Publish: 12:23, 26 Feb, 2025

Complications loom over Teletalk's Tk3,000cr 4G project

Three Chinese firms violate tender requirements
Kazi Shohag
Complications loom over Teletalk's Tk3,000cr 4G project
Photo - Collected

Complications have stirred up for Teletalk’s Tk 3,000 crore tender for the expansion of its 4G mobile broadband network, which was issued during the fallen Awami League government.

Although three companies participated in the initial tender, there have been allegations of syndication against them. In addition, allegations of non-compliance with the tender conditions were proven by the tender evaluation committee.

After considering all aspects, the three companies were ultimately estimated ineligible. This halted the expansion of the 4G mobile broadband network at the union level. Later, Teletalk sent a letter to the Bangladesh Public Procurement Authority (BPPA) to seek clarity on the decision regarding the tender.

Now, complications loom over whether Teletalk will reissue the tender to these three companies or exclusively offer the solution to China Machinery.

On the other hand, BPPA stated that it is up to Teletalk’s discretion to invite companies in the new tender, and the Economic Relations Division (ERD) will discuss solutions with the Chinese government accordingly.

Teletalk authorities explained that the preparation for this project began during the fascist Awami League government’s tenure, which was overseen by former state minister for information and communication technology, Zunaid Ahmed Palak. Initially, the project aimed to expand the 4G mobile broadband network to the union level. China is contributing Tk 2,000 crore in this phase, while the Bangladesh government is providing Tk 900 crore.

Under the G2G (Government-to-Government) agreement, only three companies were selected for the project by the Ministry of Finance’s ERD. These companies are China International Telecommunication Construction Corporation (CITCC), Yunnan Construction and Investment Holding Group (YCIH), and China Machinery Engineering Corporation (CMEC).

In this regard, Teletalk's additional general manager (Audit) and spokesperson, Mohd. Shamsuzzoha, told Bangladesh Pratidin, “Due to various irregularities and non-compliance with conditions, the evaluation committee declared the three companies ineligible. Subsequently, a letter was sent to the Bangladesh Public Procurement Authority on February 18, in line with the ERD’s rules, to seek a decision regarding the tender. We are now awaiting their response.”

He added, “The companies were attempting to work as part of a syndicate. To protect national interests, a new tender is being initiated.”

According to Teletalk authorities, the tender, which was issued last September, mentioned that participating companies are required to have at least 10 years of experience and submit a security fee of US$3 million.

Additionally, companies could only propose a single product, and alternative products were not allowed. Each product had to have a unique name and price.

Upon reviewing the submitted tenders, it was found that CITCC and YCIH had failed to deposit the required security fee. They also did not meet the condition of listing a separate name and price for each product.

Furthermore, they violated the rule by submitting combined technical and financial proposals, instead of submitting them separately. Despite knowing that alternative products were not allowed, CMEC listed alternative products from several unknown companies, leaving the door open for the supply of substandard solutions from lesser-known firms.

Sources involved with Teletalk’s tender process have expressed concerns that if these three companies participate again, there could be a risk of providing low-quality products and even greater corruption.

Translated & edited by Fariha Nowshin Chinika

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