A construction company has come forward to explain a statement made by a Penang state executive councillor over the development of Phase One of the Gurney Bay project. - NSTP/MIKAIL ONG
A construction company has come forward to explain a statement made by a Penang state executive councillor over the development of Phase One of the Gurney Bay project. - NSTP/MIKAIL ONG

KUALA LUMPUR: A construction company has come forward to explain a statement made by a Penang state executive councillor over the development of Phase One of the Gurney Bay project.

TETO Engineering Sdn Bhd, in a statement today, said it has "concluded and resolved" all the required works through the three Extensions of Time (EOTs) approved for the company.

The company added that it has also applied for the fourth EOT for the period of Nov 1, 2023 to March 14 this year (Phase 1) which is still in the processing stage as the Variation Order (VO) is in the final stages of approval even though the physical VO works on site have been completed.

"For further understanding, an EOT cannot be processed without the finalization and approval of the VOs," the statement said.

The company also outlined several reasons for applying for the fourth EOT, including but not limited to additional work for connecting the water reticulation and sewerage systems, which involved hacking and reinstatement work due to the existing concrete structure in Persiaran Gurney.

Other reasons included the increased quantity of drainage and walkway from the initial contract quantity and additional quantity for grass planting work from Nominated Sub Contractor's (NSC) scope.

The remaining reasons given by the company over the extension of the fourth EOT included inspection delay for playground certification by the Certified Playground Safety Inspector (CPSI) from NSC's scope; additional work for the sewer system connection that in Phase 2 to be completed together with Phase 1 to enable Toilet 8 to operate during the opening of Phase 1; additional work for the installation of temporary signages due to the delay in the appointment of a permanent sign contractor by the owner as well as additional work for the installation of the safety fences along the main drainage and maintenance 'ramp' in Phase 1.

"Once the EOT has been approved, the fine imposed will be reviewed accordingly."

During the Penang State Legislative Assembly sitting yesterday, State Local Government Committee chairman H'ng Mooi Lye said the main contractor for Phase One of the Gurney Bay project was fined a total of RM1,609,157.55 for delays in completing the project despite three EOTs given to the company.

"The EOT approval given to the contractor is due to additional work for the seawall structure, revetment and rock excavation for piling.

"Phase 1 of the Gurney Bay project was completed and opened to the public on Feb 4 this year, which is later than the original date set.

"The contractor's delay in completing this project resulted in it being fined," he said in reply to a question from Joshua Woo (DAP - Pulau Tikus)

The Gurney Bay project is a state government initiative to provide the public with a recreational park. The Gurney Bay project is being implemented in two phases — Phase 1 and Phase 2.