Construction companies and concrete suppliers say that prices have practically doubled, given the shortage in the market due to the shutdown of the mines.
SANTO DOMINGO.- The Vice Ministry of Soils and Water of the Environment stated that it began issuing permits yesterday and is guiding companies, including those dedicated to aggregate extraction.
This was the response of René Antonio Mateo, the official who heads that department, when consulted by El Inmobiliario, a digital newspaper, regarding information provided by representatives of the construction sector, indicating that many projects were paralyzed due to a shortage of aggregate material, which prompted us to contact the Environment Department to investigate the situation.
Mateo explained that the delay in issuing permits was due to the fact that he had only been in the position for a week and that he only started receiving users with permits last Friday, after reviewing their files.
“Since we arrived, we have started reviewing the files and today (yesterday) we are delivering 74 permits and leads to companies, land permits, authorizations for extraction, among others,” the official stated.
He estimated that by the end of next week all pending permits would be issued; he also said that every Friday from nine in the morning to one in the afternoon, the department he heads will be receiving complaints or demands from users.
The complaint from builders
Engineer Juan Alberto Chalas described the situation as complex for many construction companies that have been forced to stop work, because many mines have not been able to renew their permits, while prices have skyrocketed.
“These permits are granted for a certain period of time and have been expiring, and there are many mines that have not been able to renew them for extractions. There are problems with suppliers, a situation that affects not only the aggregates but also the concrete plants that use sand and gravel and have also had problems with the people who supply them with the material,” Chalas explained.
For his part, Melchor Alcántara, president of the concrete company Masco, criticized the method used in the Dominican Republic for granting mining permits, given the short duration of their validity.
He understands that it is an “irresponsibility” of the Environment to grant permits under those conditions because it makes no sense given the high cost it represents for a company vs the short time of 30 days that the contract lasts and that because of this many companies go bankrupt.
“With the death of the Minister of the Environment, everything came to a standstill, and many mines are closed, and prices have risen significantly.” He said that a material that sold for 900 pesos last year now sells for up to 1,700, and that concrete will also increase in price, given the rise in the cost of aggregate.
He called on the Government and the Environmental authorities to be more aware and sensitive because it is a housing issue, which is ultimately affected if the prices of construction materials skyrocket, leaving the market with no alternative but to raise prices in the face of high demand and low supply.
