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Procurement watchdog clears SGR diesel tender
Standard Gauge Railway Passenger Train from Mombasa crosses the Voi town in Taita Taveta County in this photo taken on January 8, 2023. PHOTO | KEVIN ODIT | NMG
The procurement watchdog has cleared a Kenya Railways Corporation (KRC) tender for the supply of diesel for the Standard Gauge Railway (SGR) locomotives after it dismissed an application by Vivo Energy for review.
The State corporation had awarded the one-year tender for the supply of automotive gas oil to two firms but it was challenged by Vivo Energy Kenya Ltd, which was knocked out at the technical evaluation stage.
The Public Procurement Administrative Review Board, however, dismissed the application, stating the company did not satisfy all the mandatory requirements of the tender.
“It is the finding of the board that the applicant did not meet the requirement of the tender document on pagination and the failure cannot be termed as a minor deviation,” the board chaired by Hussein Were said.
The tender was advertised on March 21 and was later extended and eight companies submitted bids. Tenderers were required to meet all 23 mandatory requirements to proceed to the technical evaluation stage.
Five of the firms were knocked out as non-responsive and three proceeded to the next stage, among them Vivo Energy.
The committee later recommended Dalbit Petroleum Ltd to supply Mombasa Port Reitz depot at the prevailing ERC prices at a discounted rate of Sh5.00, being the bidder with the highest discount rate.
Galana Oil Kenya Ltd is to supply fuel to the Nairobi SGR depot at the prevailing ERC prices at a discounted rate of Sh1.12, being the highest bidder with the highest discount rate for Nairobi. But Vivo Energy challenged the award and asked the review board to re-evaluate the tender.
According to Vivo Energy, it was informed of being unsuccessful because it did not provide a valid Kenya Pipeline Company (KPC) certificate and the tender had inconsistent pagination.
