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Yet another controversy erupted between Anbessa City
Buses Enterprise and a fuel supplier in the third
fuel procurement tender. The dispute between the
Enterprise and one of the three bidders, Yetebaberut
Beherawi Petroleum (YBP), arose after YBP offered
the lowest bid but lost the tender.
Anbessa first issued the 340 million Br tender in
May 2006 to procure 12.3 million litres of diesel,
19,400lts of benzene and 180,000lts of engine gear
box and other lubricants. Though YBP offered a lower
price than the other bidders - National Oil Company
(NOC), Shell Ethiopia and Mobile Oil East Africa -
it was not awarded and the bid was re-tendered.
In the re-tender, NOC was awarded to supply the fuel
but Anbessa’s Board rejected the management’s
decision and sacked the General Manager of the
Enterprise, Haileleul Tadesse, claiming there were
flaws in the procedure.
Although NOC filed a lawsuit against the Board for
rejecting the award, Anbessa Buses re-tendered the
procurement a second time. YBP, Shell Ethiopia and
Total participated in the bid while NOC declined to
bid without settling its pending charge. The tender
evaluating committee rejected Shell in a technical
evaluation, according to sources.
The committee revealed to the Board that Total
offered the lowest price for lubricants supply while
YBP offered the lowest price for the fuel supply.
The disagreement that ensued was over the
recommendation of the committee to award both
procurements to Total, as YBP does not have its own
depot in Ethiopia, sources disclosed.
Executives at YBP argue that depot ownership is not
part of the tender specification.
Total has been supplying Anbessa Buses for over 25
years solely.
A senior executive at Total said that his company
does not know the details of the dispute.
However, some are sceptical that the Enterprise is
acting rationally.
“The Enterprise would save over a million Birr if it
awards the fuel procurement to YBP,” said a member
of the Enterprise’s labour union. “We are closely
following the process. If we think it has a problem,
we will appeal.”
The Board, however, has not made its final decision
on the award.
Established in 1943, Anbessa Buses gives transport
services in Addis Abeba and Jimma with its 400
buses. It operates at a loss subsidised by the
government.
Transporters, which used to render services for
Shell, Mobil, Agip and Titak - four names that had
dominated the oil market for over half a century -
established YBP in May 2004 with a subscribed
capital of 21 million Br and paid up capital of 4.5
million Br following disagreements with the
companies.
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