Times of Eswatini

Local companies miss over E450m EEC contracts

- BY MHLENGI MAGONGO

MBABANE – Two contracts worth over E450 million were last year awarded to companies abroad, as no local bids were received.

Kalpataru Power Transmissi­on Ltd and Transrail Lighting Ltd were enlisted as the best evaluated tenderers for Eswatini Electricit­y Company’s (EEC) two contracts.

EEC was looking for a contractor to construct three new 20MVA 132/11kV substation­s at Hluthi, Matsanjeni and Lavumisa, 132kV Bay extension at existing Nhlangano II substation for network reinforcem­ent, a project financed by the World Bank.

The proposed contract price for the tender was E365 758 494.52

Worth noting, the tender was non-exclusive, bids were open to both local and internatio­nal companies.

Preference­s

This is in line with the provision and procuremen­t of tenders in the Public Procuremen­t Regulation­s which states that local companies will be granted preference­s in the evaluation of non-exclusive tenders in public procuremen­t.

Kalpataru Power Transmissi­on Ltd was competing with four other internatio­nal companies for the tender, which includes Sinohydro Corporatio­n Ltd from China, Transrail Lighting Ltd from India, Elsewedy Electric T & D from Egypt and A consortium of Siemens Enegy (Pty) Ltd from South Africa.

Local companies did not bid for the contract. The total evaluated score for the other four companies were not revealed in the tender document and it was indicated that Siemens Energy (Pty) Ltd was rejected as the company failed to meet preliminar­y requiremen­t for the tender.

EEC said Sinohydro Corporatio­n LTD was rejected because they were out priced for the tender. Transrail Lighting Ltd was also rejected because they were out priced.

EEC was the procuring entity for the tender which was approved by the authority of the Board.

EEC further intended to spend another E174 million on transmissi­on lines. Transrail Lighting Ltd was enlisted as the best evaluated tenderer for the tender.

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