The Supreme Court has yet to grant a request from the losing bidder for a court-appointed audit of the $23 million contract for the Blue Hills reverse osmosis plant that was granted to Consolidated Water, The Tribune learnt yesterday.
Philip Beneby, assistant general manager of business development for the Water and Sewerage Corporation, said Biwater International had called for a court-appointed order to conduct an internal audit of the bidding process, but no order had been issued.
Explaining the Corporation’s position on the matter, which is currently before the courts, he said Biwater had received its approval in principle for the Blue Hills contract, but it had been made clear that its award was subject to Cabinet approval. This was not forthcoming.
Mr. Beneby said the Corporation expected ground breaking ceremonies for the Blue Hills reverse osmosis plant to occur in a few weeks’ time.
To finance the Blue Hills reverse osmosis plant, Consolidated Water earlier this year raised $10 million in bond financing from Bahamian investors. It is also planning to raise a further $10 million through a Bahamian Depository Receipt (BDR) offering, set to take place in the coming weeks.
UK-based Biwater International, which was the runner-up to Consolidated Water in the bidding for the 20-year contract, filed an application for a Judi-cial Review of -the award with- thee” Supreme Court on March 10. Consolidated Water is not a party to the action.
In the first instance, Biwater International is seeking a Court Order that overturns the Consolidated Water award and instead hands it the Blue Hills project. Failing that, the UK company and its Bahamian subsidiary, Biwater Bahamas, “are seeking an order from the court awarding compensatory and exemplary damages to them “.
In an earlier interview, Bradley Roberts, minister of works and public utilities, said Consolidated Water was chosen over Biwater “because in the evaluation of our consultants, and in the judgement of the fine people at the Water and Sewerage Corporation, they felt that Consolidated on balance was the better company. And therefore they were selected”.
Abraham Butler, the Water and Sewerage Corporation’s general manager, yesterday confirmed that the Biwater action remained before the courts.
Meanwhile, Consolidated Water was making progress as it moved forward with the Blue Hills reverse osmosis plant. Mr Butler said that by autumn 2007, Water and Sewerage would be able to provide a greater supply of potable water to clients and would be looking to expand its customer base.
With a number of subdivisions in New Providence not hooked up to the city’s water supply, Mr Butler said the Corporation was looking to supply those residents with water, as well as increasing its cash flow and raising its revenue.
Source: Yolanda Deleveaux, The Tribune
