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Bangladesh : DPDC to buy Tk8.46B transformers under direct purchase method

Publish Date : 01-Apr-2015

Bypassing the bidding process, Bangladesh's major power distributor has announced that it will procure 450 transformers of 200-KVA capacity from Bangladesh Machine Tools Factory (BMTF). During its 168th meeting, the Dhaka Power Distribution Company Limited (DPDC) said it will buy the transformers at a cost of Tk 8.46 billion (846 crore) under a direct purchase method (DPM).

The company is buying the transformers using funds from its revenue budget after the BMTF management requested to purchase 450 transformers out of 500 as part of a procurement process decided in 2012. The power firm in 2012 said it will buy 500 transformers under the DPM and inked a deal with the BMTF on delivery of 50 transformers involving Tk 22.1 million on 6th June, 2012 on an experimental basis.

The BMTF delivered the 50 transformers on 5th July in the year at a cost of Tk 0.442 million (4.42 lakh) each. Under an open tender method (OTM), the DPDC last procured 200 KVA transformers, at a cost of Tk 0.415 million (4.15 lakh) each. But, as it is much higher than that quoted for the previous purchase under the OTM, DPDC said it will request the BMTF to reduce the price of the transformers, at its 168th meeting. The board meeting also said each of the 50 transformers was operating well.

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