[kictanet] [Fwd: [Fibre-for-africa] Kenya's fibre optic cable project queried]

Fri Mar 16 00:10:29 EAT 2007

Dear Eric,
I am out of the country but I know this week CCK shall formally introduce
the Standard Bank (financial arranger) to formerly start incorporating the
private sector and other stakeholders.  I think everybody is simply
impatient.

We shall ensure that the processes are followed to the letter.  I am only
asking everybody to see the big picture.  We shall deliver the cable a
head of any other cable in EA.  Teams is a means to an end while all
others are an end to everthing.

Regards

Ndemo.

> Dr. Ndemo,
>
> Thanks for the elaborate explanation for which i have a question and
> caution;
> Q. Why is private sector, Academia and CS not represented on the
> Teams Project Committee given that it is a multi-stakeholder
> approach, correct me if am wrong?
>
> C. As much as am for SPEED, lets make sure that we do all the checks
> and balances because some omissions may end up sticking us in the bud.
>
> Eric here
>
>
> On 14 Mar 2007, at 09:09, bitange at jambo.co.ke wrote:
>
>> Dear Wakabi,
>> Thank you for raising the question on whether the Ministry ignored
>> best
>> practices in procurement.  The answer is No.  There are three approved
>> methods of procurement, that is, open tender, selective tender and
>> single
>> sourcing.  Open tender you have got to adverise and any interested
>> party
>> can bid to supply service.  It is a lengthy procedure (takes a
>> minimum 45
>> days).  It is the most competitive of all.  Logically it applies to
>> goods
>> that can be obtained from many sources.
>>
>> Selective tendering however, is mostly applied to a sitiation where
>> the
>> popolation of the suppliers is limited as in Marine works.  There
>> are two
>> companies, that is, Tyco and Alcatel that have the necesary
>> experience to
>> do such jobs.  There are three other companies, that is, NEC,
>> Fujistu and
>> Global Marine/Huaweii that are usually subcontracted by the larger
>> two.
>> They have limited experience compared to the big two.  Therefore it
>> would
>> have been absolutely non sense and wasteful to advertise for the
>> the works
>> in the local papers.
>>
>> Single sourcing is used where there is only one supplier of service/
>> good
>> or where there is an emergence.  The committee which is tasked with
>> the
>> Teams project comprising the Investment Secretary, Director,
>> Directorate
>> of Procurement, MD Telkom, Solocitor General, and CCK Director General
>> agreed to fast track the project by seeking authority from Treasury to
>> procure Detailed Feasibility Study (DFS), Detailed Technical Study
>> (DTS),
>> and The Mirine Survey (MS)using the later methods and subjected
>> Financial
>> Arrager (FA) tender to an open tender.
>>
>> If you look at the overall project, the four services DFS, DTS, MS
>> and FA
>> are crucial to determining the time the project takes.  Three of these
>> projects DFS, DTS, and FA are complete and once the MS is complete, it
>> would enable us to procure the supply contract with sufficient
>> knowledge.
>> Secoindly, whoever is awarded the contract, will actually immediately
>> procure the material since all the information is available.
>>
>> The argument that the MS is given along with the Suply contract
>> does not
>> hold water since there are many cable networks that have used the
>> model.
>> EASSY for example will not know the material requirement until the
>> MS is
>> complete.  In technical terms they are several months behind Teams.
>>
>> You must understand that there are several interested parties, some
>> who
>> want to make quick bucks.  Ask yourself:  what is it they are
>> seeing that
>> our people can't see?  Consider Germany cable operators bagging in
>> more
>> that 6 billion euros in the last world cup in one month.  My friend we
>> need a serious talk.  Seriously, if I had my way, I would give the
>> entire
>> works as a tunkey project.  By now we could be at least three
>> months to
>> getting connected.
>>
>>
>> Regards
>>
>>
>> Bitange Ndemo.
>>
>>
>>
>>
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>
> Eric M.K Osiakwan
> Executive Secretary
> AfrISPA (www.afrispa.org)
> Tel: + 233.21.258800 ext 2031
> Fax: + 233.21.258811
> Cell: + 233.244.386792
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