Tuesday, July 19, 2011

Lusaka International Airport still operating without radar

Lusaka International Airport still operating without radar
By Chibaula Silwamba
Tue 19 July 2011, 14:00 CAT

THE Lusaka International Airport is still operating without a radar system after then transport and communications minister Dora Siliya single sourced an Italian company to repair and service the current unit over three years ago. And the government has incurred a bill of 600,000 euros from the deal entered into by Siliya with the Italian radar supplier, Selex Sistemi Integrati.

The procurement of the radar system was part of the subject of the tribunal constituted to probe the deal, and other allegations, that were raised against Siliya’s conduct in the execution of her duties as a Cabinet minister.

Department of Civil Aviation sources disclosed that the Zambia Air Traffic Management Surveillance Radar system (ZATM-RADAR) had remained unserviceable and non-operational for the past 20 years and almost three years from the time Siliya disregarded a duly awarded tender to Thales Air Systems SA of France to replace the equipment.

The French company, through a competitive tender, won the bid for the supply, installation and commissioning of two radar units for the Lusaka and Livingstone international airports aimed at improving the Zambian airspace and boosting the safety standing in line with international aviation standards.

Then communications and transport minister, Siliya overruled the now defunct Zambia National Tender Board (ZNTB) and cancelled the bid won by Thales.

Siliya’s move to cancel the tender was meant to accommodate Selex Sistemi Integrati, which was single-sourced, contrary to professional advice from officials in her ministry, National Airports Corporation (NAC) and the then ZNTB which has been transformed into the Zambia Public Procurement Agency (ZPPA).

The tender for the purchase of radar was initiated and recommended by a technical team comprising officers from the National Airports Corporation (NAC) and Ministry of Communications and Transport.

“You will recall that it is almost three years since Ms Siliya went against all advice that was presented to her that the radar was unserviceable and that we required new equipment. But you see she disregarded all advice and procedure and went to the extent of canceling a duly awarded tender in preference to a single-sourced deal involving Selex and to date this equipment is still not working,” the source said.

“The plan was to make the Zambian airspace not only safer but the most favoured in the region with the increased economic activity and also in terms of global standards.”

And the source disclosed that under Siliya’s deal the government had been offered free repair services by Selex as claimed by Siliya but had now paid over 600,000 euros to the company claimed to have gone towards training of NAC staff to be deployed on the same radar that has remained non-functional or serviceable to date.

“After the controversial award, we saw a bit of activity from Selex on the radar, but after some time they simply took off and instead said they could train our staff who would be using the same radar they were repairing. A bill of 600,000 euros came which has been paid to Selex and three years on, the radar is still not working. I feel Ms Siliya owes the Zambian people an explanation even if she is no longer the minister responsible,” the source said.

The source disclosed that the initial contact by Selex for business with the transport and communications ministry was earlier made in February 2008 with an offer to supply the equipment at a fixed total price of Euro 13.7 million following its inspections of the radar system at the airport and recommendation that the equipment was obsolete and required replacement.

Sometime in the same month, the Ministry of Transport and Communications requested funding from the Ministry of Finance for the purchase of the new radar at Lusaka and Livingstone international airports.

In April 2008, the Secretary to the Treasury, in principle, supported the acquisition of the new radar equipment but felt that there was need to consult the ZNTB on whether or not the ministry should single source.

On the strength of the advice, then permanent secretary in the Ministry of Communications and Transport, Dr Eustern Mambwe, in June 2008 submitted bidding documents to ZNTB director general for subsequent advertising on international competitive bidding.

The bids were received by ZNTB and were publicly opened in the presence of bidders or their representatives.

An evaluation committee was composed from institutions responsible for the equipment who prepared technical specifications.

At the time the tender was opened on September 26, 2008, six bids were received - Hua-Jiang Investments with option number one at US$18.9 million and option number two at US$16.8 million, Intelcan at Euro 12.9 million, China LES at US$18.9 million and Ramet C.H.M at Euro 14.9 million.

Other bids were from Thales Air Systems S.A with two options: option one was at Euro 9.050 million with option two at Euro 12.6 million. SAAB Systems Limited also put in a bid at Euro 15.8 million.
And at the end of the evaluation process, Thales Air Systems SA was successful as ZNTB’s central tender committee authorised to award the contract for Euro 9,050,168; the company's first option.
Selex did not make it for bidding and as such did not participate in the tender.

On December 11, 2008, the then permanent secretary in the Ministry of Transport and Communications, Dr Mambwe, wrote to Thales Air Systems SA of France notifying them that they had been awarded the contract for the tender to supply, deliver, install, and commission the ZATM-RADAR at Lusaka and Livingstone airports.

Dr Mambwe even requested Thales Air Systems to acknowledge receipt of the notification for the award of the contract and acceptance of the sum total for option number one.

He further stated that his ministry, together with justice and finance ministries were open for negotiations on the special conditions of the contract with regard to terms of payment prior to signing of the contract.

However, on the same day Siliya wrote to then ZNTB director general, David Kapitolo cancelling the award of the contract to Thales Air Systems claiming the tendering process did not inspire confidence.

But on December 12, 2008, the chief purchasing officer in the Ministry of Transport and Communications wrote a memo to Siliya advising her to abide by the lawful decision of the ZNTB to award the contract to Thales Air Systems.

The chief purchasing and supplies officer stated that a selective tender may be authorised where:

(a) there is a proclamation in force declaring a state of emergency or threatened emergency under the Constitution,

(b) it is in the interest of public order, public safety or public security,

(c) building works of a specialised or complex nature are involved, or equipment to be obtained is highly specialised,

(d) the goods and services to be rendered by an educational or training institution,

(e) services are to be rendered by an educational or training institution,

(f) evidence is furnished that there are no other competing institutions or organisations in respect of the goods or services to be supplied or rendered and that the supplier is the sole franchise holder,

(g) the goods or services to be supplied or rendered are to be used in, or are in the nature of research work,

(h) equipment to be supplied is technical and is of a nature that requires standardised and inter-changeability of parts; or

(i) there has been no acceptable tender from all formal tenders previously invited.


On the same day, Dr Mambwe had also written to Siliya, explaining that the ZNTB process was transparent and dismissed as false assertions by the minister’s alleged anonymous informer claiming that the process was not transparent.

However, Siliya instructed Dr Mambwe to ensure that ZNTB cancelled the earlier contract awarded to Thales Air Systems and instead picked Selex who had earlier had in early December, offered to repair the radar at Lusaka International Airport.

Siliya had appeared before a tribunal chaired by justice Dennis Chirwa, Supreme Court judge Peter Chitengi and High Court judge Evans Hamaundu, probing her alleged abuse of authority of office after a complaint by former Minister of Communications and Transport William Harrington and 10 other civil society organisations.

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