Mr. Chairman,

1. I have the honour to speak on behalf of the Group of 77 and China on agenda item 146: Financing of the International Residual Mechanism for Criminal Tribunals - Construction of a new facility for the International Residual Mechanism for Criminal Tribunals, Arusha branch.

2. At the outset, the Group of 77 and China would like to thank Mr. Craig Boyd, Director, Facilities and Commercial Services Division, Office of Central Support Services, as well as Mr. Carlos Ruiz Massieu, Chair of the Advisory Committee on Administrative and Budgetary Questions, for presenting the respective reports on this agenda item.

3. The Group continues to attach high priority to the construction of the new facility for the Mechanism in Arusha as a necessary element for the Mechanism to implement its mandate and we would like to thank the Government and people of the United Republic of Tanzania for their continued commitment to support the work of the Mechanism and in particular the construction project in Arusha.

Mr. Chairman,

4. The Group welcomes the progress made to date in the implementation of the construction project, including the signing and commencement of the construction of the facilities which form major part of the project. The Group has also taken note of detailed activities conducted in the reporting period including procurement of goods and services, implementation of value engineering and the change orders.

5. The Group of 77 and China also notes with appreciation the implementation of the work related to construction of temporary and then permanent access roads, connection of power supply, water utilities and internet infrastructures by the host Government at no cost to the United Nations. The Group expects that the Mechanism will work closely with the host Government to ensure that costs related to the support provided by the host Government are documented and shared to Members States as appropriate.

6. With regard to the project schedule, the Group of 77 and China notes the slight delay of the project resulting from the topographic errors by the architectural firm now estimated to be completed in May of 2016 and it is our expectation that all efforts will be made to ensure that the project is completed within the revised schedule and the approved overall budget.

7. The Group also expects that the direct and indirect costs resulting from topographic errors by the architect will be met by the architect in line with established contractual agreement and not at the expense of the organization. The Group will also be interested to receive detailed information on the impact related to the rental arrangements due to the delay in occupancy.

Mr. Chairman,

8. With regard to the governance and oversight, the Group appreciates the activities conducted so far in particular the outcome of the first audit by the Office of Internal Oversight Services (OIOS) related to pre-construction coverage and that all the recommendations issued by the Office have been closed. The Group looks forward to receiving updates of the next assignment related to, among others, the construction stage in the context of the next report on the annual activities of the Office.

9. The Group has also taken note of the information related to risk register and regulatory framework and we look forward to discussing the details of these elements during our informal consultations.

Mr. Chairman,

10. Turning to the lessons and best practices, the Group has taken note of the information related to the implementation of the provisions of paragraph 7 of the General Assembly resolution 69/276 in particular the cooperation with key stakeholders including the host State in all aspects, development of project manual, avoidance of changes of scope during the construction and maintenance and fostering of rigorous and transparent communication plan among stakeholders and risk owners.

11. With regard to the use of value engineering, while the Group appreciates its application as well as the savings and efficiency derived during the project implementation, the Group would like to emphasize that, the value engineering exercise shall not undermine the quality, durability and sustainability of the materials used, the original design of the project or the commitment of the project to the highest standards of safety, health and well-being of staff and visitors.

12. With regard to the question of re-use of furniture and equipment from the International Criminal Tribunal for Rwanda (ICTR), the Group of 77 and China notes the information provided and we share the views of the Advisory Committee on the need for further clarity on the value of assets and savings achieved from the transfer of assets from the ICTR and we look forward to the details on these matters in the context of the informal consultations.

Mr. Chairman,

13. In conclusion, the Group of G77 and China would like to assure you of its readiness to engage constructively in the upcoming discussions with the aim of concluding this agenda item in a timely fashion.

I thank you, Mr. Chairman.