Raubex challenge of tender award dismissed with costs

A legal challenge by JSE-listed construction group Raubex of a tender award for a Clanwilliam Dam project where the successful bidder's price was a staggering R148.9 million more than its bid has been dismissed with costs.

- Roy Cokayne

The tender was awarded by the department of water and sanitation to Phoenician Group, which submitted a bid of R807 590 184.50.

Raubex Construction submitted a bid of R658 657 543.57 - the lowest and only other bid and said its tender was compliant and R148 932 460.93 cheaper. It claimed Phoenician was not compliant with the mandatory requirements set out in:

Phase 2 of the tender evaluation process dealing with pre-qualification and compulsory subcontracting; and

Phase 3, which dealt with the functionality compliance of the tender requirements, including documentation in support of key personnel.