B7.8bn satellite under graft scrutiny
Ministry forms panel to probe purchase deal
The Ministry of Science and Technology will set up a special committee to look into an allegation that a conflict of interest surrounds the 7.8-billion-baht purchase of THEOS-2, an earth-observing satellite.
The special committee will be given 30 days to find out whether this was at play in the deal, as suspected by anti-graft experts, according to Science Minister Suvit Maesincee.
This committee, said Mr Suvit, will comprise six officials from the Ministry of Finance, the Office of the Attorney-General (OAG), satellite experts and the private sector.
“I need a middleman to end the conflict. I’m sure it will be resolved soon in a positive way as long as there are discussions. All sides have agreed the project is very important to the country’s development. The new satellite is not the best in the world, but it is the most suitable for the country,” said Mr Suvit.
He refused to spell out whether he would end the contract if the bidding was not transparent, but insisted the ministry has not yet paid any money to the company.
He also declined to say when the first payment would be made, or whether the country would need to pay a penalty if the contract was nullified.
“We need to see the results of the probe first,”, said Mr Suvit, insisting the conflict was not caused by corruption.
The Science Ministry yesterday held a joint-press conference with the Anti-Corruption Organisation of Thailand (ACT), a non-governmental anti-corruption organisation that questioned the bidding process for THEOS-2.
In July, six ACT observers, who were invited to take part in monitoring the bidding process for the sake of transparency, resigned.
They said they had issued warnings of suspected irregularities but that these had been ignored by the Geo-Informatics and Space Technology Development Agency (Gistda), the state space agency under the umbrella of the Science Ministry.
The observers went public with their claim that an adviser to Gistda had ties with the company that won the bid.
The government in June signed a procurement MoU for THEOS-2 with the winning bidder, Airbus Defence and Space SAS, to supply the satellite and to help develop the country’s space scientists. Gistda will use the satellite.
The purchase deal was approved by the cabinet in March 2017. The new satellite will cost 7.8 billion baht and will replace THEOS-1, which has served Gistda since 2008.
According to the agreement, the winning company will provide a natural resource survey satellite and help to develop another satellite, which must be developed by Thai scientists based on technology transferred from the company. Some 30 Thai scientists will be sent to France to receive the technology from Airbus Defence and Space SAS.
The company is in the mix with bidders from China, the United States and South Korea, among others. Gistda has already imported some French technology, however, as THEOS-1 was developed by France’s EADS Astrium, which merged with Airbus in 2013.
A source from Gistda said the THEOS-2 project could have a number of applications.
“It marks a revolutionary development for satellite technology in Thailand. The bidding criteria has not only focused on satellite technology, but the technology transfer is also a key part of it,” the source said.
Gistda has identified six areas that THEOS-2 can be used for: water management, disaster management, national security, monitoring pollution and natural hazards, as well as urban and economic development.
According to Pramon Suthiwongm, the ACT was among those observing the THEOS-2 bidding process as a part of the military-led government’s efforts to bolster transparency in state procurement by inviting anti-corruption activists to observe the procurement process.