Lahore Waste Management Company (LWMC) Chairman Malik Amjad Ali Noon has claimed that the previous waste collection contracts with foreign contractors were ill conceived and a forensic report had indicates misappropriation and an estimated loss of Rs6 billion over the period.
He reportedly disclosed during a meeting that inflated guaranteed waste was incorporated in the contracts at 4,700 tonnes per day whereas the report had disclosed that the figure during last year was around 3,800 tonnes.
He said the international contractors were also permitted to submit the performance guarantee of $4 million in installments over two and three years in breach of the original terms and conditions. Additionally, a sum of Rs3 billion as mobilisation advance was given to the contractors whereas such a facility was not disclosed at the time of invitation for prequalification for other potential bidders, he added.
The chairman said the contracts were sustained on inflated cost with incorrect calculations amounting to $2.5 million. Transfer stations were also not built as part of the contract.
Published in The Express Tribune, January 19th, 2021.
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