Tender wars risk elections

By ISAAC ONGIRI

Controversy has erupted over who will supply Sh3.5 billion worth of equipment and software to register voters for the General Election.
Three Cabinet ministers, three foreign diplomats, and three politically connected powerbrokers are among the many local and foreign players jostling for the lucrative contract.

The contest over the request for tender by the Independent Electoral and Boundaries Commission (IEBC) has sparked a battle that threatens to derail preparation for the polls.
Frustrated bidders say officials at the commission are rigging the process in favour of four foreign firms, a claim Chief Executive Officer James Oswago has denied. He, however, admitted that influential persons have tried to pressure IEBC to favour certain companies.

"None of us is holding brief for any company," the Commission Secretary says. He urged unhappy bidders not to block the process with petty claims.

Investigations by The Standard On Saturday reveal that the process has turned acrimonious with three top Western diplomats allegedly visiting the IEBC’s offices separately to warn their governments would withdraw from a pool offering funding to the commission if the tender is not awarded to applicants from their countries.

There have also been challenges filed with the Public Procurement Oversight Authority (PPOA) over the way the process is going.

These developments have led to fears that tender wars could disrupt plans for voter registration, throwing off IEBC timetable for the 11th and biggest ever General Election, slated for March 4, next year.

Investigations reveal that up to 15 companies, including Canadian election supplies firm, Code Incorporated, have been disqualified for various reasons. Some have complained that the IEBC failed to respond to questions about the tender directly, leading to their disqualification on technical grounds.

Others are seeking to exert political or diplomatic pressure on the IEBC to ensure they get their way as evaluations near completion.

When asked about the issue yesterday, Justice Minister Eugene Wamalwa warned against interference with the commission’s activities.

"If there are issues with the tender, the law is clear on public procurement and it should be followed," Wamalwa said. "Ministers and anybody else should keep off the IEBC because it is supposed to be an independent organ."

Nasty complaints

The minister added that nasty complaints against the IEBC could erode public confidence in the body. PPOA officials have written to the IEBC demanding answers over some of the complaints raised about the tender.

The Electoral Commission is seeking a supplier for some 9,750 biometric voter registration kits to be used in electronic registration. The Treasury has set aside Sh2.7 billion for the project, with the United Nations Development Programme (UNDP) funding the remaining Sh800 million. A related tender for the supply of 35,000 laptops for voter identification systems, valued at Sh1.6 billion, has also been advertised.

"Yes, we have written an inquiry to the IEBC in regards to some complaints over tender IEBC 08/2011-2012 for supply of biometric registration solutions, but they have not responded to us," said PPOA’s Corporate Affairs Manager Lucy Barno.

"We have served them with a reminder written on April 12," she said.

Following a complaint over unanswered queries by Africa Infrastructure Development Company, PPOA asked IEBC to respond in three days. The commission remained silent, forcing the authority to write a reminder on April 12. To this it got a response after the request for tender was closed indicating the questions raised by Africa Infrastructure were answered in a document posted on the IEBC website.

The matter exploded after some bidders complained that IEBC was using an undisclosed clause to disqualify them and create room for favoured firms.

"There is a lot of shadowiness in this deal," claimed one of the unsuccessful bidders, requesting anonymity. "One of the companies listed as a front runner failed to deliver a similar product last year, delaying elections in Nigeria."

Another bone of contention is the bid bond window, the period over which those bidding for the tender put up money as security. Bid bonds are meant to show an organisation has the financial muscle and capacity to fulfil a contract. Bidders insisting on a bid bond period of 120 days say IEBC officials tipped four foreign companies to offer tender security for 150 days so the evaluation committee would score them higher.

However, Oswago has rubbished the claims.

"This is sheer nonsense and (shows) ignorance of the law. Even if they go to court to try to stop this process this will look frivolous and will be kicked out," he said.

The Commission Secretary says while the window stipulated was 120 days, bidders are required to get bonds that last up to 30 days after the tender validity period. He insisted bidders who fail to honour all mandatory requirements, including the tender security, would be disqualified. He admitted that the controversy could derail elections, and asked those complaining to read the law and allow the process to proceed.

"Several diplomats and politicians have been here to push for certain companies, but we have declined to play ball," Oswago said. "When time comes, we shall expose them."

IEBC Chairman Ahmed Issack Hassan said he was not aware of either the tender controversy or the PPOA inquiry, arguing that he does not deal with procurement.

"I am not in the picture of what is happening in regards to the tender," he said. "If there is an issue then I will ask the CEO to explain to me."

He, however, expressed concern that any hiccups could slow down the ambitious process that will see all Kenyans register electronically, reducing instances of errors, double registration, and ghost voting.

An evaluation report on the bids submitted to supply the registration materials will be handed over to the commission next week.