CDA clarification

Islamabad: The Capital Development Authority clarified a report published in ‘The News’ on January 20, 2011, regarding contract for the construction of Parliament Lodges, Phase-II.

The CDA spokesman in a statement said that the contract for construction of the project Parliament Lodges Phase-II has been given to the lowest bidder. The spokesman said that that the PC-1 of the project “Construction of 104 additional family suits for the members of the Parliament including 500 servant quarters at Parliament Lodges, G-5/2, Islamabad” was approved by the ECNEC in its meeting held on 21-01-2010 for Rs2908.369 million. The applications for the pre-qualifications of the engineering construction firms registered in no limit with PEC were invited through leading newspapers as well as through CDA and PPRA websites. As a result 38 constructions firms applied for pre-qualification.

The pre-qualification committee approved by the competent authority, comprising member (Engineering), CDA, director general (Works), CDA, deputy director general (Works), CDA, director (Works), CDA, director (QS), CDA and deputy director (Works-1), CDA, which followed the criteria duly approved by the CDA Board for pre-qualification of the firms applicable for the said and other similar projects.

The main components of the criteria are, past experience on similar nature projects, credit worthiness with annual turn over more than Rs2 billion, high rise building construction experience, technical staff of the firm and the requisite machinery and plants.

As a result of the scrutiny by the committee following five firms were pre-qualified including M/s Habib Rafiq (Pvt) Ltd, M/s Mughals Pakistan Pvt. Ltd, M/s Shahzaman Pvt. Ltd, M/s Guarantee Engineers and M/s Associated Constructor. The Committee keeping in view the nature of the project was particular in ensuring that the firms having requisite experience, expertise and financial soundness are pre-qualified. The pre-qualification documents were also counter checked by the project consultants, who declared them in order.

The pre-qualification process and the results were also shared with the House & Library Committee headed by deputy speaker National Assembly. Further, as advised by the Housing & Library Committee all those firms who did not pre-qualify were also intimated the reasons for their non-pre-qualification. The PPRA rules and regulations were followed for pre-qualification in a transparent, open and fair manner. The tenders were invited from amongst the above 5 pre-qualified firms out of which four following firms participated in the bid including M/s Habib Rafiq (Pvt) Ltd, M/s Mughals Pakistan Pvt. Ltd, M/s Shahzaman Pvt. Ltd and M/s Guarantee Engineers.

M/s Habib Rafiq (Pvt) Ltd were the first lowest followed by another internationally reputed firms, M/s Mughals Pakistan Pvt. Ltd. who are the second lowest bidder. The cost difference between first and second bidder is Rs284.00 million. The financial bids were evaluated by a committee headed by member (Engineering) and member (Finance). The committee after due scrutiny had recommended for the acceptance of the lowest bid to the Chairman who approved the same being competent authority in this case.

Usman Manzoor adds: It appears that the CDA failed to comprehend the story published in ‘The News’. The story did not mention that the project has not been awarded to the lowest bidder but quoted CDA’s Member Engineering Abdul Jabbar Malano, as reported in the national dailies, that the project has been awarded at 35 per cent above the estimated rates. The story also did not talk about the mode of bidding of the project. In fact the main theme of the story was that the economy is nose-diving and nearing collapse, if donations and loans are not quickly available, the parliamentarians have succeeded in getting Rs3 billion for new luxury lodges and the prime minister has happily launched the project.

Source: The News