After giving Arab Contractors, a company that placed third in the evaluation process, a USD 150 million (UGX 568 billion) contract for the Kihura-Bwizi-Rwamwanja-Mpara Road, the Uganda National Roads Authority (UNRA) is facing growing public indignation. Allegations of partiality, irregularities in procurement, and possible fraud have been raised in response to the decision, which coincides with UNRA's impending return to its parent ministry.
The long-awaited 105-kilometer road project in Kyenjojo District, a crucial transportation corridor promised to nearby communities, is the subject of the contentious contract. However, the UGX 57 billion difference between Arab Contractors' offer and the lowest bid has shocked industry watchers and competing bidders.
A joint venture between Lankaran Yol Tinkinti OJSC and UCA Insaat placed the lowest bid at UGX 448.8 billion, followed by Dott Services at UGX 503 billion. Concerns about manipulation and non-compliance were raised when UNRA chose the third-place bidder at UGX 568 billion, even though both were ranked higher than Arab Contractors.
Several concerning issues have been brought to the attention of stakeholders and oversight bodies:
Notarised powers of attorney are missing
Insufficient certified audited financial records
Not including essential equipment, such as wheeled loaders
Arab Contractors' bid matched UNRA's internal estimates to the last decimal place, raising suspicions about pricing and potential insider influence
Critics contend that the firm should have been disqualified during evaluation due to these irregularities.
The Inspector General of Government (IGG), the Solicitor General, and the PPDA received formal protests from the top-ranked bidders. The review team, headed by Benson Turamye, allegedly ignored important issues despite the IGG and Solicitor General directing PPDA to conduct an investigation. This led to allegations of bias and neglect of duty.
The contract continued without any remedial action, undermining trust in oversight organisations.
Now, the disgruntled bidders are getting ready to file a lawsuit. The Kyenjojo road project, which has already been postponed for years, may encounter additional difficulties if legal action is taken. In addition to facilitating access to markets, social services, and refugee integration in Rwamwanja, the route is essential for tying together agricultural communities.
Any further delays run the risk of impeding economic growth and eroding public confidence in advance of upcoming infrastructure projects.
Concerns regarding systemic procurement flaws are heightened by this scandal, which occurs as UNRA gets ready to return to its parent ministry. The dispute draws attention to more general issues with Uganda's public contracting system, such as apparent internal meddling and gaps in transparency.
Both the contractor and the residents of Kyenjojo must wait to see whether accountability wins or the award stays the same as the conflict heats up.
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