LACKS MERIT

Board dismisses appeal against Kemsa in tender row

The tender was awarded to China Railway No.10 Engineering Group by Kemsa

In Summary

• The board made the order on July 9 throwing out Tunasco's appeal dated June 18.

• Kemsa advertised the tender on April 14 and closed the same on May 12.

Kemsa depot in Nairobi's Industrial Area
Kemsa depot in Nairobi's Industrial Area
Image: MAGDALINE SAYA

The Public Procurement Administrative Review Board has dismissed an appeal filed against the Kenya Medical Supplies Authority in a tender award row on the grounds it lacked merit.

The appeal had been filed by Tunasco Insaat Anonim Sirketi (Tunasco) against a tender award for supply, installation and commissioning of racking system and associated works. The tender was awarded to China Railway No.10 Engineering Group by Kemsa.

The board made the order on July 9 throwing out Tunasco's appeal dated June 18.

Kemsa advertised the tender on April 14 and closed the same on May 12. After the award of the tender to China Railwat, Tunasco filed an appeal No. 81/2020 at the PPARB to contend the disqualification of their tender.

The review board heard the appeal and dismissed it on ground that Tunasco provided manuals and brochures that contained technical specifications in a language that was not English.

It ruled that Kemsa had no way of knowing whether the document provided by Tunasco complied with the technical specifications of their bid.

“The request for review filed on June 18, 2020, by the applicant herein with respect to Tender No. KEMSA/CONST/01T4/20192020 for supply, installation and commissioning of racking system and associated works is hereby dismissed,” the board ruled.

Tunasco argued that the procuring entity breached Sections 3, 80 (2) of the Act and Article 227 (1) of the Constitution by evaluating the applicant's bid using a criterion and procedure that is not set out in the tender document.

The applicant further contends in its statement in support of the request for review that the procuring entity issued Addendum No. 1 dated April 30 in line with Section 75 (1) of the Act, which omitted the requirement for manuals and materials certificates from the tender document and the criteria for evaluation.

According to the applicant, the inclusion of any manuals in the applicant's bid constituted an excess factor which ought not to have been taken into account during evaluation.

 

Kemsa says that Addendum No.1 only removed the manuals and materials certificates from the mandatory preliminary examination requirements contained in Section I of the tender document.

Kemsa further contends that all bidders were required to include comprehensive manuals and materials certificates in response to the specifications and bills of quantities contained in the tender document.

"Kemsa emphasised that bidders ought to comply with technical specifications provided in the tender document and this in the board's view calls for a determination of why technical specification of a tender are an important factor to a procuring entity," the board observed.

Kemsa chief executive officer Jonah Manjari said the authority remains firmly committed to follow the rules of procurement and will make every effort to ensure evaluations done do not offend the provisions of the law.

He said the authority will uphold the highest ethical standards and remain champion for accountability and transparency in healthcare service delivery.

Manjari said the medical supply chain provider will continue to uphold national values.

“In fulfilling our mandate, it is important to uphold fair play and this means that we encourage healthy competition in our processes,” he noted.

The ruling brings to an end weeks of sharp criticism against Kemsa and reaffirms the authority's adherence to best practice in procurement.

Edited by A.N

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