Over 140 suppliers to Hyundai are impacted by Nicola Willis’s decision to cancel the ferry contract. That will cause HMD much shame & embarrassment.
I must underscore how absolutely humiliating this is for New Zealand. We look unreliable & untrustworthy
You can see future contracts for all infrastructure works with this government (and sadly others) going higher due to contracts having a "buffer" just in case they are cancelled mid contract.
The Minister of Household budgets did realise this could happen.
I remember my old boss cancelling a contract after the suppliers had already sourced the equipment from Germany and had it sent to AoNZ.
My bosses name and company were shit in Wellington and we lost quote after quote and eventually went into receivership.
It's wild that after the Awatere grounding and then finding out that the contract wasn't actually cancelled they're still trying to push cancellation through. But that's Nactnz for you. Absolute refusal to admit they could be wrong, just doubling down.
The article doesn’t mention the economic cost to Nz based contractors working on the design & construction for several years now unemployed. Ther must be breach of contract there & now every contractor will build in massive breach of contract clauses for govt work ( we end up paying for )
It really is just weird the way they keep referring to them as "mega ferries" in that article.
Really does feel like trying to push the line that they were unnecessary and over speced