Court allows gov’t to proceed with $4.6B GPL network rehab contract

The government can now proceed with the $4.6 billion contract awarded to a Chinese contractor for the rehabilitation of low and medium voltage distribution network for the Guyana Power and Light Inc (GPL) after acting Chief Justice Yonette Cummings-Edwards last Friday discharged an order she had previously made for them to defend the selection.

The order had been granted based on an application by a rejected bidder, Fix-It Depot, which had argued that the contract was awarded to China National Machinery Import and Export/China Sinogy Electric Engineering Co Ltd “in flagrant breach” of the Procurement Act and the bid invitation as it did not meet the tender evaluation criteria.

In arriving at its decision, the court considered the government’s argument that the contract was one aimed at benefiting citizens through the renewal and upgrade of the electricity distribution network, which would include upgrading transformers and meters, which are causing blackouts, line losses, inconvenience and hardship to citizens.

The respondents, listed collectively as the Ministry of Public Infrastructure, Senior Minister David Patterson, Permanent Secretary Balraj Balram, GPL, and the National Procurement and Tender Administration Board (NPTAB) and their representatives, had noted that the government was ready to release the funds to the Chinese group, but for the court proceedings.