Favorable IT contract to cost Pakistan Post additional Rs100 million

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ISLAMABAD: Pakistan Post had awarded a contract to run its Centralised Software System for the years 2019 and 2020 at almost double the price to a single bidder, compared to the price of the contract that ended in 2018, reported The Express Tribune.

While previously, the contract ending in 2018 was costing Pakistan Post Rs70 million per annum, the new contract had been awarded at a cost of Rs130 million per annum for two years — 2019 and 2020, claimed the report.

The report claims that Pakistan Post had awarded the project after receiving only one financial bid in an alleged attempt to favour a single bidder. It rejected offers of several other IT firms, including that of the old service provider that had run the IT project for seven years. This will result in a loss of Rs100-120 million to the national exchequer over two years.

Moreover, the established IT players with decades of experience in running IT projects complained that the contract was awarded to a new and unknown entrant called AIMS without proper comparison of experience.

Sources quoted in the media report claim that there was seemingly a deliberate attempt to reject the rest of the technical bids on flimsy grounds to avoid price comparison and allow the remaining one technically qualified bidder to demand the amount as it liked.

They were of the view that if the tender was floated again and was fairly evaluated, a maximum cost of close to Rs80 million would have to be borne, thereby saving the national exchequer close to Rs100 million over the two-year validity period of the contract.

These bidders pointed out that in spite of the complaints against the award of the contract, no inquiry or action had been initiated so far.

1 COMMENT

  1. Sounds like a political tug of war from a Winner and Winner To Be.
    Grounds are win, or don’t let them win.
    Had been an old Postal Services Observer in Pakistan, while comparing with the UPU (Universal Postal Union) Switzerland which arranges voluntary, or nominal charge education, trainings, training updates, meet-ups, of the PMG’s, exchange of reciprocal group exchanges, regionally/internationally with mutual consent worldwide. Pakistan use to be a star in the times when Manual Underwood, Remington manual typewriters were operational, the Post Bank, the philately, the World Post Days anniversaries, the role of post offices when DHL, Fedex courrieer was un-heard of. The licenses to DHL/TCS, Fedex and many were issued by the DG Pakistan Post, HQ. Money Orders, and Fax Money orders were sent.
    I was personally invited to the World Post Day as speaker etc.
    The IT revolution didn’t change the post at all, and the PC came very late. Being member of UPU Switzerland the Post was provided gratis visits, trainings, exchange, technology, networking with colleagues postal administrations, members, and technocrats in Switzerland all at the cost of UPU.
    The Post Office was run in deficits in the past. There were bilateral exchange of delegations worldwide and regional from delegations.
    Todays technological revolution of ICT needs a back ground/understanding of factual position of trends, how to protect the bank account holders, and the post office and run smoothly in competition with licensed courrier companies from the Post Office.
    Suggest this be reviewed closely and a role of availing the services of UPU Switzerland be arranged how technology can help Pakistan with the assets of the Pakistan Post physical infrastructure, human resources, obligations to the people of Pakistan and yet compete with the DHL, TCS, Fedex and many others in Pakistan and save the post from hi-jacking by opportunists/crooks.
    Post provides employment and benefits for retirements etc. It could be a model to the world. Most Posts in the world is privatised, as EU member countries suffering huge losses gave it to private sector. The Federal Government, the Ministry of Information Technology and the UPU should be consented on this. I may volunteer to help this become a reality with no compensation for physical participation, but shall be available when needed. Best wishes, Haroon Rashid

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