Maravi

‘Single-sourcing of Chinese firm for boreholes smells of corruption’

‘Single-sourcing of Chinese firm for boreholes smells of corruption’
By Chibaula Silwamba
Sun 07 Mar. 2010, 08:04 CAT

PATRIOTIC Front (PF) spokesperson Given Lubinda has charged that the government’s single-sourcing of a Chinese firm to sink 6,000 boreholes at a cost of US $50 million about K234 billion smells of corruption.

Commenting on the Ministry of Energy and Water Development’s single sourcing of China Xiangsu International Economic-Technical Cooperation Corporation Limited to sink 6,000 boreholes countrywide at a cost of US $50 million and the quick rate at which the contract was awarded, Lubinda said the contract should have been given to several Zambian companies as part of citizens empowerment initiative.

“When government processes are circumvented, it raises lots of suspicion. What is it that is motivating these people to circumvent normal government procedures? In whose interest is it?

Naturally it raises suspicion to the extent that there are some people who want to benefit from this. This smells of corruption. There must be some individuals who want to benefit from the process without following the law,” said Lubinda who is also Kabwata member of parliament and president of the African Parliamentarians Network Against Corruption (APNAC).

“I appeal to all members of parliament to revisit the Zambia public procurement Act so that we start to close up some of these loopholes which the government is abusing. We need to tighten the law for the sake of delivering development to the people who are suffering. People are dying in floods and instead of this government getting equipment to open up drainage systems as a matter of emergency, they are treating the drilling of 6,000 boreholes as a matter of emergency.”

He said boreholes could not be sunk in the rainy season, hence it was irrational for the government to fast-track the tender process of drilling boreholes as if it were an emergency.

“All professionals drilling boreholes know that the best time to drill boreholes is in the dry season. They are rushing this because some individuals must have personal interests and Zambians must rise and stop this,” he said.

“The time of giving approval and awarding the contract was all done in less than a week. That is supersonic speed. What is it that we are rushing for to allow the expenditure of US $50 million? Is the issue of drilling boreholes a matter of emergency? For them to rush the whole process of awarding a tender of borehole drilling and yet those boreholes will not be drilled until after three or four months because the contractor has to mobilise and so on, breeds a lot of suspicion.”

Lubinda said as a parliamentarian who was among the people that passed the public procurement Act, he felt sad that Parliament was abused by passing the law that was now subject to rampant abuse.

“It seems like when the law was made to give an opening for ministries to be able to single source on areas where there are no competitors, it seems like we opened a floodgate for them to abuse that provision to single source for literally everything,” said Lubinda in an interview on Friday.

“I want to assure the citizens that I will do whatever is within my means to try and revisit that law. As president of the African Parliamentarians Network Against Corruption, I am taking up this matter so that the APNAC Zambia Chapter can find some time to go through and revisit the public procurement Act, to look for ways to tighten that law so that we close in on the opening that we allowed which is being abused by this government.”

He observed that Zambia had well established borehole drilling companies that had been set up over the last 10 years.

“Why is it that we are having this tendency of awarding these contracts only to foreigners at the expense of local investors? Can the Zambian companies fail to sink 6,000 boreholes? Couldn’t we have even thought that those 6,000 boreholes can be drilled by several local companies instead of giving the whole work to one company, we share it amongst 10 companies, to empower Zambians?”

Lubinda asked. “Where is the Citizens Economic Empowerment Commission? The CEEC was established by an Act of Parliament for them to ensure that Zambian companies are given preference.

The CEEC Act provides that preferential treatment for tenders should be given to Zambian companies and yet we see the government giving business to foreigners with impunity without regard to local companies.”

A government source revealed about the bid rigging in the boreholes tender process.

“The contract involves the construction of 6,000 boreholes country wide and the amount for the project is US $50 million, the bidder is China Xiangsu International Economic-Technical Cooperation Corporation Ltd,” the insider said.

“Tender invitation: 18th February, 2010, receipt of bid 18th February, 2010, letter for negotiation 22nd February, 2010, authority to negotiate given on 22nd February, 2010 and date of negotiations on 23rd February, 2010 and award of authority by CTC on 23rd February, 2010. Therefore, direct bidding (bid rigging) contrary to ZPPA Act of 2008.”

But Ministry of Energy and Water Development permanent secretary Teddy Kasonso said the contract had not been concluded.

Labels: APNAC, BOREHOLES, CHINESE, CORRUPTION, GIVEN LUBINDA

posted by MrK @ 7:35 PM