Thar coal contract: SHC orders re-evaluation of complainant’s bid

Gives Sindh Engro Coal Mining Co 15 days for decision.

KARACHI: The Sindh High Court (SHC) has directed Sindh Engro Coal Mining Company (SECMC) to re-evaluate the bid offered by Reliance Consultancy and Engineering Works Limited for the award of a contract for the open cast lignite mine of Thar block-II.

Earlier on January 27, the court had granted a stay, barring SECMC from awarding the contract to those companies, which were allegedly less competent.



Reliance Consultancy had made the provincial chief secretary, secretary of Coal and Energy Development Department, Thar Coal Energy Board and SECMC, respondents in the case for not considering the company’s bid for the contract.

Reliance told the court that SECMC, which holds around 50% stake in the Sindh government’s coal exploration project, had sought bids from contractor companies for the open cast lignite mine of Thar block-II.

The plaintiff claimed that it had enough financial and technical capability and experience to undertake projects in Thar and had
submitted required documents along with six other contractors for pre-qualification. The company later received a letter about its qualification.

However, it alleged that the defendant was now going to offer the contract to some other company, which had less financial and technical capability.

During the hearing on Thursday, Sindh government’s law officer Qazi Majid Ali suggested that the matter can be disposed of in terms of Clause C of the plaint, which suggested a re-evaluation of the plaintiff’s bid in accordance with the requirements of the Request for Proposals (RFP).

The plaintiff’s lawyer also gave his consent on behalf of his client, which had no objection if the re-evaluation was carried out.

SECMC’s lawyer Omer Soomro told the court, headed by Justice Muneeb Akhtar, that he also had similar instructions from his client and he had no objection in this regard.

“In view of this position, let the defendant 4 (SECMC) evaluate the bid of the plaintiff strictly in accordance with the requirements of RFP and decide the same by means of a well-reasoned and spoken order within 15 days from today,” ordered Justice Akhtar.

The bench also told the SECMC’s lawyer to submit a copy of the order along with a statement regarding any order to be made.

The case has been fixed for next hearing on February 25 for further directions.

Published in The Express Tribune, February 7^th, 2014.

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