Why PPAB Revoked Multi-Million Shillings Security Tender At KPLC

By The Weekly Vision Reporter

A multi-million shillings security tender at Kenya Power & Lightning Company (KPLC) has been cancelled by the Public Procurement Administrative Board. KPLC had invited security firms to participate in tender No. KP1/94.2/OT/043/SS/23-24 for the provision of guarding services at the power utility company premises countrywide. Of the 34 firms that sent in bids, only 30 met the criteria to proceed to the technical evaluation stage. 

After careful scrutiny an assessment was made of the tenderers to establish their membership in professional security bodies and to verify the competence of key personnel as well as their physical presence in the office. Following a thorough evaluation process, the evaluation committee advised awarding the tender to 19 firms. The annual cost for this contract is Ksh. 898,934,841.60, exclusive of VAT, effective for a period of two years. 

The signed professional opinion dated February 12, 2024, from Dr. John Ngeno, the general manager of supply chain and logistics, supported the evaluation committee’s recommendation. Subsequently, on February 16, 2024, the accounting officer confirmed his agreement with Mr. Ngeno’s professional assessment. Seeking a reconsideration of their bid for the security tender, Tofada Security Services formally applied for a review on March 8, 2024, urging the board to direct the evaluation committee to conduct a fresh evaluation. 

The tender submitted by Tofada was invalidated because it did not adhere to the requirement of completing the confidential questionnaire and failed to disclose the complete shareholding information.  Tofad’s bid was dismissed by the evaluation committee during the technical evaluation stage, but it was subsequently revealed that the company had an active security contract with Kenya Power worth Ksh. 4 million, employing 195 security personnel. 

The ruling reads, “The board therefore finds that the respondent’s evaluation committee did not properly disqualify the applicant from the subject tender.” The board has taken the decision to invalidate the letter of notification, which was dated February 19, 2024. This letter has been sent to both the successful and unsuccessful tenderers.

As a result, the board has directed that Tofad’s tender be reassessed alongside all the other tenders that successfully progressed to the technical evaluation stage. The board set a deadline of 14 days for the completion of this reevaluation process.