Hardware companies who do not deliver building materials under the Help for Home Initiative on time will be penalised.
This was confirmed by Minister for Economy Aiyaz Sayed-Khaiyum.
“They need to pay us interest, they have agreed to that we are formalising that by way of a letter this week so they’ll be paying interest rates and also penalty charges now because we cannot have that not deliver and not be penalised for that so we are looking at interest rates of 4%and even higher for penalty charges.”
Sayed-Khaiyum adds, hardware companies that were part of the first phase of the Help for Home Initiative will have to complete their orders first before they are able to be part of the second phase.
“In the second tranche Vinod Patel and RC Manubhai won’t be part of it until they fulfil more of their orders because they are still way behind in respect to their delivery rates .We also have Carpenters that is yet to complete its delivery in Taveuni .They have completed delivery to other parts where they were required to do so but Taveuni is somewhere they had to complete that.”
The second phase of the Help for Homes Initiative will commence in the next two weeks with an allocation of $20 million dollars.
Sayed-Khaiyum says there was a shortage of concrete blocks due to high activity in the construction industry however supplies of timber and steel had been sorted.
