No pier role for port board

Auditor suggests Port Authority board should have more involvement

Questions have been raised about who is leading the redevelopment of the port and who has ultimate responsibility for the success of the multimillion-dollar project. 

Errol Bush, chairman of the board of directors of the Port Authority, told a hearing of the Public Accounts Committee that neither he nor his fellow directors have any current role in the project. 

The involvement of port staff on the redevelopment plan, which is expected to see two new cruise piers built in George Town harbor at a cost of up to US$200 million, is currently limited to the presence of the two senior managers on the steering committee leading the process, according to testimony at last week’s committee hearing. 

Auditor General Alastair Swarbrick described the setup as confusing. He said it was unclear how the board of directors, who are legally accountable for the port, could be held responsible for its success without more input into the plans. 

“One of our observations around the port development is the governance is a bit strange,” he said. “The board has to have some sort of role in terms of oversight here because they are responsible for the port and accountable for delivering services ultimately. 

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“The fact that they don’t have any idea what’s going on in terms of a major capital project makes it very difficult for them to fulfill their role effectively, I would suggest … 

“There’s a huge amount of capital involved. If the board are not involved in the process and it is their asset, they can’t really be held accountable for it.” 

Martin Ruben, performance audit principal in the Office of the Auditor General, said it is unclear right now who was leading the project. 

“The key to success is somebody who is responsible overall for the project – that gets a bit murky in terms of our understanding at this time. It is the Port Authority’s asset, yet engagement doesn’t seem to be there at this time.” 

Mr. Bush, chairman of the board of directors, acknowledged he has no input in the process. 

“The board really has nothing to do with that project. It is run by a steering committee. Our representative on that committee is the port director and his deputy, but the board has no part to play in the planning or implementation of plans on that project.” Paul Hurslton, the Port Authority director, said the makeup of the steering committee was based on the recommendations of the Foreign and Commonwealth Office and included a cross-section of government representatives. 

He said the project is still essentially at the fact-finding stage and it has yet to be definitively determined that the redevelopment would proceed. A financing model needs to be agreed and an Environmental Impact Assessment completed before that point, he added. 

Mr. Bush suggested the board might be asked to play a bigger role further on in the process. 

Cruise-Ships

The redevelopment of the port would involve creating berths for cruise ships, which currently use ship tenders to transport passengers to shore. – PHOTO: CHRIS COURT