PAC wants contract for construction of the Cancer Institute cancelled over delays

MP Wamakuyu Mudimi seeing off officials from Uganda Cancer Institute after they appeared before the Public Accounts Committee ({PAC).

Goretti Namugga, the chairperson of Parliament’s Public Accounts Committee (PAC), has called for the cancellation of a construction contract at the Uganda Cancer Institute, citing prolonged delays in delivering a planned 350-bed hospital.

Namugga, who also represents Mawogola South, made the remarks while meeting officials from the institute at Parliament on Tuesday.

She said the project, which was expected to be completed within 18 months, had stalled with progress standing at just 24%.

“We are overwhelmed that a project meant to take 18 months is still incomplete. Find out who is behind this delay or convene a stakeholders’ meeting to guide the way forward. This is a disservice to patients and Ugandans waiting for treatment,” Namugga said.

She urged the institute not to seek guidance from the Public Procurement and Disposal of Public Assets Authority, arguing that the matter was administrative and could be resolved internally.

The project, awarded in February 2024, includes construction of a paediatrics ward, a service building, a reception area and renovation of a six-level building at the institute.

Committee members questioned the slow pace of implementation. Wamakuyu Mudimi asked officials, led by executive director Dr Jackson Orem, to account for progress made so far.

Richard Wanda raised concerns about the lack of clear targets, while Xavier Kyooma questioned partial implementation of planned activities despite funds being released by the Ministry of Finance, Planning and Economic Development.

In response, Nixon Niyonzima, the institute’s head of research and training and laboratory director, said funds had been provided but not fully warranted by the finance ministry, delaying implementation.

Orem attributed the delays to the contractor’s limited capacity and pledged to convene a stakeholders’ meeting to find a solution.

He also cited chronic understaffing, which he said has led to congestion at the facility amid rising demand for cancer treatment. Orem further noted limited funding for maintenance of medical equipment, warning that overuse often leads to breakdowns.

An audit report for the 2025 financial year by the Auditor General highlighted several weaknesses, including poor monitoring of non-current assets, delayed submission of performance reports and overestimation of revenue projections.

The report also cited failure to fund the institute’s strategic plan, lack of contract management plans and unimplemented procurements.

One such procurement involved a truck valued at Shs300 million that was not delivered by the end of the financial year.

Additionally, out of the approved budget of Shs82.258bn, only Shs82.077bn was warranted, leaving a shortfall of Shs181m.

 

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