Thorough check on bidding prices urged

JAKARTA (JP): President Soeharto ordered yesterday that the government's procurement team thoroughly check prices offered by bidders of foreign-financed projects, worth more than Rp 5 billion (US$2.2 million).

Rahardi Ramelan, deputy chairman of the National Planning Board, and a member of the procurement team, said after a meeting with the President yesterday that his team has checked the prices of goods overseas.

"But the checks need to be intensified, especially because the prices of several goods have declined substantially," Rahardi said. He was accompanied by Minister of National Development Planning/Chairman of the National Development Planning Board (Bappenas) Ginandjar Kartasasmita.

Citing an example, he said that the price of a diesel power generating plant overseas has declined by 20 percent.

He said the President also instructed the team to give full attention to the technical specifications offered by bidders of government projects.

He said that between Feb. 8 and early this month the team had received tender proposals for 235 projects, valued at Rp 9.6 trillion.

"The team has approved tender requests for 183 projects worth Rp 7.2 trillion but rejected 32 other proposals for Rp 1.3 trillion worth of projects because there are simply no funds for those projects," Rahardi said, giving no further details on other tender proposals. (04)