| Georgian children have reason to cheer reforms
A modern children’s playground is replacing the ugly garages and old, dirty trash containers that used to fill a large yard across from the Zugdidi Railway Station.
Parents and children from the neighborhood, which includes two 70-unit apartment buildings, “are counting the days to when the playground is finished,” said Elguja Gurieli, director of Tavadi I, a local construction company. The company won a government contract to build recreation infrastructure in Zugdidi, the main city of the Samegrelo region in western Georgia. The 20 workers Mr. Gurieli hired for $360 each for 50 days are working to complete the job.
New, streamlined construction procedures have hastened the day when children can play in their new park. Before recent reforms, Mr. Gurieli would have had to navigate a complex series of conflicting laws and regulations that caused headaches for contractors and permitting officials.
“It was an enormously chaotic process with a lot of loopholes for corruption,” said David Esebua, Zugdidi’s municipal construction supervisor.
Amendments to the Regulation on Issuance of Construction Permits and Permit Conditions, which the Government of Georgia adopted in June 2006, have simplified the process. Small projects such as Mr. Gurieli’s Zugdidi playground benefit from expedited procedures.
For larger projects, the new regulations greatly ease document requirements and reduce the time required to put new construction into use by 30 days for residential and commercial properties and by 60 days for industrial projects. A 30-day reduction has been estimated to save Georgian contractors about $10 million annually.
Consultants from the USAID-funded Business Climate Reform project worked with officials from the Construction Department of the Ministry of Economic Development to revise the regulations, and the reforms are helping to fuel growth in construction, one of the nation’s fastest-growing sectors. Total investment in construction has increased from $450 million in 2005 to $660 million in 2006, the number of construction sector employees has increased more than 50 percent from 2003 to 2006, and the average wage of construction workers rose 65 percent from 2005 to 2006.
Mr. Gurieli has experienced both the old and the new rules for obtaining construction permits. He said the simplified procedures allow local governments to meet the high demand for outdoor playgrounds and sports facilities much faster and at less cost.
He also finds the new regulations more convenient. “This playground project is my favorite. For the first time in my work history, I didn’t have to waste time and money to visit different agencies to seek a permit. For the first time in my life, I have actually enjoyed the public and the government’s involvement in my work process,” Gurieli said.
Chikhladze Enver, 56, who lives near the playground, says he loves the “pleasant noise” when construction equipment starts up each morning, indicating that work on the playground continues. He took an active part in dismantling the unsightly garages that once filled the yard, including his own.
“I foresee a better future. My children will not waste time hanging around the railway station anymore. Instead, they will grow up in a safe and healthy environment,” he said.
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