The Uganda National Roads Authority (UNRA) has sparked outrage over a controversial procurement deal as it nears the end of its mandate before being returned to its parent ministry. A UGX 57 billion disparity between the awarded contract and the lowest bid has raised concerns of fraud, favoritism, and procedural anomalies in the award of the Kihura-Bwizi-Rwamwanja-Mpara road project in Kyenjojo District.
The Controversial Deal
UNRA has awarded the USD 150 million (approximately UGX 568 billion) contract to Arab Contractors, a firm that ranked third in the evaluation process. This decision overlooked the lowest and second-lowest bidders, Lankaran Yol Tinkinti OJSC in a joint venture with UCA Insaat (UGX 448.8 billion), and Dott Services (UGX 503 billion). Arab Contractors’ bid was UGX 57 billion higher than the lowest bid, sparking allegations of favoritism and procedural violations.
Red Flags in the Procurement Process
The award raised eyebrows as Arab Contractors failed to meet several key requirements, including:
- Notarized powers of attorney
- Certified audited financial statements
- Inclusion of key equipment, such as wheeled loaders
Further suspicion arose when the bid amount by Arab Contractors matched UNRA’s estimated project cost to the last decimal, suggesting potential insider influence. Allegations have also emerged that a powerful minister may have played a role in securing the contract for Arab Contractors due to their connections.
Protests Ignored
The best-evaluated bidders, including Lankaran Yol Tinkinti OJSC and UCA Insaat, filed complaints with the Public Procurement and Disposal of Public Assets Authority (PPDA), the Solicitor General, and the Inspector General of Government (IGG). Despite their protests, no decisive action was taken.
Although the IGG and Solicitor General directed PPDA to investigate, the review team, led by Benson Turamye, failed to address the concerns, leading to accusations of bias and inaction.
What’s at Stake?
The decision to award the contract to Arab Contractors is expected to spark legal battles, with some bidders planning to seek redress in court. This is likely to delay construction of the long-awaited 105-kilometer road linking Kihura, Bwizi, Rwamwanja, and Mpara in Kyenjojo District, a vital project promised to voters in the area.
The project has already faced significant delays, and this procurement controversy threatens to further derail progress while fueling public distrust in UNRA’s processes.
The Bigger Picture
With this being one of UNRA’s last major projects before transitioning to its parent ministry, the authority’s integrity is under scrutiny. The controversial award underscores a broader issue of transparency and accountability in Uganda’s public procurement system, raising questions about how such irregularities can be prevented in future projects.
The road ahead for both the contractors and the people of Kyenjojo remains uncertain as the dispute unfolds.
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