State risks losing Sh5 billion in inflated costs for new generation number plates

State risks losing Sh5 billion in inflated costs for new generation number plates BY Mwaniki Munuhe Updated Sunday, October 25th 2015 at 00:00 GMT +3 Share this story: Suspended Transport CS Michael Kamau displays a new generation number plate. (Photo:File/Standard) Taxpayers risk losing more than Sh5 billion in inflated costs for new generation number plates. The battle for the lucrative contracts has sucked in government officials including key decision makers in the Public Procurement Administrative Review Board (PPRB) and influential merchants with interests in the production of the current number plates. The government begun the process of digitising number plates for motor vehicles and motor bikes in 2004 but this has been delayed due to merchants-driven interests. Uganda, Tanzania, South Sudan, Burundi and Rwanda — all members of the East African Community —have already digitised their number plates. The current status is no different from past experience with these contracts since the 2004 stalemate. On May 28, the Government awarded the contracts to two companies. But PPRB overturned the decision, accusing the government of breaking procurement laws and inflating the costs for one bidder. “The evaluation report for tender number 11 shows that instead of using the prices set out in the form of tender and the price schedule, the procuring entity went ahead to evaluate the applicant’s financial proposal using the prices of USD 17,406,350 which the applicant did not tender for,” says PPRB. PPRB further ruled that all the contracts for stamping foils and plate blanks be awarded to one company, Tropical Technology Limited. A close look at tender documents shows that Tropical had quoted $4 million (Sh400 million) higher than the previously awarded bidder EHA Hoffmann International GMBH which had quoted $6,953,700 (approximately Sh695.4 million) for the supply of motorised number plates blanks. See Also: India to boost trade ties with EAC The Government has protested the PPRB decision to ignore lowest qualified bidders and accused it of working in cahoots with merchants to inflate the costs for the execution of the contracts by at least $51 million (Sh5.1 billion). In a letter dated October 21 — a copy of which The Standard on Sunday has seen – Interior Principal Secretary Josephta Mukobe told Attorney General Githu Muigai that the taxpayer stands to lose $51 million (approximately Sh5.1 billion) if the ministry is compelled to award the contracts to Tropical Technology Limited as directed by PPRB. Lowest bidders “The procurement entity stands to lose USD3,097,300 in tender No. KPS/ICB/T/10/2014-2017 and USD 15,987,508 and USD 31,918,300 in Tender No KPS/ICB/T/11/2014-2017 if its decision to award the tenders to the lowest responsive bidders is annulled and is compelled to sign contract with Tropical Technology Limited,” reads part of the letter. GO TO PAGE 1 2 3 Next »
Read more at: http://www.standardmedia.co.ke/business/article/2000180608/state-risks-losing-sh5-billion-in-inflated-costs-for-new-generation-number-plates

Cry the beloved Country.

According to the controller of budget, part of the Eurobond proceeds cannot be accounted for.Yet huyu jamaa anaitwa Dennis Itumbi is busy disputing this fact. Tuko na shida hii Kenya. My friends are forming a movement called Third Alliance. I’ll post more info next Thursday after online discussion. Lazima uhuru aende nyumbani. Na Raila kalonzo mudavadi sio alternatives

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That’s a great idea, however I am not sure how successful this 3rd force will be and if its agenda will not be hijacked by established political systems.

I hope so too. 5th December 2015 kuna mkutano ufungamano house. Tell a friend.

I hope so too. 5th December 2015 kuna mkutano ufungamano house. Tell a friend.

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yeah new people

And the ass fucking of our beloved country continues…

sad

Mi naona tukuwe na revolution.

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Uhuruto need to go. The victim claim ya ICC and western countries are out to get them is/will be a hard sale.

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What mechanisms have the conveners put in place to ensure established politicians with their own selfish agenda don’t hijack the initiative? It happens all the time, like the recent attempt by the opposition to ride on the teachers strike.

mimi ni wa jubilee but truth must be said Kenya is getting fucked bila condom:(

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It will still be hijacked, but it would be better if there a were a slight improvement.

I’ll ask my buddy and come back with an answer this week. But it’s good we also go to ufungamano on dec 5th ndio we hear from the horses mouth what the agenda of the Third Way Alliance is.

sisi kwisha mara elnino funds mara euro bond mara e.t.c

Nyinyi mutapatiwa tumillion kadhaa na wewe okiya upromisiwe PS mahali fulani alafu “mtasema so and so tosha”

A new regime what change much kwanza new guys ndo wataiba kapsa ju hawana kakitu… You see the we have to improve our courts system, EACC, the police etc… What will stop an ordinary Kenyan like Okiya from siphoning funds if he knows very well that there are no consequences??? A lot has to change but the change has to start with our mindsets first

Very true. Change begins with me as an individual. These corrupt fellows aren’t aliens, nI wakenya tu and they live amongst us.

Where Boniface Mwangi go.his silence amid these shenanigans is gnawing