The Uganda National Roads Authority (UNRA) has sparked outrage over a controversial procurement deal as it nears the end of its mandate before being returned to its parent ministry. A UGX 57 billion disparity between the awarded contract and the lowest bid has raised concerns of fraud, favoritism, and procedural anomalies in the award of the Kihura-Bwizi-Rwamwanja-Mpara road project in Kyenjojo District.
The Controversial Deal
UNRA has awarded the USD 150 million (approximately UGX 568 billion) contract to Arab Contractors, a firm that ranked third in the evaluation process. This decision overlooked the lowest and second-lowest bidders, Lankaran Yol Tinkinti OJSC in a joint venture with UCA Insaat (UGX 448.8 billion), and Dott Services (UGX 503 billion). Arab Contractors’ bid was UGX 57 billion higher than the lowest bid, sparking allegations of favoritism and procedural violations.
Red Flags in the Procurement Process
The award raised eyebrows as Arab Contractors failed to meet several key requirements, including:
- Notarized powers of attorney
- Certified audited financial statements
- Inclusion of key equipment, such as wheeled loaders
Further suspicion arose when the bid amount by Arab Contractors matched UNRA’s estimated project cost to the last decimal, suggesting potential insider influence. Allegations have also emerged that a powerful minister may have played a role in securing the contract for Arab Contractors due to their connections.
