Daily Times

ISLAMABAD: The Metropolitan Corporation Islamabad (MCI) has awarded a contract on Friday to run a Diplomatic Shuttle Service (DSS) for the next three years on the bid of Rs 106 million, a relatively high offer as compared to the last Rs 67 million.

Although, the elected body successfully managed to increase the bid amount and was all set to fetch an extra amount of Rs 39 million, but the general public will have to bear this difference as each fare in te last biding was Rs 200 which is now fixed Rs 500 by MCI.

A total of 13 parties were in the run to secure the contract, but 11 companies participated in the bidding process as two companies did not attend the session.

The highest bid was Rs.106 million from M/S Diplomatic Facilitation Services followed by the bids of Rs 105.8 million from M/S Waleed Associates and M/S Bilal Travels Rs 102.6 million.

Following the 9/11 attacks in the United States, the government decided to ban the entry of private vehicles into the Diplomatic Enclave and introduced the DSS for visitors and visa applicants to get to and from various diplomatic missions.

The service in its first shape was a ‘dubious’ Build Operate, Transfer initiative, the CDA was facilitating the contractor by charging him only Rs2 per square yard as the rent for the bus station, which amounted to an annual rent of Rs 44,444. The contractor collected millions till he was grilled for overcharging of fares by up to Rs 500 instead of the agreed fare of Rs 200.

A judicial commission headed by retired Justice Sardar Raza Khan had in 2013 recommended that the contract for the shuttle service be cancelled and also suggested to recover overcharged amount as well as proposed action against the concerned CDA officials, but the decision is still pending for implementation.

Meanwhile, in June 2016, the civic body awarded the contract on the bid of Rs.67 million, but to the same contractor, who was accused of overcharging and under a deal with the CDA officials while inquiries were also pending against him. However, the then Chairman CDA, Maroof Afzal, had turned down the bidding process and ordered the process initiated again in a transparent matter.

When questioned about the increase in fares, the Director DMA Capt. (retired) Shahbaz Ahmed responded; “The contractor has to provide allied facilities such as mosque, luggage keeping and car parking in addition to bus services so in my view the amount is justified.” “If we compare the previous bid of Rs.67 million keeping in view the changed fare of Rs.500 then the new bid should be around Rs.167.5 million as the fare increased up to 150 per cent”, an official of the MCI commented adding “The MCI is still in the loss of around Rs.60 million.”

It is pertinent to mention here that renowned transportation firms Faisal Movers, Daewoo Pakistan and Bilal Travels were also taking part in the auction, but could not succeed whereas a comparatively less-known company won the contract. An official of Daewoo Pakistan has shared his views on the condition of anonymity and said: “We are in the transportation industry for the last many years, but today’s highest bid is beyond my business understanding as an average of 300 people use the facility daily. If we calculate the revenue generated through estimated 328500 visitors in three years it would be Rs.164.2 million.”

He said, “If we pay Rs 106 million to the MCI then how can we cover the expenditure and what would be the earning from this project?” On the other side, the people in CDA alleged that the DSS was being used as a cover under which several items ranging from vegetables to drugs and services of different kinds had been provided by the contractor to the diplomatic missions of different countries.