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A Contractor's Perspective on Afghanistan
- 1. A Contractor Perspective on Afghanistan by David Van Horn, AICP Afghan-American Chamber of Commerce U.S.-Afghanistan Business Matchmaking Conference 3 December 2013 Construction and Infrastructure Panel
- 2. A Lot of Work has Been Accomplished
- 3. ECC People in Theatre
- 4. Not an Easy Place to Work
- 5. GV ECP Hit by Suicide Bombers
- 6. Inside ECP – They Got In
- 7. Consider the Work Environment • Afghanistan is ranked one of the world’s most corrupt countries • Logistics - an extreme challenge • Security is uncertain • Climate and topography often affect project site conditions, including access, constructability, and available labor
- 8. Bribery is Part of the Culture
- 9. This Behavior is a Constant Issue for ECC • Subs make false claims well after the work is finished • Subs don’t abide by the contract • Political influence and police force is used to harass and attempt to extort ECC • Orders issued for ECC staff to not leave the country • Criminalization of civil disputes
- 10. Safety Program Impacted by Culture • No established safety culture in Afghanistan • Lack of education influences worker outlook • Language barrier inhibits on-job training • Lack of human value influences how much $$ subs spend on safety
- 11. The Country Environment is Changing • Draw down has started – ISAF forces leaving – Spanish, French, Dutch, US, German • Provincial Reconstruction Teams closing • Combat Operating Bases (COBs) closing • ANA, ANP, APPF continue taking over security • NATO forces may leave sooner, or not remain at all
- 12. Relationships Changing • US and Afghanistan relationship is stained – Issues of sovereignty affect Bilateral Security Agreement • Afghan presidential election in 2014 • DoD contracts concluding – USACE/AFCEC on a strict deadline to draw down • Donor shift away from direct contracting – Providing funding to ADB trust fund and to Afghan line ministries & state-owned enterprises
- 13. What This Means to Us Security risk + corruption + changing relationships = A less attractive work environment for ECC Unpredictability is a real concern for all of us
- 14. Prospective Opportunities Project RFP Release Client MEW Capacity Building 4Q13 USAID Power projects 2014 USACE Power projects 2014 ADB/DABS ANSF Facilities 2014 USACE, AFCEC CASA 1000 2014 WB, IsDB TAPI Gas Pipeline ? USAID • In 2011, Afghanistan received $6.7 billion dollars in aid, according to the Organization for Economic Cooperation and Development. • There have been concerns about donor engagement in Afghanistan once NATO withdraws its troops in 2014, although Afghanistan continues to have massive development needs. • The Tokyo Conference on Afghanistan July 2012 proved donors do not plan to abandon the conflict-torn country, pledging to provide $16 billion of conditional aid over four years. • Donors are looking to stimulate development by creating meaningful partnerships in-country. • Experience in capacity building, women’s empowerment, monitoring and evaluation, and financial management is in demand.
- 15. Questions?