Felipe Montoro Jens Evaluates CNI Study and Takes a Deep Look at Stationary Projects in Brazil

The National Confederation of Industry (CNI) carried out a study titled “Great Works Stopped: How to Face the Problem?” leveraging data from the Ministry of Planning covering the year 2017. The study revealed that there are 2,796 stalled works in Brazil. Felipe Montoro Jens, a reputable infrastructure professional, reports that 517 of these stall project come from the infrastructure industry, representing 18 percent of the total and cost the public coffers about R$ 10.7 billion.

The most affected category in the infrastructure sector is basic sanitation, with 447 enterprises paralyzed in the implementation phase. Other paralyzed projects include 30 highways, 6 ports, 5 waterways, 16 airports, 5 railways, and 8 urban mobility works.

The study reveals that Brazil invest only 2 percent of its GDP in infrastructure and still ends up losing a substantial amount of resources in the area due to the high number of stalled projects. The benefits that citizens get from the government’s investment in infrastructure are insignificant. The survey attributes the large number of paralyzed infrastructure works to poor implementation strategies. It also points out that even cheaper and simple projects like construction of sports facilities, day-care centers, and pre-schools in the education sector were also interrupted. Learn more about Felipe Montoro Jens at terra.com

What Factors Led to the Interruption of these projects

The study identified technical problems, budgetary and financial challenges, and neglect of projects by contracted companies as the main factors that caused discontinuation of the projects. Felipe Montoro Jens agrees with CNI study that associate termination of some critical infrastructure projects to the economic downturn that Brazil is currently experiencing. Lack of cooperation between professionals in charge of implementing these projects and control bodies is also another hindrance to the infrastructure development.

CNI Recommendations

  1. Enhance macro-planning
  2. Conduct efficient micro-planning
  3. Create more balanced contracts
  4. Improve internal control
  5. Conduct efficient micro-planning
  6. Better equip teams

Website: http://www.felipemontorojens.com.br/

 

 

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