A parliamentary question probes the Water Corporation's tendering process for a Coral Bay project, focusing on limited bidder selection, cost increases, and justification for waiving open tendering. The Minister provides explanations citing established processes, scope changes, and the need to minimize disruption to tourism.

AnsweredQoN 22Legislative Council
Asked
3 March 2004
Portfolio
Housing and Works

QuestionView source ↗

Given that on 29 October 2003 the Water Corporation waived the public tendering process for the construction of gravity sewers, pump stations and a wastewater treatment plant at Coral Bay, I ask - (1) Why were bids invited from just four companies while seven other pre-qualified contractors, including four regionally-based specialists, were excluded from the process? (2) Why has the original estimate of $3.6 million for the contract blown out by $700 000 to $4.33 million? (3) Can the minister explain why the Water Corporation would have cited the need to reduce the risk and exposure to adverse publicity and criticism as the reason for seeking the waiver from open public tendering? (4) If not, why not? Hon NICK GRIFFITHS

AnswerView source ↗

I thank the member for some notice of this question. I am advised by the Water Corporation - (1) Consistent with Water Corporation processes, which have been in existence since 1996, tenders were requested from the four best-qualified companies on the infill sewerage panel for completion of these works within the time required. (2) There was no blow-out in the contract. The difference in the pre-tender estimate and the lowest tender price was largely a result of a scope change prior to tendering. (3) The corporation cited the need to minimise adverse publicity and criticism due to the imperative of expediting completion of the contract prior to the commencement of the tourist season, which was necessary as Coral Bay is an important tourist centre. As such, it was important that the construction phase of the project did not cause undue disruption to tourism operators and the public. (4) Not applicable.
(1) Why were bids invited from just four companies while seven other pre-qualified contractors, including four regionally-based specialists, were excluded from the process? (2) Why has the original estimate of $3.6 million for the contract blown out by $700 000 to $4.33 million? (3) Can the minister explain why the Water Corporation would have cited the need to reduce the risk and exposure to adverse publicity and criticism as the reason for seeking the waiver from open public tendering? (4) If not, why not? Hon NICK GRIFFITHS replied: I thank the member for some notice of this question. I am advised by the Water Corporation - (1) Consistent with Water Corporation processes, which have been in existence since 1996, tenders were requested from the four best-qualified companies on the infill sewerage panel for completion of these works within the time required. (2) There was no blow-out in the contract. The difference in the pre-tender estimate and the lowest tender price was largely a result of a scope change prior to tendering. (3) The corporation cited the need to minimise adverse publicity and criticism due to the imperative of expediting completion of the contract prior to the commencement of the tourist season, which was necessary as Coral Bay is an important tourist centre. As such, it was important that the construction phase of the project did not cause undue disruption to tourism operators and the public. (4) Not applicable.
(2) Why has the original estimate of $3.6 million for the contract blown out by $700 000 to $4.33 million? (3) Can the minister explain why the Water Corporation would have cited the need to reduce the risk and exposure to adverse publicity and criticism as the reason for seeking the waiver from open public tendering? (4) If not, why not? Hon NICK GRIFFITHS replied: I thank the member for some notice of this question. I am advised by the Water Corporation - (1) Consistent with Water Corporation processes, which have been in existence since 1996, tenders were requested from the four best-qualified companies on the infill sewerage panel for completion of these works within the time required. (2) There was no blow-out in the contract. The difference in the pre-tender estimate and the lowest tender price was largely a result of a scope change prior to tendering. (3) The corporation cited the need to minimise adverse publicity and criticism due to the imperative of expediting completion of the contract prior to the commencement of the tourist season, which was necessary as Coral Bay is an important tourist centre. As such, it was important that the construction phase of the project did not cause undue disruption to tourism operators and the public. (4) Not applicable.
(3) Can the minister explain why the Water Corporation would have cited the need to reduce the risk and exposure to adverse publicity and criticism as the reason for seeking the waiver from open public tendering? (4) If not, why not? Hon NICK GRIFFITHS replied: I thank the member for some notice of this question. I am advised by the Water Corporation - (1) Consistent with Water Corporation processes, which have been in existence since 1996, tenders were requested from the four best-qualified companies on the infill sewerage panel for completion of these works within the time required. (2) There was no blow-out in the contract. The difference in the pre-tender estimate and the lowest tender price was largely a result of a scope change prior to tendering. (3) The corporation cited the need to minimise adverse publicity and criticism due to the imperative of expediting completion of the contract prior to the commencement of the tourist season, which was necessary as Coral Bay is an important tourist centre. As such, it was important that the construction phase of the project did not cause undue disruption to tourism operators and the public. (4) Not applicable.
(4) If not, why not? Hon NICK GRIFFITHS replied: I thank the member for some notice of this question. I am advised by the Water Corporation - (1) Consistent with Water Corporation processes, which have been in existence since 1996, tenders were requested from the four best-qualified companies on the infill sewerage panel for completion of these works within the time required. (2) There was no blow-out in the contract. The difference in the pre-tender estimate and the lowest tender price was largely a result of a scope change prior to tendering. (3) The corporation cited the need to minimise adverse publicity and criticism due to the imperative of expediting completion of the contract prior to the commencement of the tourist season, which was necessary as Coral Bay is an important tourist centre. As such, it was important that the construction phase of the project did not cause undue disruption to tourism operators and the public. (4) Not applicable.
Hon NICK GRIFFITHS replied: I thank the member for some notice of this question. I am advised by the Water Corporation - (1) Consistent with Water Corporation processes, which have been in existence since 1996, tenders were requested from the four best-qualified companies on the infill sewerage panel for completion of these works within the time required. (2) There was no blow-out in the contract. The difference in the pre-tender estimate and the lowest tender price was largely a result of a scope change prior to tendering. (3) The corporation cited the need to minimise adverse publicity and criticism due to the imperative of expediting completion of the contract prior to the commencement of the tourist season, which was necessary as Coral Bay is an important tourist centre. As such, it was important that the construction phase of the project did not cause undue disruption to tourism operators and the public. (4) Not applicable.
I thank the member for some notice of this question. I am advised by the Water Corporation - (1) Consistent with Water Corporation processes, which have been in existence since 1996, tenders were requested from the four best-qualified companies on the infill sewerage panel for completion of these works within the time required. (2) There was no blow-out in the contract. The difference in the pre-tender estimate and the lowest tender price was largely a result of a scope change prior to tendering. (3) The corporation cited the need to minimise adverse publicity and criticism due to the imperative of expediting completion of the contract prior to the commencement of the tourist season, which was necessary as Coral Bay is an important tourist centre. As such, it was important that the construction phase of the project did not cause undue disruption to tourism operators and the public. (4) Not applicable.
I am advised by the Water Corporation - (1) Consistent with Water Corporation processes, which have been in existence since 1996, tenders were requested from the four best-qualified companies on the infill sewerage panel for completion of these works within the time required. (2) There was no blow-out in the contract. The difference in the pre-tender estimate and the lowest tender price was largely a result of a scope change prior to tendering. (3) The corporation cited the need to minimise adverse publicity and criticism due to the imperative of expediting completion of the contract prior to the commencement of the tourist season, which was necessary as Coral Bay is an important tourist centre. As such, it was important that the construction phase of the project did not cause undue disruption to tourism operators and the public. (4) Not applicable.
(1) Consistent with Water Corporation processes, which have been in existence since 1996, tenders were requested from the four best-qualified companies on the infill sewerage panel for completion of these works within the time required. (2) There was no blow-out in the contract. The difference in the pre-tender estimate and the lowest tender price was largely a result of a scope change prior to tendering. (3) The corporation cited the need to minimise adverse publicity and criticism due to the imperative of expediting completion of the contract prior to the commencement of the tourist season, which was necessary as Coral Bay is an important tourist centre. As such, it was important that the construction phase of the project did not cause undue disruption to tourism operators and the public. (4) Not applicable.
(2) There was no blow-out in the contract. The difference in the pre-tender estimate and the lowest tender price was largely a result of a scope change prior to tendering. (3) The corporation cited the need to minimise adverse publicity and criticism due to the imperative of expediting completion of the contract prior to the commencement of the tourist season, which was necessary as Coral Bay is an important tourist centre. As such, it was important that the construction phase of the project did not cause undue disruption to tourism operators and the public. (4) Not applicable.
(3) The corporation cited the need to minimise adverse publicity and criticism due to the imperative of expediting completion of the contract prior to the commencement of the tourist season, which was necessary as Coral Bay is an important tourist centre. As such, it was important that the construction phase of the project did not cause undue disruption to tourism operators and the public. (4) Not applicable.
(4) Not applicable.

Explore WA Government Data

Search the full archive in the free dashboard, or query programmatically via API.

Explore more