The President of the Regional Government of Madeira, Miguel Albuquerque, admitted today that the construction of the new Central and University Hospital of Madeira could face a significant cost increase due to rising prices for materials and labour in recent years.
Speaking on the sidelines of the renewable gases conference in Funchal, the Regional leader explained that the project will be reassessed and that the public tender must be adjusted to reflect current market conditions. However, he stressed that no final figure has yet been established for the updated investment.
According to Miguel Albuquerque, the Regional Government is preparing a new cost estimate, taking into account the recent evolution of the construction sector, marked by what he described as “exponential” price increases.
The President recalled that the Government of the Republic is responsible for 50% of the project funding, while acknowledging that the overall scale of the work now requires a technical review.
As an example of the inflationary pressures affecting the sector, he pointed to the Porto Santo health unit, whose initial estimated cost of around 12 million euros is now expected to rise to nearly 33 million euros.
Miguel Albuquerque also rejected suggestions that work on the new hospital has stalled, explaining that the project is currently in a transition phase before moving to a stage focused on interior finishes and coatings.
Samantha Gannon
info at madeira-weekly.com
“We are still finalising this phase in order to begin the third phase,” he said, assuring that the process is continuing normally despite the need for financial and procedural adjustments.
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