BPC goes for tender process

We often noticed the deserving candidates who offered handsome bids for tender but did not compromise with quality were not offered the contract

It is good to know that, for minimising massive losses, the Bangladesh Petroleum Corporation (BPC) has finally decided to import oil through inviting tender instead of G2G system. It is surprising that the BPC took long 13 years to realise that under the G2G system for importing oil, the state-owned organisation consistently has been incurring losses and this should change.
According to a report published in this daily yesterday that in the FY2011-12, the BPC faced the highest losses ever, Tk105.52bn for 5.18m tonnes of oil. But in the FY2003-04, the last year when it procured oil floating tender, it lost only Tk9.6bn on 3.52m tonnes. It is better late than never and we welcome the decision of the BPC for going back to the days of tender.
But why the G2G system did not work? Similar thing happened in exporting manpower also. Through the existing G2G system, manpower exports actually slowed down and the government now has framed G2G Plus system incorporating private recruiting agencies in the process. Besides the other, one pertinent answer to this question might be that in general people who work for the government do not often own the government’s work as their own work for which many sectors are in a state of quandary.
But there are some weaknesses of floating tender. In our country we quite often noticed the deserving candidates who offered handsome bids for tender but did not compromise with quality were not offered the contract while a company with low reputation in quality delivery was given the job because its bid was the lowest or paid bribe to the relevant corrupt officials. Moreover, in the participation of local companies, selection of a company was also often made under political consideration.
Therefore, for selecting the right company for the right kind of work is very crucial part of the tendering process. Yet in Bangladesh for selecting a candidate only the lowest bidder is searched for, and this is a process that often does not ensure quality service. That is why while offering tender various matters should be taken into account. And there is no doubt that the whole process has to be transparent and without political influence.
However, in the BPC’s recent attempt to import petroleum products, a total of 16 international organisations have purchased the tender schedule. The government is expecting that the premium rate would be lower this time in procuring a huge quantity of refined diesel and Jet A-1. It is expected that in this process, the BPC does not compromise with quality.

 

BPC goes for tender process

We often noticed the deserving candidates who offered handsome bids for tender but did not compromise with quality were not offered the contract

It is good to know that, for minimising massive losses, the Bangladesh Petroleum Corporation (BPC) has finally decided to import oil through inviting tender instead of G2G system. It is surprising that the BPC took long 13 years to realise that under the G2G system for importing oil, the state-owned organisation consistently has been incurring losses and this should change. According to a report published in this daily yesterday that in the FY2011-12, the BPC faced the highest losses ever, Tk105.52bn for 5.18m tonnes of oil. But in the FY2003-04, the last year when it procured oil floating tender, it lost only Tk9.6bn on 3.52m tonnes. It is better late than never and we welcome the decision of the BPC for going back to the days of tender. But why the G2G system did not work? Similar thing happened in exporting manpower also. Through the existing G2G system, manpower exports actually slowed down and the government now has framed G2G Plus system incorporating private recruiting agencies in the process. Besides the other, one pertinent answer to this question might be that in general people who work for the government do not often own the governments work as their own work for which many sectors are in a state of quandary. But there are some weaknesses of floating tender. In our country we quite often noticed the deserving candidates who offered handsome bids for tender but did not compromise with quality were not offered the contract while a company with low reputation in quality delivery was given the job because its bid was the lowest or paid bribe to the relevant corrupt officials. Moreover, in the participation of local companies, selection of a company was also often made under political consideration. Therefore, for selecting the right company for the right kind of work is very crucial part of the tendering process. Yet in Bangladesh for selecting a candidate only the lowest bidder is searched for, and this is a process that often does not ensure quality service. That is why while offering tender various matters should be taken into account. And there is no doubt that the whole process has to be transparent and without political influence. However, in the BPCs recent attempt to import petroleum products, a total of 16 international organisations have purchased the tender schedule. The government is expecting that the premium rate would be lower this time in procuring a huge quantity of refined diesel and Jet A-1. It is expected that in this process, the BPC does not compromise with quality.