Board blocks railway project deal

Infrastructure and Transport Cabinet Secretary Michael Kamau. Mr Kamau said there was nothing wrong with a Chinese company supervising another Chinese entity. PHOTO/FILE 

In Summary

• “There is no one who has been constructing more railways globally than the Chinese. There was no bias in its selection and no firm was barred from participating” he said.

By ZEDDY SAMBU
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By PATRICK MAYOYO
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The controversy surrounding a tender for consultancy services in the Sh350 billion Standard Gauge Railway project has ended up before the Public Procurement Administration Review Board.

The board has subsequently stopped Kenya Railways from signing the contract until the appeal has been heard and determined


 

A letter from the board’s secretary, P.O. Opiyo, says in part, “You are hereby notified that on 6th June 2004, a request for review was filed with the PPARB in respect to the above tender. Under the Public Procurement and Disposal Act 2005, no contract may be signed between the procuring entity and the tenderer awarded contract unless the appeal has been finalised.”

This is after one of the bidders, Team Engineering S.P.A of Italy wrote to the board citing several irregularities in the award of the tender for supervision of the rail project to a Chinese firm, Third Railway Survey Design Institute Group Corporation.

The firm was in a consortium with local firms Apec Consortium and Edon Consultants International Ltd.

However, Kenya Railway has already signed the tender with Third Railway Survey Design Institute Group Corporation.

Transport cabinet Secretary Michael Kamau, in an interview, defended the award.

“There is no one who has been constructing more railways globally than the Chinese. There was no bias in its selection and no firm was barred from participating” he said.

Mr Kamau said there was nothing wrong with a Chinese company supervising another Chinese entity. He expressed confidence that the Review Board would absolve the government from any wrong-doing.

KR managing director Atanas Maina said they had responded to PPOA queries and furnished them with all the required documents.

Lawyer Abdulwahid Biriq, for the Italian firm Team Engineering S.P.A, says the award of the tender to the Chinese firm not only breached provisions of the public procurement laws but also constitutional provisions.