The embattled Minister of
Aviation, Princess Stella Oduah, has written to the president to explain her
side of the purchase of N255m BMW 760 cars story.
We gathered that the
President on Tuesday issued query to her to explain her role in the purchase of
the armoured cars. Her defence titled: EXECUTIVE SUMMARY ON THE PROCUREMENT OF
NCAA OPERATIONAL VEHICLES, she wrote: “The Nigerian Civil Aviation Authority,
NCAA, is the statutory regulator of the Nigeria Civil Aviation Industry.
Consequently, the NCAA is
charged with oversight responsibilities over all civil aviation operations in
the country, including safety, security and strict compliance with ICAO
Standards and Recommended Practices, SARPs, and Nigerian Civil Aviation
Regulations, NCARs.
2. Towards the
effective implementation of its statutory regulatory responsibilities,
therefore, it is imperative that the NCAA is fully equipped with highly
specialised tools and facilities, including adequate operational vehicles to
cover all 22 national airports and over 400 airstrips. In keeping with standard
practice, provision is therefore made annually for the replacement of obsolete,
inadequate and unreliable monitoring equipment.
3. In the 2013 budgetary
appropriation, provision was made for the procurement of specialised equipment
(including operational vehicles) to complement and in some cases replace
obsolete ones.
Furthermore, the fact that
NCAA, as the regulator of the industry, often plays host to dignitaries from
ICAO, IATA, US FAA, AFRAA, AFCAC BAGASO, CANSO, ACI and a host of others makes
it necessary to have specialised operational vehicles.
4. With regard to the
procurement of additional operational vehicles (including BMW Security
Vehicles), the following due process was observed:
(I) By letter dated April
15, 2013, NCAA officially requested authorisation from the Federal Ministry of
Aviation to procure 56 operational vehicles through lease financing. This
option was proposed to the ministry to enable the NCAA make 36 monthly payments
based on receipts from Internally Generated Revenue, IGR.
Approval
The Ministry therefore
granted due approval.
(ii)Based on the ministry
approval, the NCAA invited Expressions of Interest from all Banks in Nigeria
for the financing of the said vehicles. EOI was adopted because the procurement
is two sided. First, the financier would have to be selected before the
supplier is determined. This is in line with procurement best practices.
(iii) On May 24, 2013, the
response received from the various banks to the Expression of Interest, EOI,
request was opened publicly and minutes of the opening exercise was duly
documented. During the EOI opening exercise, NCAA got commendation from one of
the Civil Society Organisations, CSOs, approved by BPP who were invited for the
opening exercise.
(iv) The evaluation of the
expression of interests was held on May 31, 2013 during which First Bank Plc,
Union Bank Plc and Stanbic IBTC emerged most responsive. On the June 10, 2013
the above three banks were invited to submit Financial Proposals. Thereafter, First
Bank emerged the highest rated responsive bidder.
(v)Between June 20 and 25,
2013, invoices were received from various accredited motor vehicle dealers
during which only Coscharis Motors Limited quoted for BMW Security Vehicles.
Tenders Board
(vi) On June 28, 2013, NCAA
Parastatal Tenders Board approved the selection of First Bank Ltd for the Lease
Financing as well as Metropolitan Motor Vehicles and Coscharis for the supply
of the vehicles. All necessary approvals were duly sought and obtained accordingly.
(vii) Between July 8, 2013
to August, 12, 2013 various meetings were held with First Bank Ltd, contract
agreement was signed and necessary documentation executed.
Your Excellency is
respectfully invited to note:
(i) The crucial statutory
role of the NCAA in regulating civil aviation operations in the country,
including safety, security and strict compliance with ICAO Standards and
Recommended Practices (SARPs) and Nigerian Civil Aviation Regulations (NCARs).
(ii) The need for NCAA to
be fully equipped with highly specialized tools and facilities (including
operational vehicles) to enable the effective implementation of its statutory
functions.
(iii) The procurement of
specialized operational vehicles is duly provided for in the NCAA 2p 13 (IGR)
Budget and the need for adopting instalment lease payments over 36 months.
(iii) That Due Process was
followed in the procurement of the said operational vehicles.
Please your Excellency my
continued loyally and esteemed regards.
Princess Stella Adaeze
Oduah, OON, Honourable Minister.
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