s publication.

— Matthew Samuda, Water MinisterHighlighting that reforms are already in progress.
DistantNews Editorial

Originally published by Jamaica Observer. Summarized and contextualized by our editorial team with added local perspective. Read our editorial standards.