Challenges

What challenges can be expected and some tips from PROSPECTS’ experiences

Project site access 

EIIP work is performed in areas that are impacted by both climate and conflict. Because EIIP responds to infrastructure needs, it is relevant as part of a crisis response and in locations where there is instability. This poses difficulties in terms of consistent access to projects which is necessary to monitor progress and adherence to building standards. This was the case in both Sudan and Iraq, where Local Economic Development Committees (LEDCs) in Sudan and young engineers in Iraq were engaged to help monitor EIIP progress as part of the innovative solutions to the challenge.  

Formalization processes

A key challenge for refugee participation within EIIPs relates to its nature as formal employment. This means refugees participating in EIIP work require work permits and must comply with social security conditions. The success of an EIIP therefore t relies on national frameworks and processes in place for business registration and ownership of refugee groups, so they can bid for/get construction work. It is crucial to explain these processes and procedures clearly to refugee workers, especially if it is their first experience in the formal labour market. Establishing communication channels with the relevant government ministries and social security institutions can also help direct questions and follow-up.

Potential delays when contracting and sourcing locally

While mechanized processes can save time, the aim of using a labour-based approach is to provide a maximum number of work days for members of the local community. Moreover, locally recruited workers are often new to the area of work, so they might not be highly efficient, particularly at the outset of the work. This is even more evident when EIIP sites are used to allow training-course participants to apply their skills in practice, as was the case in Iraq. When EIIP work is performed in a sector or location where seasonality is a factor, time considerations and accounting for delays are also necessary. For instance, in Ethiopia, the construction of a storage facility for milk was completed after the milk production season had ended. This meant that the productivity gains of the storage facility could not be realized until the following season. Delays in implementation are not solely due to worker efficiency. Because contracts are awarded locally, it can take time for contractors and local partners to submit technical and financial proposals that align with ILO requirements. The contracts may also have to go through government processes, which introduce further delays. 

Fluctuations in building-material prices

Delays introduce risk of having the value of local currency and the price of construction materials change. This happened in Sudan and Ethiopia, which both experienced hyperinflation and devaluation of their currency. As a result, financial proposals had to be renegotiated. In Sudan, it took 12 months for the contract with the implementing partner to be approved. By that time, the price of building materials had skyrocketed, highlighting the importance of agility and speed when contracting locally. The availability and quality of local materials can also introduce challenges. In more remote areas, local suppliers may not have the cash flow to provide the volume of building materials required by an EIIP. Sourcing materials from the closest urban or peri-urban area will increase costs. This could also cause delays or compromise build quality. Sometimes, materials can be sourced locally without having to go through a supplier – such as the do-nou gunny bags in Ethiopia and cobblestone production in Ethiopia and Kenya – in other instances, materials will have to be brought into the locality and may also have to meet certain standards set by the government.