The Transparency International Pakistan TI (P) on Saturday sent a letter to the Minister for Finance Dr Abdul Hafeez Shaikh, Water and Power Minister Naveed Qamar, Pakistan Resident Mission Country Director Rune Stroem and others regarding allegations by Asian Development Bank (ADB) of procurement of energy saver bulbs at 100 percent higher rates.
TIP Adviser Adil Gilani alleged that the procurement of 30 million lamps under National Compact Fluorescent Lamp (CFL) Project would cost the exchequer an additional Rs 2 billion.
Referring to the PEPCO MD’s letter dated April 26, 2012 on the subject of procurement of 30 million CFLs under National CFL Project funded by the ADB, the TIP adviser mentioned that it had not raised objections on the tendering process of the subject procurement, but it had objected on the discriminatory specifications, which had caused the nation loss of Rs 2 billion.
“TI-Pakistan is of the view that had PEPCO and Asian Development adopted conditions which the World Bank financed project in Bangladesh has used, the exchequer could have been saved from this loss of Rs 2 billion,” the letter said.
Gilani referred to the Asian Development Bank to read the Supreme Court of Pakistan’s judgment in the Rental Power Plants case dated March 30, 2012, where it stated that:
“It is important to note that all the executive authorities are bound to enter into contracts for supplies at the least expense to the public exchequer. Most significant consideration for every department of the Government must be the best economical mode of meeting the public needs.”
In view of the Supreme Court’s judgment, TI-Pakistan advised the ADB and PEPCO to adopt the specifications of the energy saver bulbs, which were incorporated by the World Bank for Bangladesh in forthcoming procurements in Pakistan, which would save half the cost.