Regular Biznews visitors may be pleased to learn that popular small business blogger Irvine Green has decided to also cast a discerning eye across the tender business. He’s got the knack for spotting money-making opportunities, but he also knows a scam when he sees one. At the very least, Irvine will highlight for you the deals that might tempt the corrupt – as a public service to taxpayers. Irvine grew up listening to business conversations at the dinner table. He picked up a lot of tips from his father, whose job entailed completing tenders. Irvine has never shaken the urge to stop perusing tender lists. As he will show you in his new blog “On Government Business”, tender adverts can be a minefield of interesting, and even entertaining, information. – JC
By Irvine Green
Welcome to the first appearance of the bi-weekly blog I call ‘On Government Business’. Basically it’s coverage in brief of some of the most recent tenders issued by Government (National, Provincial and Municipal), calling for supplies of items as disparate as fingerprint readers (National Govt) to outsourcing engine overhaul services (municipal level).
One thing these blogs will NOT be is a current listing (tender lists are available online and in newspapers). What the blog IS is news of tenders that I find could be contrary to known Govt policy, or that could have loopholes in them that might lead to corruption (seeing as similar services etc have fallen foul of investigation previously). These I mention as ‘red flagged’.
If nothing else – the blog will give readers some insight as to what is going on in areas well beyond their place of residence and what it is municipalities etc go tendering for, beyond the obvious (grass cutters, buses, glass and such). And keep you abreast of where and on what ‘head office’ (National Govt) is spending our money.
Rather than discuss my tender coverage policy in depth, you’ll see with time as you follow this blog what my thinking is and why I might mention ‘abc’ Municipality etc, or requests via tenders for certain ‘xyz’ products/services.
I’ve been interested in and reading tender news since I was a little boy – over five decades ago – having been introduced to tenders (and the concept thereof) as a result of my dad completing tender documents for the company he worked at. I also compiled a weekly listing of interesting tenders in the electronics field while assistant editor of Computronics in early 1980.
National Government & Departments
In a bid to tighten up on admin, plus handle the ever growing number of workers, the Unemployment Insurance Fund has tendered for a Service Provider to supply, install and maintain signature pads with embedded thumbprint to enable electronic signing of UIF applications.
Have you heard of ‘Broadband Infraco Ltd’? No? Neither had I until I read this. (This company is a State-owned Enterprise – and we know how THEY end up performing…! – that provides wholesale long-distance high capacity connectivity to other licensed operators). The current network of 13 600 km fibre cable serves to provide national and international connectivity between the major metropolitan areas and other selected (sic) locations. Broadband Infraco has invited suitably qualified and experienced service providers to tender for Aerial Fibre (whazzat?) Installations, mainly in Metro areas. Ditto for security (physical) and cleaning services. There’s no indication who the shareholder of Broadband Infraco is, so being a Ltd company I presume it’s Govt itself (like it holds all of SAA, Eskom, Transnet etc).
SANPARKS (SA National Parks) has called for tenders to upgrade various low level bridges, railway bridges, electrical systems, fences and water purification works in different locations in the Kruger National Park. (This tender call was prior to the recent floods that recently caused major damage to KNP infrastructure).
The SA Land Bank has asked relevant service providers to submit a proposal for ‘Design and Supply of Corporate Clothing’.
The Government Employees Medical Scheme (GEMS) requires a suitably qualified and experienced service provider to bid for ‘Rendering of Emergency Medical Evacuation Dispatch Services’. (I’m red flagging this service as open to questionable practices/pricing).
Transnet has issued a request for proposal for various resources for repair of wear and tear to various rail lines on major lines in Gauteng and KZN. There are also tenders issued for erection of concrete poles on the Kimberley-De Aar line and supply and delivery of lighting equipment for sheds in the Port of Richards Bay.
There’s also what I could call ‘a hot potato’ – if they’re not careful – in the Transnet ‘Request for Proposal’ for ‘Provision of Hotel Accommodation Services for business related travel for a period of two years with an option to extend for a further one year’. (This is a red flag item – same reason as GEMS).
The Department of Tourism has issued a bid invitation for ‘Appointment of Service Providers to manage the implementation of Tourism Buddies projects in all nine provinces’ (Sounds interesting. Worth waiting to hear more about in the media I’d say).
And here’s something that needs watching from all angles. You’ll see why. The Education, Training and Development Practices SETA along with National Youth Development Agency (remember their kissing party?) recently put out a bid for proposal for the appointment of a ‘Service Provider for the implementation of the National Senior Certificate Second Chance 2014 project in all nine provinces.’ This project aims to provide an 11 month training course for 4 500 young people from economically deprived areas with high failure rates a second chance to complete the NSC.
Commencing March 2014 and ending January 2015. Great idea, laudable, but here I get worried. The compulsory briefing was set for Feb 14th, 2014. The closing date and time was set for Feb 28th at 11.00 am. Commencement date of the course is March 1, 2014 or thereabouts (by 31 March latest I imagine, but then there’s only 10 mths left and there’s Xmas between Dec 2014 and Jan 2015). Hmmmphhh. And further.. there’s two tender documents…a technical one and a financial one. Fine. But here’s the crunch. The tender submission envelopes must be clearly marked “…Re-Write project – Bid number SCMU – 15-2012/13 (ummmmm, those year dates red flag me…) Finally, the ad states the financial proposal bid will only be opened if the technical tender is found acceptable. Understandable I guess.
Municipal tenders
Remember Pravin Gordhan saying that the use of consultants by Municipalities and Local Govt etc was going to be phased out? Don’t be TOO sure this will be followed to the letter.. if at all.
For example, Klerksdorp Municipality is looking to appoint Professional Service Providers (Consultants) – that’s how they state it in the ad, as transparent as it gets – in fields such as Waste management, Water, Sanitation, Roads and Storm water drainage, Town Planning, Structural and Quantity Surveying and Green Drop water standard compliance, amongst many others…
Then the Municipality of Lepelle-Nkumpi – yep, no typing mistake in case you wondered – (read as Lebowakgomo district) is inviting a proposal for the reviewing of Value Added Tax (VAT). Ummmm, really ? That’s a Govt task if you ask me…! There’s no document/tender fee, no compulsory briefing and NO BEE grading requirement. HIGHLY questionable sez ME. Job/s for pals ?
To close this time around, another Klerksdorp ad, covering nearly 70% of a page of a broadsheet newspaper, is for suitable and experienced service providers (as in outsourcing of work in many areas, one of which is for general repairs to vehicles, where one item is for reconditioning of engines – spelt as ‘Ovahaul’…obviously meaning ‘overhaul’). There’s also a request for supply, delivery AND offloading of electrical cables on an ‘as required’ basis. The problem area for me ? Offloading of the cables.
Then there’s the maintenance and repair of air conditioners (central and wall mounted…) and cash-in-transit management (also Klerksdorp).
I just couldn’t resist mentioning the application for Bookmaker Licenses in the North West Province (reply address in Mmabatho). This ad replaces a previous one which is stated as ‘withdrawn’ (the ad heading says ‘Erratum’ – but they STILL had to pay for the previous incorrect one AS WELL… a waste of taxpayers/Treasury money. Can’t they get it right FIRST TIME?)
See? Reading tenders is not really so boring after all, agreed ? One must just have ones thinking cap on and let the mind take a wider look at what’s being tendered for/bid proposal requested.
Also by Irvine Green on Biznews:
Best blogs 2013: Irvine Green looks back in time at gold, South Africa – and Alec Hogg
Turning a business dream into reality – Irvine’s success started with an outrageous idea
Child’s play: money-making inspiration from small business expert
