THREE companies with highest political connections have corruptly been awarded the tender to procure oil for Zambia without following normal tender procedures, making the current evaluation process expected to be held this month as mare formality.
One of the companies was introduced by the son of a leader; another was brought and introduced by a well known businessman in the Banking sector.
According to Investigations, the tender of oil supply attracted 15 companies and 14 qualified after one supplier was disqualified on the basis of late delivery of bid submission, but three companies represented by powerful political interests including one notorious banker who funded the PF elections campaign have reportedly been awarded the contract.
Three big companies Dunvor of Switzerland, Dalbit of Kenya and Glencore of United Kingdom are among the bidders for the contract of the supply of oil. One company is alleged to have promised government a saving of US$40 million which offer has been accepted and is being worked into the persuasion process. Competitors have questioned the morality behind the offer to government, saying the oil company was not being genuine in the manner it was conducting its business using patronage formulas.
Competitors say the trading company had no control of oil prices on the international market and could not determine and fix oil which was controlled by OPEC. The source also revealed that another company which did not bid for comingled feedstock oil which was a bid requirement also known as Murban Crude as per requirement had successfully been shortlisted to be among the three possible suppliers for the period 2012-2014. T
he sources who attended the tender opening on 23 March, said some of the prominent bidders which included a company that had previously been single sourced tendered for diesel as a finished product at US$1, 191.20 per metric tonnes and petrol at US$1,372.46, with other companies not offered the same condition. Other companies that have tendered, Agipol Africa quoted diesel at US$1, 261.01 and petrol at US$1, 367.45, Addax Oryxl tendered for diesel at US$1, 252.49 and petrol at US$1, 468.56.
Trafigula tendered for diesel at US$1,304.70 and petrol at US$1, 418.56, IPG tendered for diesel at US $1, 420.66 and petrol at US $1, 554.71 and Kenol Kobil tendered for diesel at US$1, 294.53 and petrol at US $1, 416.87. A technical analysis of the bids is to be conducted before considering the financial proposals, and that according to the evaluation criteria, the bidder with the lowest price at the financial evaluation stage would be considered the most responsive.
The sources said all companies were required to bid in all the options or categories as required by the law but three foreign companies selectively chose not to and offered the PF government US$40 million. “This company claims that the Zambian government will be able to save money if the tender was offered to them, just because they are being aided by senior PF officials who traveled to Switzerland early this year. That cannot happen because they don’t control the prevailing market prices,” said the source.
The source explained that, for a price evaluation based on using option two of the feedstock combination – 65 per cent Murban Crude and 26 per cent Gasoil and nine per cent Naphtha, the three other companies would have been disqualified. “Having seen the list of successful bidders, to our disappointment, we have also noticed that a United Kingdom oil company has joined in the bid by some businessman from the Banking and Financial Sector. This is the company which was awarded a controversial energy bid under the Mwanawasa regime through a named businessman,” said the source.
The source said some companies set to be evaluated had created tension in Bolivia and Iran as a result of their conduct in the supply of oil. But government through its Minister of Energy Christopher Yaluma have expressed ignorance interfering in bids and tender procedures saying the whole process was still under scrutiny by the Zambia Public Procurement Authority (ZPPA) before being handed to his ministry. This has forced stakeholders in the oil procurement industry to make a passionate appeal to the Zambia Public Procurement Authority (ZPPA) to seriously scrutinize companies bidding for the same tender to avoid corruption practices which have already emerged. Mercuria, Gunvor, Glencore, Crown Well, Dalbit and Kenol Kobil oil companies have been shortlisted for the evaluation to supply 1 440 000 metric tonnes of oil for the period of 2 years. The rest of the list of companies consists of Trafigura, Addax Energy, VITOL, IPG and Agipol Africa Ltd.
Zambianstar.com
Ken
April 12, 2012 at 7:51 am
Who do you want to be involved.? I have not seen any saga in this article apart from petty suspicion.
shaka
April 12, 2012 at 7:54 am
typical behaviour!! personally have never entertained the ZPPA, Tender board etc.. These are same ass** that have made procuring in companies difficult. The procedure is cumbersome. Most of these suppliers are wealth. Wish companies could purchase stuff using their own means.. bullshit!!!!!
bakabolala imwe
April 12, 2012 at 8:00 am
but zoona things will never rilly change in africa. aba bafikala ama politicians are all the same. they are all after one thing, plunder. fikala fyenu mwaumfwa.
mike
April 12, 2012 at 9:07 am
This was expected from losers
sebele
April 12, 2012 at 9:14 am
Wapya mzi
Tonga Bull
April 12, 2012 at 9:25 am
all these recycled politicians will never change, People like micheal Satan who have been in government since the days after independence are not yet tired of stealing money and they want to continue. abash recycled politicians abash. abash recycled politicians abash.
CB Dweller
April 12, 2012 at 9:52 am
Can someone make me understand where the saga is.
Mulongoti
April 12, 2012 at 9:55 am
Mahtani at it again. Funder of PF govt. This is a very corrupt individual.
Musonda
April 12, 2012 at 9:56 am
Who does not know that UKWA preaches things he does not practice and a such he is a hypocrit? We are yet to see more. This is the action man you voted for, this is the man who rules by the ten commandment, this is the man who is fighting corruption, this is the man with a lot of experience. Hey, people now have more money in their pocket 90 days from the day he was sworn in!!??? THis UKWA is a liar.
wonders never end
April 12, 2012 at 10:45 am
The newly sworn in woman ACC chief should move in to investigate the oil tendering process or should we say winter commission of enquiry was a mere retoric?
Eshu the Comfuser of men.
April 12, 2012 at 12:44 pm
IWE TONGA BULL YO HH WAS YHE ONE WHO OVERSO PRIVATISATION IN ZAMBIA WAT NEW THING WILL HE BRING IF HE BECOME PRESIDENT ALL ARE CROOKS
spin
April 12, 2012 at 12:48 pm
wynter chikala li bolo ukwa is dismantling the little development we built with lies its only natural 2regret voting this lunatics in goverement they ar hungry and want more each day
J'bourg
April 12, 2012 at 12:54 pm
Respect those in authority that is what the Bible says.Say no to evil dealings.
Lm
April 12, 2012 at 1:32 pm
Why not just name them than saying son of a leader, big banker, or whatever. Give us facts not speculations
bashi chalwe
April 12, 2012 at 2:11 pm
Stop persecuting MMD ex leaders coz ur the same!!!! Am not even doubting this en the NRC issue… He who kills using a gun will be killed using the gun so PF be carefu with yo useless Winter and Sichinga…. Young men and women, lets wake up and determine our future. Thez leaders of 2de 4sure wont take us anywhere coz they hav had their tym en will not care about u the youth. PERIOD
zemuntu
April 12, 2012 at 3:19 pm
the article is baseless with no substance, its like a grade 1 article, son of a leader, prominent banker etc then you expect as leaders to start speculating noway. look at how nyasatimes or malawidemocrat reports not this crap. musatanyoko
Me
April 12, 2012 at 7:58 pm
How i wish all you motherf***ers cud change how this how this country is ran instead of being armchair critics. U got the best comments,ideas,insults,solutions..but nothng happening. Zambians u a bunch of losers.
Me
April 12, 2012 at 7:59 pm
How i wish all you motherf***ers cud change how this country is ran instead of being armchair critics. U got the best comments,ideas,insults,solutions..but nothng happening. Zambians u a bunch of losers.
oxmos
April 12, 2012 at 9:22 pm
those are not facts,plz give us news
master
April 13, 2012 at 6:32 am
Iwe tonga bull, HH store from privatisation. You wait we investigate him. Sick and tired of tribalism. Just go and bury yoself with H.H.
master
April 13, 2012 at 6:34 am
Iwe tonga bull, HH stole from privatisation. You wait we investigate him. Sick and tired of tribalism. Just go and bury yoself with H.H.
John Mwamba
April 20, 2012 at 11:44 pm
Read The Post for 20th April 2012 Page 12. ZPPA OFFICIAL QUERIES TIMING OF OIL REPORT. What do you observe when you compare the story with this rumour as reported in Tumfweko & zambianstar.com