The Senate Standing Committee on Communications while observing favoritism in awarding some contracts by the National Highway Authority (NHA), recommended initiating an inquiry against the department which extended undue favor in issuing the tender.
The committee which met on Wednesday under the Chairmanship of Senator Prince Ahmed Umer Ahmedzai emphasized the impact of rates and substantial increase in dollars as a result of a process of retendering.
The committee was briefed on the Sailkot-Khariyan Motorway project. The member Public Private Partnership (PPP) NHA briefed the committee that the ECNEC approved PC-I of Rs 43.382 billion. Zahir Khan 7 Brothers (ZKB) EGC, Techno+Matracon Consortium ACC, and FWO+SMC JV Zeeruk participated in bidding for the project. FWO-SMC JV generated a total NHA revenue share of Rs. 8.504 billion while Techno-Matracon’s revenue share was Rs. 7.360 billion. Techno-Matracon’s bid was declared a Non-Conforming Bid due to the unequal annual installment quoted in the Bid for Operational Viability Gap Fund (VGF) against the RFP requirement of equal annual installments.
The committee raised concerns about disqualifying Techno-Matracon only on the pretext of unequal installments. On the disqualification of Techno-Matracon as a potential bidder the matter was taken up by the grievance committee. The grievance committee did not give a decision in favor of the Techno-Matracon.
The NHA authority briefed the committee that the contract took place as per the condition of the concession agreement. The committee being dissatisfied with the answer of the NHA commented that NHA is found biased in favor of FWO-SMC JV.
The committee recommended initiating an inquiry against the department which extended undue favor in issuing the tender. It was also stressed that while issuing tenders, emphasis should be given to the benefit of the investor rather than the contractor. The committee chair stressed that the committee solely works for the larger interest of the country, and therefore fair and just decisions should be implemented.
Source: Pro Pakistani