Letter To The Editor

Request for Correction of False Allegations Against CCECC in Your February 1,8 and 22, 2025 Publications.

We write to formally request the correction of the false and misleading allegations made against China Civil Engineering Construction Corporation (CCECC) in your articles titled “Taps Run Dry in Somali Region Amid Unattended Corruption Allegations and Unfinished Water Projects” and “Investigation: Shedding Light on the Convoluted CCECC Somali Water Project Scandal”, published on February 1 and 22, 2025, respectively.

For over 18 years, China Civil Engineering Construction Corporation (CCECC) has been a driving force behind Ethiopia’s infrastructure transformation. As a globally recognized state-owned enterprise with projects in over 100 countries in the world, our commitment to development is more than just a promise—it’s a proven legacy.

From the landmark Addis Ababa Light Rail to a multitude of large-scale government initiatives, CCECC has played a pivotal role in shaping Ethiopia’s urban and regional landscape. But our dedication extends beyond transportation and construction—we recognize the urgent challenges communities face.

In the Somali region, where water scarcity remains a pressing concern, CCECC has worked hand in hand with the regional government to implement sustainable solutions. Throughout our contract period, we have actively contributed to alleviating this crisis.

However, we are deeply concerned about the inaccurate and unfounded claims made in the aforementioned articles, as well as in the report titled “Somali Water Bureau Chief Axed in Light of Corruption Allegations”, published on February 8, 2025. These reports contain misleading statements that have caused significant reputational damage to CCECC.

Following the allegation report, we have repeatedly reached out to both The Reporter magazine and the Editor-in-Chief of the English edition of The Reporter. Despite repeated assurances that the corrections would be made, no action has been taken to date.

We once again urge The Reporter to uphold our right to a fair and accurate representation. As a reputable media outlet, it is your professional and ethical responsibility to ensure that incorrect and misleading information is promptly corrected to prevent further reputational damage to CCECC.

Specific Inaccuracies:

1. Misrepresentation of CCECC’s Role in the Jigjiga Clean Water Project

Your article states, “…clean water project for Jigjiga…, which awarded the contract to the Chinese contractor China Civil Engineering Construction Corporation (CCECC).” This statement is misleading. CCECC was only responsible for a portion of the project, specifically the procurement and installation of pipelines and fittings. Our contractual scope did not include well construction or water transportation to residents. Furthermore, CCECC successfully completed its obligations and was granted a Provisional Acceptance Certificate on April 30, 2024. Your report inaccurately attributes responsibility for unfinished aspects of the project to CCECC.

2. Unsubstantiated Allegations of Corruption and Unlawful Price Increment

The article further states, “Chinese contractors are allegedly involved in corruption in the construction industry, as well as foul play in public procurement procedures.” This generalization is defamatory, unsubstantiated, and demonstrates bias against Chinese corporations. Such accusations not only have serious legal implications but may also give rise to diplomatic concerns. In addition, allegations of an unlawful price increase are unfounded and made without a full understanding of the contract.

3. The claim that CCECC failed to provide the performance guarantee is entirely unfounded. CCECC submitted the project’s advance payment guarantee and the performance guarantee on July 21, 2021. The original guarantees were duly submitted to the Employer.
4. The claim that the project negatively impacted existing infrastructure and that CCECC is liable for all defects and damages is unfounded and unsubstantiated. CCECC has adhered strictly to the contract design and its approved amendments.
5. The article incorrectly cites contract terms, claiming that price adjustments are unlawful shows the report’s lack of impartiality and also contravenes the novel principle of balancing news in journalism. In addition to design revision, there were [a] number of acceptable and justified factors under the general conditions and accepted practices in the construction agreements.
6. The article misrepresents the scope of CCECC’s contractual responsibilities. Additionally, CCECC questions the legality of The Reporter’s access to contract details. The contract’s confidentiality provisions commit both parties to their confidentiality obligations. The Reporter is required to provide a formal explanation regarding the legality of its access to contractual information.
7. The article alleges that CCECC attempted to intimidate The Reporter and demanded the retraction of its coverage on the Jijiga Water Project and related disputes. However, CCECC’s request for retraction was based on factual inaccuracies in the reporting, and at no point did it engage in any form of intimidation. It’s our right to defend unlawful requests from any side and stand for our guaranteed freedoms under national and international laws. On the contrary, it’s the Editor-in-Chief of the newspaper that has continuously demanded unlawful quests for bribe[s] from an international corporation that motivates the consecutive defamatory and misleading reports. Once again, CCECC, wants to reaffirm its strong stand in defying such unlawful demands.

In light of the above, CCECC hereby makes the following official statement:

1. CCECC lawfully participated in the project bidding process. CCECC has strictly adhered to Ethiopian laws, regulations, and internationally accepted commercial standards in all its project tenders and contract signings in Ethiopia. It has secured projects through legitimate and compliant means.
2. CCECC has strictly complied with legal and contractual obligations during project implementation. Throughout contract implementation, CCECC has consistently abided by Ethiopian laws, regulations, and international standards and norm[s] on civil engineering. It has maintained a strong stance against any form of corruption and has fulfilled all contractual obligations, ensuring smooth project implementation and obtaining acceptance certificates, without any behaviors against the Ethiopian laws or commercial ethics.

CCECC has never engaged in any irregularities. It remains committed to the principles of transparency, fairness, and legality in all its commercial activities.

We firmly reject these misrepresentations and urge The Reporter to adhere to journalistic ethics by ensuring balanced reporting and consulting experts on construction contract matters before publishing such huge allegations and hasty generalizations.

We appreciate your quick attention to this matter and look forward to your response. Should you require any further information or clarification, please do not hesitate to contact us.

CCECC Ethiopia Branch,

Editor’s Note

In an article titled “Investigation: Shedding Light on the Convoluted CCECC Somali Water Project Scandal” and published on February 22, 2025, The Reporter delved into the allegations of corruption and mismanagement surrounding the Jigjiga Phase Two Project after residents and officials in the Somali Regional State approached its editors with complaints, accompanied by evidence, regarding water shortages in the region despite the inauguration of the high-budget project in mid-2024. The Reporter was also tipped off about dysfunctional piping and the use of substandard materials in the water supply project.

Accordingly, The Reporter conducted an in-depth investigation, analyzing over 450 pages of documents related to the project and interviewing officials, insiders, and residents.

Among other things, the investigation found that:

• The project was directly awarded to the China Civil Engineering Construction Corporation (CCECC) without a proper bid procedure.
• The project’s civil, mechanical and electrical works were awarded to CCECC, though the company claims it was only responsible for pipe fitting installations.
• The project budget was increased by 150 million birr within three months of the initial contract signing, even though the contract agreement states that price revision is possible only a year after the signing.
• CCECC failed to resume the project within the contractual timeframe.
• CCECC claimed force majeure due to inflation and birr deprecation, though these were not among the preconditions for force majeure listed in the contract agreement.
• The Somali Water Development Bureau accepted the contractor’s force majeure claim despite the supervising consultant, MS Consultancy, advising its officials to rescind the agreement.
• The terms of the contract agreement hold the contractor responsible for any project failures or errors that may occur or become apparent within 12 months of project completion.

The investigation uncovered several inconsistencies and points of concern that, in a country with strong anti-corruption laws, would have been used as a stepping stone for a campaign to ensure accountability in public projects.

Nonetheless, instead of providing evidence to back their counter-claims, the company (CCECC) and its attorneys resorted to ploys to discredit The Reporter and its editors, including bribery and intimidation tactics, at one point threatening the family of one of our editors.

The company and its legal representatives repeatedly warned The Reporter not to publish the investigative article, instead calling for a formal apology and a retraction of the previous articles published on the subject and accusing it of breaching journalistic principles. The attorney also claimed the article can have implications for the diplomatic ties between Ethiopia and China.

The Ethiopian Media Authority (EMA), a public institution mandated to oversee the media, also issued a letter to The Reporter, accusing it of publishing articles based on “unfounded” evidence.

The Authority made no effort to review the evidence and documentation The Reporter has on hand before making the accusations on February 28.

The Reporter would like to state that it has no interest beside revealing facts and advocating for the public interest with the highest journalistic standards. Exposing corruption, bad governance, static failures; and promoting peace, democracy, development and free speech, will remain sacrosanct for The Reporter.