New firm picked to inspect cars

Kenya Bureau of Standards (Kebs) Chairman Lucas Maitha. Traders engaged in dumping of poor quality goods in Kenya could pay heavily if plans by the standards body bear fruit. PHOTO | JARED NYATAYA |

What you need to know:

  • The standards body said the Japanese company emerged top on account of its technical capability to conduct the inspection of vehicles that are imported into the country.
  • However, Jevic and EAAS both quoted Sh4,005 as administration fee to remit to Kebs for every vehicle inspected while QISJ quoted Sh3,649, implying that Kebs picked the company giving the lowest revenue to government.
  • It is estimated that Kenya imports 7,000 vehicles a month mainly from Japan, United Arab Emirates, United Kingdom, Singapore and South Africa and is ranked among the top destinations for used cars globally.

The Kenya Bureau of Standards (Kebs) has awarded the motor vehicle inspection tender to Japanese firm Quality Inspection Service (QISJ).

The standards body said the Japanese company emerged top on account of its technical capability to conduct the inspection of vehicles that are imported into the country.

Last week, Kebs had short listed, Japan Export Vehicle Inspection Centre (Jevic) and Quality Inspection Services Inc Japan (QISJ) and East Africa Automobile Services (EAAS).

All the three firms quoted similar vehicle inspection fees in the four countries of interest, Japan, United Arab Emirates, United Kingdom and South Africa.

However, Jevic and EAAS both quoted Sh4,005 as administration fee to remit to Kebs for every vehicle inspected while QISJ quoted Sh3,649, implying that Kebs picked the company giving the lowest revenue to government.
“Our key consideration was at the technical evaluation stage because in the past, over-age vehicles have been let into the country,” Kebs managing director said in defence of the decision.

STRINGENT REQUIREMENTS
Overall, the international tender had attracted seven bidders, four of which were knocked out at the technical evaluation stage.

This year’s tender saw Kebs introduce strict condition for bidders raising complaints that they were meant to deliberately exclude some from the process.

For instance, the standards regulator introduced a condition that all bidders must have inspection facilities in UK and Japan and not rely on agents as is currently the case.

The tender document also barred companies that focus in motor vehicle inspection as well as forwarding and logistics business as it deemed it a conflict of interest.

TOP IMPORTER
Kenya Bureau of Standard also abandoned awarding the contract to more than one firm this year with Mr Ongwae citing cases of malpractices.

“If there shall be capacity issues, we have the option of bringing on-board another player but for now, we would rather be with one firm to avoid issues of rules being flouted,” Mr Ongwae said.

It is estimated that Kenya imports 7,000 vehicles a month mainly from Japan, United Arab Emirates, United Kingdom, Singapore and South Africa and is ranked among the top destinations for used cars globally.

QISJ thus has the responsibility of ensuring that cars shipped into Kenya are right-hand drives, are below eight years old as well as roadworthy starting January 16, 2015.