❓ A WA parliamentary question investigates alleged payment issues and contractual practices of AJ Lucas, a subcontractor on the Southern Seawater Desalination Plant (SSDP) Stage 2 project. The answer confirms payment issues but attributes them to subcontractor non-compliance, human error, and disputed claims.
AnsweredQoN 7484Legislative Assembly
QuestionView source ↗
I refer to the behaviour of the company AJ Lucas, Principal Contractor on the Southern Seawater Desalination Plant (SSDP) Stage 1 and 2 programs, and I ask:
(a) has AJ Lucas not paid its subcontractors for work carried out on Stage 2 of the SSDP project since at least October 2011, and if so why;
(b) has AJ Lucas rolled out contracts for its subcontractors to sign that states if they walk away from the project, they will forfeit their rights to contractual payments, and if so, why;
(c) has there been any issues relating to the payment of subcontractors by A J Lucas on the SSDP Stage 2 site, and if so, what are those issues;
(d) What date was A J Lucas appointed either Lead or Principal Contractor for the Stage 2 SSDP project; and
(i) if A J Lucas are not Lead or Principal contactor:
(A) what role does A J Lucas play in the Stage 2 SSDP project;
(B) what is the company's obligations to its subcontractors; and
(C) what date was A J Lucas appointed to carry out its contractual obligations on Stage 2 of the SSDP project?
(a) has AJ Lucas not paid its subcontractors for work carried out on Stage 2 of the SSDP project since at least October 2011, and if so why;
(b) has AJ Lucas rolled out contracts for its subcontractors to sign that states if they walk away from the project, they will forfeit their rights to contractual payments, and if so, why;
(c) has there been any issues relating to the payment of subcontractors by A J Lucas on the SSDP Stage 2 site, and if so, what are those issues;
(d) What date was A J Lucas appointed either Lead or Principal Contractor for the Stage 2 SSDP project; and
(i) if A J Lucas are not Lead or Principal contactor:
(A) what role does A J Lucas play in the Stage 2 SSDP project;
(B) what is the company's obligations to its subcontractors; and
(C) what date was A J Lucas appointed to carry out its contractual obligations on Stage 2 of the SSDP project?
AnswerView source ↗
Answered
1 May 2012
Responded by
Minister for Water
Response time
42 days
(a) No
(b) No
(c) Yes. There have been issues relating to payment of subcontractors which have included:
· Subcontractors failure to comply with the terms of the contract regarding information to be provided as a precondition of payment.
· Human processing errors.
· Disputed claims.
(d) AJ Lucas is not the Lead or Principal Contract.
(iA) AJ Lucas is a non-owner participant of the Southern Seawater Alliance (SSWA) for Stage 1 and 2. For Stage 2, AJ Lucas is also the sub-contractor to the SSWA for the building and civil works package.
(iB) The normal contract terms are to pay all wages and other entitlements for personnel and to pay subcontractors and suppliers in accordance with the relevant subcontract and supply terms.
(iC) 5 September 2011
Notice: This document is created or edited using unregistered or evaluation copy of rtLib valid for testing or development purposes only. To use it for productive or any other purposes please register it. You may purchase the license on
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(b) No
(c) Yes. There have been issues relating to payment of subcontractors which have included:
· Subcontractors failure to comply with the terms of the contract regarding information to be provided as a precondition of payment.
· Human processing errors.
· Disputed claims.
(d) AJ Lucas is not the Lead or Principal Contract.
(iA) AJ Lucas is a non-owner participant of the Southern Seawater Alliance (SSWA) for Stage 1 and 2. For Stage 2, AJ Lucas is also the sub-contractor to the SSWA for the building and civil works package.
(iB) The normal contract terms are to pay all wages and other entitlements for personnel and to pay subcontractors and suppliers in accordance with the relevant subcontract and supply terms.
(iC) 5 September 2011
Notice: This document is created or edited using unregistered or evaluation copy of rtLib valid for testing or development purposes only. To use it for productive or any other purposes please register it. You may purchase the license on
http://www.rtlib.com
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