Andorra Telecom puts The Cloud project on hold
The four offers submitted for phase 3, which includes the foundations and the construction of the structure and the façade, go way beyond the budget
The four offers submitted for phase 3 of the project by three companies and one joint venture cost between 40.6 million and 60.8 million euros, far above the expected figure. Nadal explained that the budget for the project totals 39.5 million euros and that, specifically for phase 3, which includes the foundations, structure and façade, the estimated price is 28.7 million euros.
The huge difference between the initial budget and the bids received has led the Board of Directors of Andorra Telecom, which held an urgent meeting this morning, to put the project on hold “as an act of responsibility”. The Board of Directors considers it necessary to understand “what has happened” and, in order to define the causes, it will analyse the offers in detail together with the team of architects, who drafted the estimates of the costs, and also the property representatives, who validated them.
“We believe that in a project of this magnitude, financed with public money, it is necessary to rapidly inform the public about the decisions made”, underlined the Managing Director of Andorra Telecom. “We’ve put the project on hold to analyse the situation in depth and make the most appropriate decisions within the Board of Directors,” he added.
Nadal pointed out that, in any event, the construction and operation of The Cloud is based on a rigorous business plan to recover the investment, calculated at a cost of 39.5 million euros.