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2 blacklisted contractors join bidding

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2 blacklisted contractors join bidding

Post by Guest on Fri Oct 01, 2010 2:19 pm

TWO World Bank-blacklisted construction firms have joined four other contractors in bidding for the Japan-assisted P706-million Plaridel Bypass Road project in Bulacan.

For further details on the story, click here.

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Re: 2 blacklisted contractors join bidding

Post by jcolas on Sun Oct 03, 2010 7:36 pm

TWO World Bank-blacklisted construction firms have joined four other contractors in bidding for the Japan-assisted P706-million Plaridel Bypass Road project in Bulacan

The two, C.M. Pancho Construction and Cavite Ideal International Construction and Development Corp., were allowed to bid since the Japanese government, which is co-funding the Plaridel project, had not blacklisted the two, said Public Works Undersecretary Romeo Momo. I am a little bit puzzled with this statement as Section 4 of the IRR explicitly provides that the IRR shall be observed in any procurement activity that is covered by a treaty or International or Executive Agreement; and when their is conflict between the IRR and the Executive/International Agreement, the IRR shall prevail. Ergo, when the two were blacklisted by the Government of the Philippines, then they are not allowed to join in any procurement activity that is under the GOP. This deal should be meticulously guarded by the filipino people. I smell something fishy in this transaction Sir Wapolnic.

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Re: 2 blacklisted contractors join bidding

Post by RDV @ GP3i on Mon Oct 04, 2010 7:51 am

jcolas wrote:TWO World Bank-blacklisted construction firms have joined four other contractors in bidding for the Japan-assisted P706-million Plaridel Bypass Road project in Bulacan

The two, C.M. Pancho Construction and Cavite Ideal International Construction and Development Corp., were allowed to bid since the Japanese government, which is co-funding the Plaridel project, had not blacklisted the two, said Public Works Undersecretary Romeo Momo. I am a little bit puzzled with this statement as Section 4 of the IRR explicitly provides that the IRR shall be observed in any procurement activity that is covered by a treaty or International or Executive Agreement; and when their is conflict between the IRR and the Executive/International Agreement, the IRR shall prevail. Ergo, when the two were blacklisted by the Government of the Philippines, then they are not allowed to join in any procurement activity that is under the GOP. This deal should be meticulously guarded by the filipino people. I smell something fishy in this transaction Sir Wapolnic.

Just a correction, jcolas.

Sec. 4.3 of the IRR provides that: "Unless the Treaty or International or Executive Agreement expressly provides use of foreign government/foreign or international financing institution procurement procedures and guidelines, this IRR shall apply to Foreign-funded Procurement for goods, infrastructure projects, and consulting services by the GOP." In other words, if the treaty or international agreement expressly provides that the foreign government/foreign or IFI procurement procedure shall be followed, then our IRR will not apply. In Abaya vs Ebdane, the Supreme Court has ruled that a Loan Agreement would fall under Executive Agreement. If the loan agreement between the GOP and the Japanese government or maybe JICA provides that the procurement procedure of JICA will aplly, then our IRR will not apply. The reason, therefore, that the 2 contractors blacklisted by the WB were allowed to participate in the bidding process for that Japan-assisted project is because Japan's procurement procedure may not have a provision similar to our own IRR that a bidder blacklisted by foreign government/foreign or international funding institution, whose blacklisting rules have been recognized by the GPPB, cannot participate in our bidding process.

Of course, it is our desire that our IRR should be adopted, instead of the procurement procedures of these foreign government/IFIs, for their foreign-assisted projects, particularly those foreign loans (unlike grants) because we will be paying for those loans anyway so we should be adopting our our procurement procedures instead. We should find our IRR, in that sense, much stricter than theirs for why would these WB-blacklisted companies allowed to participate, unless their blacklisting orders have already expired?
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Re: 2 blacklisted contractors join bidding

Post by jcolas on Mon Oct 04, 2010 5:09 pm

Of course, it is our desire that our IRR should be adopted, instead of the procurement procedures of these foreign government/IFIs, for their foreign-assisted projects, particularly those foreign loans (unlike grants) because we will be paying for those loans anyway so we should be adopting our our procurement procedures instead. We should find our IRR, in that sense, much stricter than theirs for why would these WB-blacklisted companies allowed to participate, unless their blacklisting orders have already expired?

That is my beef why I concluded that something is fishy. Another thing Sir RDV is that, our negotiating panel should have explained in writing why their is a need that it should be the treaty/international/executive agreement that should prevail. Pero sa pahayag ng Undersecretary, para bagang we acceded to the treaty without impressing the other side that it should be the IRR that should prevail in as much as it is the filipino people who will pay for the loan. But thank you anyway for the clarification, sir.
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