Sh20bn project tender award suspended

Uasin Gishu County Governor Jackson Mandago and Mr Philip Meli, the County’s Executive in charge of Trade, Industrialisation, Tourism and Wildlife Management in Eldoret town on June 27, 2013. The county's procurement oversight board has started hearing a case in which the tender results of a Sh20 billion hydro-electric and irrigation project were rejected. PHOTO | JARED NYATAYA | NATION MEDIA GROUP

What you need to know:

  • A procurement oversight board has started hearing a case in which the tender results of a Sh20 billion project were rejected.
  • CMC dii Ravena Cooperatiava muratori, the Italian firm which quoted $212 million won the tender.
  • At the board’s meeting in Eldoret, were both the winners and aggrieved losers including the edged out Sosian Energy Consortium Company limited which quoted $110 million.

A procurement oversight board has started hearing a case in which the tender results of a Sh20 billion project were rejected.

This is after it emerged that an Italian company was awarded the controversial tender to undertake part of the hydro-electric and irrigation project in Kerio Valley that has since been temporarily suspended by the Government Procurement Authority over a tendering dispute.

CMC dii Ravena Cooperatiava muratori, the Italian firm which quoted $212 million won the tender.

A copy of the contract letter written both in Italian and a translated English version, found its way into the Public Procurement Administrative Review Board meeting in Eldoret last Thursday.

At the board’s meeting in Eldoret, were both the winners and aggrieved losers including the edged out Sosian Energy Consortium Company limited which quoted $110 million.
Also present were representatives from the Kerio Valley Development Authority that awarded the tender.

Foreign legal representatives of the Italian firm, together with those of Sosian and KVDA, appeared before the board in regard to the summonses the board had extended to all the parties involved over suspension of the multi-billion work on Embobut multi-purpose dam.

The board’s sitting was equivalent to a courtroom session.

RELEVANT DOCUMENTS

CMC dii Ravena Cooperatiava muratori complained that they had not been adequately served with all the necessary relevant documents and, therefore, were in an awkward position following the proceedings.

Board chairman Mr Paul Gicheru accepted Mr Morgan’s appeal “under the natural justice law” and directed that the concerned party be served with all the necessary documents and granted extension of time until Thursday this week when the board will listen to both parties and dispose of the case.

KVDA lawyer Austin Odoyo urged the board to conduct Thursday sittings in Nairobi instead of Eldoret, a request that was rejected.

The authority temporarily suspended the project after Sosian petitioned the board to intervene and cancel the tender over apparent irregularities.