- Tender called over a year ago
Sri Lanka is at risk of losing some of the funding provided by donor Asian Development Bank (ADB) due to prolonged delays in awarding a tender for seven Oxygen generating plants for teaching and base hospitals, which was called over a year ago, The Daily Moring learns.
The tender for the supply of the seven Oxygen generating plants was called by the Ministry of Health on 21 September 2023.
It is learnt that the seven generation plants were earmarked to be established at the Anuradhapura, Jaffna, Batticaloa Teaching Hospitals, and at the Ampara, Mahiyanganaya, Embilipitiya, and Kalawana District and Base Hospitals.
It is learnt that a dispute between the members of the Procurement Committee which was appointed to negotiate the tender and a subsequent legal battle between two potential suppliers has dragged out the process, which has threatened to derail the project.
Sri Lanka, like many nations, suffered with inadequate medical Oxygen supply issues during the Covid-19 pandemic, and had to on one occasion dispatch a Sri Lanka Navy warship to India to transfer Oxygen cylinders that were a vital part of Covid treatment of adversely affected patients.
When contacted, Minister of Health Keheliya Rambukwella acknowledged that there was a delay in the process and that the tender board was divided in opinion on certain technical matters. He told The Daily Morning that the donor agency was frustrated with the delays which were occurring at the procurement committee. “With all the delays and disputes the donor agency indicated that they may use the funding for something else,” Minister Rambukwella said.
It is learnt that the tender was eventually awarded to one of the four shortlisted suppliers in January, through a letter from the Additional Secretary of Procurement Y.L.M Navavi of the Ministry of Health. However, the tender has been on hold as another supplier who was shortlisted has taken the matter to Court, it is learned.
With the matter before the courts, it is learnt that time is running out for the ADB provided funds to be utilised, and risks being utilised elsewhere.
Attempts to contact the ADB Project Director Dr Anil Dissanayake regarding the delays and what would become of the funding which was allocated for the seven Oxygen generating plants, failed.