Sub-contracts only for Osc-listed SMES
Also, the Tender Board plans to introduce a clause in all tenders stipulating contractors to subcontract at least 10% to SMES operating in the Governorate where the work is carried out, said Oman Society of Contractors
Times News Service MUSCAT: The Board of Directors of Oman Society of Contractors (OSC) in its last meeting decided to award sub-contracts to only those small and medium enterprises registered with the society.
Further, the Tender Board plans to introduce a clause in all tenders stipulating contractors to subcontract at least 10 per cent to SMEs operating in the Governorate where the work is carried out, said a press release from OSC.
Speaking about the details, the Chairman of OSC, Dr P. Mohamed Ali said that a mechanism will be established soon to engage SME contractors as sub-contractors. To fulfill this, SME’s registration with Oman Society of Contractors will become mandatory. Dr Mohammed Ali added that in this regard, a delegation of board members of OSC will be meeting with the Tender Board Chairman on May 1, 2013 to discuss further on implementation process.
Besides, he added that discussions with the Tender Board will include the definition of SMEs. It is understood that the government wishes that the contractors should engage SMEs from localised Mohafadah. Names of such SMEs will be listed at tender stage by the Tender Board. Contractor is required to engage such SMEs based on their tender stage submission, without further negotiations. For the classification and registration of companies, new criteria will be discussed by engaging branches of chambers of commerce in all the Governorates.
The Tender Board and OSC may jointly agree on a set of rules to classifying the SMEs (sub-contractors for each Mohafadah) and on this basis, a system of membership and engagement will be firmly implemented.
He also explained that among the criteria, work will be awarded only to those sub-contractors who are going to perform the work directly and not through sub-sub contractors.
He further indicated issues such as whether Tender Board would give more preference to contractors who have stated willingness to give more than 10 per cent of the contract work to SME contractors, would also be discussed. Also, bidders with higher usage of locally manufactured products should be given preference, while awarding contracts by the Tender Board.