EDITORIAL: Contractors should know that tenders are won on merit

Local contractors have for long complained of being overlooked by the government and the private sector when it came to awarding of major contracts, especially in construction and energy sectors.

Wednesday, September 09, 2015

Local contractors have for long complained of being overlooked by the government and the private sector when it came to awarding of major contracts, especially in construction and energy sectors.

They say government prefers foreign firms to local ones. This is both true and false, depending on how one looks at the issue of awarding mega tenders.

First of all, many local contractors lack both financial capacity and the expertise required to undertake big projects. Secondly, most lack the experience that would put them at an advantage compared to foreign firms.

Therefore, it is important for local contractors and the engineers’ bodies to understand that the government or private sector cannot award tenders to any firm for the mere fact that they are Rwandan; you either meet the laid-out requirements or you don’t, no way around it.

Things like having the required capacity, finances and professional staff to undertake the projects cannot be compromised. These are in fact the basic requirements that local firms must meet if they want to win mega government tenders.

The Institute of Engineers and the Rwanda Engineers Council should, therefore, work with stakeholders to help their members improve their skills, as well as form partnerships and joint ventures to increase their chances of winning government tenders. With globalisation, it will be difficult for local firms to work in isolation and hope to succeed on goodwill.

Local engineers should, therefore, stop complaining and support their members to sharpen their skills as they prepare to compete with the best of the world. This also goes for all the other local professionals and professional bodies; there are no shortcuts. It’s a road that must be travelled if local contractors and professionals are to compete with the world’s best.

However, the government should also put in place an affirmative action strategy, where some of the small contracts are reserved for local firms. Promoting local content, supporting homegrown professionals and entrepreneurs, are essential in growing a country’s private sector and, by extension, the economy.