Local firms fear being locked out of IEBC’s ballot paper tender

Local firms have protested against the electoral body’s requirements that might lock them out of a multibillion-shilling tender to supply ballot papers for next year’s General Election.

The Independent Electoral and Boundaries Commission’s (IEBC) rules include a bank guarantee of Sh10 billion, a big hurdle for local companies wishing to bid.

In a newspaper advert on July 14, IEBC also ruled out joint ventures, a vehicle that has allowed many local firms to ride on and win tenders.

The requirement was introduced even though the tender document indicated that local content will represent a minimum of 40 per cent of the total tender sum quoted, said some firms, which did not want to be named for fear of antagonising IEBC.

During a pre-bid conference, IEBC clarified to bidders that the 40 per cent local content rule included using a local freight carrier, customs duty payments, local clearing and local transport.

Sh20m tender security

Another requirement is that bids must include a tender security of Sh20 million valid for 210 days, for the date of opening the tender. IEBC required Sh5 million in 2017.

“Tender security should be in the form of a bank guarantee. All payments are made to the Independent Electoral and Boundaries Commission,” the tender document said.

In June, activist Okiya Omtatah sued IEBC, accusing it of planning to single-source ballot papers for next year’s polls.

He sought orders to stop IEBC from extending a framework contract it reached two years ago with De La Rue Kenya EPZ Ltd until his case is determined.

He wants the court to compel the Wafula Chebukati-led IEBC to disclose the minutes of a meeting that resolved to abandon restricted tendering in 2019 in favour of direct procurement.

This was after IEBC single-sourced a contract to print ballot papers for by-elections held in September 2019, which had also included a provision for referendum materials.

In the deal with De La Rue Kenya, IEBC included the printing of 20 million ballot papers for Sh397.4 million.

In 2017, IEBC picked Dubai-based Al Ghurair Printing for the lucrative deal, but several cases were filed in court challenging it. The agency later spent Sh2.5 billion on the deal.

More voters

The cost of next year’s General Election is expected to rise because of the increase in the number of voters, projected at 22 million, up from 19.6 million in 2017, once two voter registration drives are conducted. There is also a provision for more ballots if a referendum is approved.

Bidding for the international tender to supply ballot papers closes on August 13.

IEBC says it will not allow sub-contracting, outsourcing, a joint venture between a Kenyan and foreign company or a consortium between local manufacturing companies, conditions that appear to contradict the evaluation criteria.

IEBC also wants to see an ISO 14298 Security Certification, which might work against local printers.

The conditions appear to be difficult for Kenyan firms, after Mr Chebukati indicated that the agency would have preferred local dealers as this would reduce the cost of printing.

In November last year, Mr Chebukati told a TV station that a local printer would be a better option.

“If all our stakeholders can agree we do ballot papers locally, we can reduce the cost significantly,” he said.

On Monday, IEBC official Tabitha Mutemi urged the aggrieved firms to address their reservations directly to the agency, saying they were open and transparent. But she stressed the need to safeguard the integrity of elections.

“Elections in Kenya are operationally involving. Vendors for any strategic materials should have the capacity to deliver. In fact, Sh10 billion is the bare minimum as evidence of a credit line due to the logistical complexity and uncertain ordering patterns,” she explained.

“There were incidents in 2017 when, due to limited capacity, vendors couldn’t deliver just a few days to elections.”

Security printers

She said the tender in question is for qualified eligible security printers, not for any printer.

“There is a local tender closing on the fifth where IEBC has requested a Sh1 million tender security and a Sh10 million credit line,” she said.

The electoral agency entered into a deal for tender No. IEBC/DP/02/2019-2021 with De la Rue on September 20, 2019, after abandoning a restricted tender.

The award was on “as and when required” for a period from October 2019 to the end of 2021, suggesting that IEBC had factored in a possible referendum by the end of this year.

And in another separate contract for tender No. IEBC/02 (B)//2019-2021 for the supply and delivery of forms 35A on an A3 paper, the commission seeks to acquire at least 41,000 results declaration forms at Sh383 per page.

In his response at the time, Mr Chebukati said four firms – Ellams Ltd, Sintel Security Solutions Ltd, Hills Converters (K) Ltd and Kenya Literature Bureau – had applied.

Preliminary evaluations

Only Ellams was found to be responsive in preliminary evaluations but was knocked out for allegedly failing to pass the technical stage.

Last month, IEBC issued timelines for the General Election under which December 9, 2021 will mark the end of fundraising by political aspirants, eight months before the polls.

Parties will conduct primaries from April 16 to April 22 and the names of selected candidates will be submitted to IEBC by April 9.

IEBC will gazette the names by April 16 with other nominations for Senate (May 30-June 2), National Assembly (May 30 to June 1), woman representative (June 3 to June 6), gubernatorial (June to 10 June 10) and county assembly (June 2 to June 10).

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