![]() |
STATEMENT ON BEHALF OF THE GROUP OF 77 AND CHINA BY MR. RICHARD TUR, SECOND SECRETARY OF THE PERMANENT MISSION OF CUBA TO THE UNITED NATIONS, ON AGENDA ITEM 134: PROPOSED PROGRAMME BUDGET FOR 2024: CONSTRUCTION AND PROPERTY MANAGEMENT: PROGRESS IN THE RENOVATION OF AFRICA HALL AT ECA AND THE TENTH ANNUAL PROGRESS REPORT ON THE STRATEGIC HERITAGE PLAN OF THE UNOG, AT THE MAIN PART OF THE SEVENTY-EIGHTH SESSION OF THE FIFTH COMMITTEE OF THE UN GENERAL ASSEMBLY (New York, 20 November 2023) |
Mr. Chair,
1. I have the honor to deliver this statement on behalf of the Group of 77 and China. The Group wishes to thank all briefers for introducing their respective reports.
2. We express our deepest gratitude to the states of Ethiopia and Switzerland as host countries of the Economic Commission for Africa (ECA) and the United Nations Office in Geneva (UNOG) respectively, for their continued support to facilitate the implementation of the relevant construction projects.
Mr. Chair,
3. Regarding the Strategic Heritage Plan of the UNOG, we recognize the voluntary financial contributions made by the Government of China, as well as other countries to the project. We encourage the Secretary-General to strengthen his efforts in soliciting contributions from other member states towards other packages of work within the scope of the Strategic Heritage Plan, including those that will effectively be applied to reduce Member States' assessed contributions to the project.
4. The Group notes the current budget forecast indicates that this project will exceed the overall budget by 3 per cent. This implies that the project may not be able to achieve the full approved baseline scope within the approved budget and the final completion date is more likely to be prolonged into 2026, due to the extended renovation schedule, the related additional costs, change requests and the as-yet-unknown guaranteed maximum price cost that will be established during the preconstruction services for building E.
5. We look forward to receiving further information on the comprehensive revision of the overall construction schedule, on the negotiation of the guaranteed maximum price contract for building E, as well as on the estimated cost overruns based, among other factors, on contingency requirements established at a confidence level of 80 per cent.
6. The Group also notes that of the 29 outstanding recommendations of the Board of Auditors at the end of 2022, 17 had been implemented, 9 were under implementation, 2 had been overtaken by events and 1 had not been implemented. We stress that all pertinent and approved recommendations of the Board of Auditors must be implemented expeditiously to help business transformation.
7. The Group further notes with concern the lack of decision on the scheme of appropriation, considering the size and complexity of the project. We reiterate that the scheme of appropriation for the project should be a one-time upfront appropriation, with a mix of onetime and multi-year assessments.
8. On the issue of the valorization strategy, though the Group takes note of the updated proposal and appreciates the merits of this strategy, we reiterate that the valorization of land is not related to the nature of a construction project and that it should not represent an onerous charge to Member States.
Mr. Chair,
9. Regarding the Economic Commission for Africa, the Group reiterates the historical significance of the Africa Hall and the importance to conserve the heritage of the landmark site. We thank Ethiopia and Mali for their contributions and Netherlands, Portugal and Italy for their financial and in-kind contributions. We look forward for the formalization of the pledge by Switzerland to support the visitors' center and for additional voluntary contributions to support the project.
10. We note that the substantial completion is currently forecasted for June 2024 with an overall delay of 42 months. We stress the important of effective governance, oversight, internal control and accountability to ensure that the project is implemented within approved budget and within revised project schedule.
11. We also note with appreciation the implementation of the previous audit recommendations as well as those under the most recent OIOS internal audit report. We further note the Board of Auditors audited ECA, including the Africa Hall renovation project, and made one recommendation, accepted by the Commission, to diligently assess potential strategies for recovering losses and minimizing inefficiencies. We commend the engagement of ECA in this regard and hope to receive updates on measures undertaken.
12. The Group further encourages the project team to scale up the efforts towards utilization of local knowledge, material, technology and labour. We also recognize the commitment to ensuring compliance with best practices on equitable access.
13. Finally, we take note of the revised business case for the Africa Hall visitors' centre which includes several updates to the initial plan. We would like to receive further information on the start-up funding required for the centre, while stressing that fees for services to the public should be affordable to a wide range of segments of society.
14. In conclusion, Mr. Chair, the Group would like to assure you of our continued commitment to work constructively with all delegations on this agenda item.
I thank you.