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Czech: Mbarara Hospital Expansion Cancelled In The Tendering Process
Publish Date : 23-Dec-2009
The public procurement regulator has cancelled a new multi-billion deal to redevelop Mbarara Hospital citing flaws in the tendering process, Daily Monitor has learnt. The $7.9 million (about Shs15 billion) deal that had been awarded to Spencon Services Limited was part of the loan facility Ministry of Health received from the African Development Bank under the Health Sector Strategic Plan Project II. However, the Public Procurement and Disposal of Public Assets Authority (PPDA) in its latest report, has ordered for the cancellation of the deal, re-tender the procurement process and refund Shs200,000 to Excel Construction Limited - the aggrieved bidder.
PPDA said, The Authority therefore finds that the Entity should not have dismissed the bid of the Complainant non responsive and non compliant by virtue of the Bid Security alone. The Authority therefore finds merit on this ground. The works as per the tender documents involved construction of three hospital blocks covering a total gross floor area of 7,252 square meters and minor renovation works to the existing building. However, this has been put on halt until further notice. Spencon was declared the best evaluated bidder, after price computation adjustment found that Dott Services, a company that had earlier won the tender had a higher price of $14.2m (Shs27b).
