OPR orders Nipdec to shut down million-dollar bridge contract

  • Oct, Sat, 2024

Senior Reporter

derek.achong@guardian.co.tt

The National Insurance Property Development Company Ltd (Nipdec) has been ordered to terminate the multi-million dollar contract for the Ministry of Works and Transport’s Valsayn Avenue Bridge.

The order was made by a three-member tribunal of the Office of Procurement Regulations (OPR) in a decision handed down yesterday afternoon.

Guardian Media understands that the decision stems from one of the first complaints made to the OPR since new procurement legislation took effect earlier this year.

It was also said to be the first time the OPR utilised its powers under the Public Procurement and Disposal of Public Property Act to order the termination of a contract due to breaches of the legislation.

In its order, obtained by Guardian Media, the tribunal, chaired by Sparkle Kirk-Selman and including members David Charlerie and Herdis Lee Chee, stated that the procurement procedure used by Nipdec contravened section 5(1)(b) of the legislation, as it utilised evaluation criteria not disclosed to proponents before they submitted their technical proposals.

Legal sources said that the tribunal, which heard legal submissions in the case earlier this week, is expected to provide detailed reasons for its decision at a later date.

On September 19, Kall Co Limited (Kallco), through its legal team led by attorney Kiel Taklalsingh, asked the OPR to review the award of a contract for the Valsayn Avenue Bridge reconstruction and associated works undertaken by the ministry’s Project Management Unit under the Programme for Upgrading Roads Efficiency (PURE).

Shortly after, another OPR tribunal issued an injunction stopping the project pending the outcome of the case.

In June, Nipdec invited tenders for the project and nine companies including Kallco submitted bids but one did not submit valid compliance certificates.

On September 9, Nipdec indicated that Maraj Hill had been awarded the contract for $15,118,140.88.

Kallco’s bid was the second lowest at $13,213,752.75. The other unsuccessful bidders included Junior Sammy Contractors and Lutchmeesingh Transport Contractors Ltd.

Nipdec indicated that Kallco failed the technical approach, methodology and programme of execution of works.

It further stated that the firm provided generic information related to the key components of the works.

“Information regarding shoring, demolition of the existing bridge, construction of the abutment base and other area of the scope such as installation of drainage layer behind abutment and retaining wall, structural backfill behind abutment and retaining wall, and erosion control measures was either vague or not mentioned,” Nipdec stated.

While the minimum score for this category was 34 points, Nipdec said Kallco scored 27.75, while Maraj Hill scored 90.5 points out of 100 in the technical/financial evaluation.

In its complaint, Kallco contended that the tender rules were not observed. It also alleged Nipdec did not properly, fairly, competently, and lawfully assess its technical bid.

The firm further claimed that Nipdec’s decision to “fail” them was not properly explained and/or particularised and its assessment of the company’s technical approach is subjective, erroneous, unlawful and not in keeping with the obligations expressed and/or implied under the tender obligations.

It further claimed that Nipdec did not reasonably seek clarification on the “purported vagueness or anything being generic” under section 33 of the Public Procurement Regulations.

It also pointed out that Maraj Hill’s bid was almost identical to the estimates set by Nipdec’s internal engineers.

Kallco was also represented by Stefan Ramkissoon and Karuna Maraj of Sovereign Chambers.

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