For 2011, Nipdec recorded a profit of $4.5 million, a decrease of $6.7 million from the 2010 figure of $11.26 million. Its total income less direct costs fell from $66.2 million to $54.2. “This reduction in our profits can be attributed to the cautious approach taken by the Government to continued spending on public projects,” stated the general manager’s report.
Contribution to income:
• 45 per cent from management fees
• 21 per cent, pharmaceutical agent fees
• 16 per cent, property management and sales
• 15 per cent, interest and other interest income
Chairman Jailal said, “This year we’re on target to declare a significantly higher profit. It’s a business you run. From all indications, it will be much higher than $4.5 million. “I’m proud to say we will be increasing our profitability in fiscal year 2012.” 2013 looks even better.”
Nipdec’s Clico investments
According to the 2011 financial statement, the deposit of $18.8 with Clico matured on April 18, 2009, and the principal due on maturity was not paid. “A fair value loss of $8.6 million has been recognised in respect of this deposit. The fair value was based on the timing of the proposed future cashflows discounted at the original effective interest rate of seven per cent,” the report stated.
Nipdec’s Who Are We? March 18, 2011 report
Facilitator: Wendy Ali, general manager
• March 6, 2003, Nipdec entered into an agreement with Emile Elias’ NHIC for the construction of the Scarborough General Hospital for $135,912,829.52 (VAT inclusive) to be completed within 730 days.
• The contract did not include any allowances for fluctuations in cost and contingencies.
• By March 17, 2005-original completion date-the works were substantially incomplete and disputes and/or differences existed, including issues regarding time and increased cost.
• NHIC suspended works on September 17, 2005, with a completion status of roughly 55 per cent. However, at that point, Nipdec paid $155,617,747 (VAT inclusive) based on approved variations.
• As a result of the disputes, there are three ongoing legal matters arising from the Scarborough Hospital project.
• Nipdec awarded China Railway Construction Corporation Ltd a modified design build contract for $477,667,359 (VAT inclusive) for the hospital project to include a two-storey building for staff dormitories, additional administrative services, air conditioning of the hospital, completion of remedial works and supply of fixed and other equipment.
• By January 27, 2011, 85 per cent of the works were completed. By then, Nipdec had paid 78 per cent of the contracted sum, or $371,703,288.50 (VAT inclusive).
Nipdec’s Commercial Services Unit (CSU) manages:
• six car parks, four in Port-of-Spain, Edward Street, Riverside Plaza, two on St Vincent Street, and two in Chaguanas.
The monthly income from car parks: $460,000.
CSU is responsible for managing the rental of 60,000 square feet of covered and 120,000 square feet of uncovered warehousing space in Chaguarmas, from which the monthly income is $280,000.
CSU is also responsible for managing the prisoner transportation contract on behalf of the Ministry of National Security with Amalgamated Security Services Ltd.
Chronic Disease Assistance Plan (CDAP) programme:
• 51 pharmaceutical items are provided for the treatment of 11 specific non-communicable diseases through 280 pharmacies
• 682 citizens benefit from the CDAP programme
• Cabinet-approved funding for the CDAP programme: $40.7 million
15 projects were affected by the non-appointment of the Nipdec board and tenders committee in fiscal 2010/2011:
• Construction and rehabilitation of Beacon structures (Ministry of Works/Transport)
• Design and construction of Tarouba Link Road (Ministry of Works/Transport)
• Replacement of Amco Cylinder Crossing (Ministry of Works/Transport)
• Construction of chemical warehouse and administration building (Ministry of Health)
• Procure furniture, fixtures and equipment for Scarborough General Hospital (Ministry of Health)
• Construction and outfitting of Meteorological Services Complex (Ministry of Public Utilities)
• Siparia Magistrate’s Court (Judiciary of T&T)
• Coroner’s and Petty Civil Court (Judicary of T&T)
• Refurbishment of Tunapuna Administrative Complex (Ministry of Public Administration)
• Refurbishment of NBN Broadcasting building (Ministry of Public Administration)
• Design and construction of Public Service Academy at Chaguaramas (Ministry of Public Administration)
• Refurbishment of Air Guard’s Hangar (Ministry of National Security)
• Construction of National Traning Centre and Offices (Ministry of National Security)
• Design, construction, and outfitting of Attorney General’s south office (Office of AG)
• Design and construction of Beetham Gardens community centre (Ministry of Community Development)