THE Government says it is yet to make any formal agreement with Metropolis Mamara Development Ltd to buy houses for public Servants that are under construction at the Mamara New City, west of Honiara.
Permanent Secretary of the Ministry of Commerce, Industry, Labour and Immigration (MCILI), Riley Mesepitu clarified this following the publication of a leaked letter from the current developer, Metropolis Mamara Development Ltd.
The letter dated 17 May 2021 and addressed to the Minister of Commerce, Industry, Labour and Immigration, Frederick Kologeto and copied to a number for Ministers, Permanent Secretaries and the Premier of Guadalcanal Province is seeking Government to prepare a payment of more than $21 million for the first 30 completed houses proposed for the Public Servants Housing Scheme.
The proposal to buy houses is still to be approved as the Government has set up a Taskforce headed by the Ministry of Public Service to review the Public Service Rental Scheme to compare financing options for the Housing scheme.
Mesepitu said the outcome of the review would be presented to cabinet in June for consideration before any decision can be made.
“The revised policy on Public Service Rental Scheme would provide the suitable financing option that government will consider,” he said.
“The government supports the development but at this stage it is not committing any financial obligation to the project,” he added.
Mesepitu confirmed that until the revised policy on Public Service Rental Scheme is done and the cabinet’s final decision on the appropriate financing option, government will not commit itself to any financial request from the developer at this stage.