TIP Asks PIA to Cancel Tender for Leasing Planes
ISLAMABAD: Pakistan International Airlines (PIA) has been requested by Transparency International (Pakistan) to review the tender of getting two aircraft on lease as it is against the PPRA rules.
The chairman & CEO Pakistan International Airlines has been told that the tender mentioned the specific model and manufacturer of the aircraft which was a violation of open competition as embedded in the PPRA Rules. The reason the PIA gives that it has trained pilots for those aircraft has also been questioned because there is no aircraft available in the fleet of the specifications mentioned by PIA in the tender.
TI-Pakistan says that it has examined the PIA clarifications that PIA has trained pilots and engineers type rated on Boeing 737 aircraft and 777, as quoted below.
“PIA has opted for Boeing 737 aircraft because PIA has trained pilots and engineers type rated on Boeing 737 aircraft and any additional crew requirement will be easy to fulfil due to availability of trained instructors. Mentioning of the B-737 aircraft is, therefore, covered under the relevant clauses of PPRA rules. PIA had signed an agreement with Boeing Co. for purchase of five additional Boeing 777 family aircraft to be delivered in 2015. A tender for the lease of two Boeing 777 aircraft had been floated. These aircraft are a bridging arrangement to fill the immediate requirements as envisaged in the Fleet Replacement Plan 2020.”
TI-Pakistan’s letter says that the statement of PIA that mentioning of the B-737 aircraft is, therefore, covered under the relevant clauses of PPRA rules in the Supreme Court is a wrong and misleading statement by PIA under Rule No 10, PPR Rule No. 10 which says: Specifications shall allow the widest possible competition and shall not favour any single contractor or supplier nor put others at a disadvantage. Specifications shall be generic and shall not include references to brand names, model numbers, catalogue numbers or similar classifications.
“Another fact as reported by a complainant to TIP in this tender is that PIA owns nine (9) Boeing-777 and that three of these Boeings 777-200LR, 777-200ER and 777-300ER have GE 90 engines. The complainant also pointed out that of over 1000 Boeing-777 sold, more than 900 are fitted with General Electric GE 90 engines. But the two Boeing offered to PIA do not have GE90 engines, for which PIA has no expertise, spare parts, know-how etc.
These 2 aircraft are fitted with Pratt & Whitney 400 engines, and there are only 30-40 Boeing-777s fitted with these engines. Transparency International Pakistan again requests the chairman & CEO to review the tenders, reasons, misleading statements submitted in the Supreme Court in Human Right Case No 49143 – S/2011, and Boeing 777 offered with Pratt & Whitney PW4000 engines for which PIA has no previous experience, and cancel the tender and re-invite the tenders as per PPRA Rules. Transparency International Pakistan is for across the board application of the PPRA Ordinance 2002 and the Public Procurement Rules 2004.”