The Uganda National Roads Authority (UNRA) concealed information from the Public Procurement and Disposal of Assets Authority (PPDA) leading to a loss of 60 billion shillings.
While the consultant on the road had made a report and quoted the cost increments that would be needed to complete the increased scope of civil works on Tororo-Mbale and Mbale-Soroti roads, the report was never made available to PPDA.
Initially, the cost of reconstruction of the two roads was 30.5 billion shillings for Tororo-Mbale road and 46 billion shillings for Mbale-Soroti road. Gibbs Africa Consultancy suggested an increase to 40 billion shillings for Tororo-Mbale road and 64 billion shillings for Mbale-Soroti road.
But in a letter to PPDA, the then Executive Director Eng. Ssebuga Kimeze quoted 108 billion shillings for the Mbale-Soroti road and 63 billion shillings for the Tororo-Mbale road.
Ideally, UNRA was supposed to do a fresh procurement due to the capacity of increased work. PPDA Executive Director, Cornelia Sabiiti says the authority insisted that they were under pressure from the president to have the work done and finished thus no time for fresh bidding.
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The PPDA Act requires all government institutions and agencies to have price variations and addendums of contracts beyond 25% evaluated and approved by the PPDA and the Solicitor General, but UNRA flouted this.
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Other information concealed from PPDA was the lack of a road design at the time of procurement for civil works and consultancy services, as well as the time when the contractor was set to begin work.
The road design which took more than two years to be completed was the main reason for the addendum of increased scope of work, as well as price variations and prolongation costs totaling to 30 billion shillings.