Unpaid sub-contractors stop supplying fuel to rural schools

MIRI: Sub- contractors under the Ministry of Education’s school fuel supply programme in Sarawak have halted their supply as they have not been paid by the beleaguered Bintulu-based main contractor Jepak Holdings Sdn Bhd since March.

The sub-contractors have held back sending their supplies as they are worried about continued non-payment.

“We are withdrawing with effect of July 16 as the expenses are too high,” one sub- contractor said in a letter.

At least one rural primary school – SK Morek in Marudi – ran out of fuel earlier this week.

There is a strong possibility more schools would run out of fuel unless the authorities intervene.

The Borneo Post first broke the story of a fuel shortage affecting schools across Sarawak on June 14.

The Ministry of Education then instructed the Education Department to take the necessary steps for the immediate purchase of fuel.

Jepak Holdings later instructed sub-contractors to resume supply, but said it had yet to be paid by the ministry for services rendered and was owed RM200 million – a figure dismissed as ridiculous by Bukit Lintang assemblyman See Chee How.

Jepak Holdings Sdn Bhd was one of 31 contractors supplying diesel and maintaining generator sets for 14 schools under Baram II zone for 2015 to 2016 as well as schools in Mukah and Dalat.

It was awarded the contract to supply fuel to rural schools in Sarawak last year.

The company is under investigation for alleged abuse in the awarding of contracts for solar hybrid projects for 369 rural schools.