THE government has said that due process was followed in tendering the Standard Gauge Railway (SGR) project from Tabora- Kigoma.
Deputy Minister for Works, Fred Mwakibete on Thursday said in Parliament that all the required procedures including consultations to ensure the right costs were followed.
He gave the sentiments yesterday in response to a supplementary question raised by Kisesa MP, Luhaga Mpina(CCM), who wanted to know why the government used single source to get the contractor, CCEC for the SGR Lot 6 from Tabora-Kigoma, causing a loss of 2bn/-.
In response, the deputy minister said the Public Procurement Act
provides for various procurement procedures that can be adopted by the government, including single source.
He added that the procurement for the project was done within the Public Procurement Act No 7 of 2011 and the regulations number 162(1)(a)-(c) of the Public Procurement Act, of 2013 as reviewed in
“I would like to confirm to this House that no loss was incurred in the procurement processes of the project since all steps
were followed” said the deputy minister.
He explained that the estimated cost of the contract was $3.066bn/- equivalent to 7.2trl/- compared to $2.216 bn/- , equivalent to 5.2 trl/- after consultation with the contractor.
“This is after consultations that the government managed to save $273.9 mn/-, equivalent to 632.74 bn/- from the previous tender worth $ 2.4bn/-, equivalent to 5.8trl/-“ he said.
He reminded the Parliament that such single tendering process was also adopted to get the contractor, YAPI MERKEZI that is building the Makutupora-Tabora SGR project and Tabora-Isaka project at the cost of $2,213 bn/-, equivalent to 5.19 trl/-.