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Set-top box tender rubberstamped?

Staff Writer
By Staff Writer, ITWeb
Johannesburg, 10 Apr 2015
Shadow minister of telecoms and postal services at the DA Marian Shinn says there appears to have been political meddling in the set-top box tender process.
Shadow minister of telecoms and postal services at the DA Marian Shinn says there appears to have been political meddling in the set-top box tender process.

The Universal Services and Access Agency of SA (USAASA) has reportedly awarded the multibillion-rand set-top box (STB) tender to all bidders in the ongoing digital migration saga - a move that has been questioned and labelled as "odd".

According to Business Day, "all 20 bidders have been given a slice of the R4.3 billion tender for the manufacturing of five million STBs". While USAASA has yet to detail how the tender - which was divided into antennas, terrestrial boxes and satellite broadcast boxes - will be allocated, the newspaper says seven companies will share the supply and manufacturing of antennas, while 15 will see to the boxes.

USAASA could not be reached for comment. In January, USAASA spokesperson Khulekani Ntshangase said an external auditing firm that was appointed by the agency to oversee the tender process would evaluate the 17 bids that had been received at that time.

The tender deadline - issued by the Universal Services and Access Agency of SA (USAASA) in November 2014 - closed to hopeful bidders in early January. At the time, the Democratic Alliance (DA) raised concerns that this was a "rushed attempt to partially meet the digital migration deadline of 17 June 2015 by delivering some set-top boxes this year.

"Proper processes and evaluation may be circumvented and side-lined, rendering the tender process unlawful," said DA shadow minister of telecoms and postal services Marian Shinn.

The International Telecommunication Union deadline for switchover to digital broadcasting is 17 June 2015, but it is widely known SA will likely miss this.

Shadow minister of telecoms and postal services at the DA Marian Shinn says, although one of the tender winners has indicated bidders were yesterday informed they had been awarded the tender, there is no formal communication or gazette on this.

"It is quite odd. If the USAASA board has awarded the tender [to all the bidding parties] it would appear it is trying to dodge a legal challenge. To me, it seems there has been political meddling outside of the tender process."

Shinn says just two weeks ago she was told there was a short-list of four bidders to make the boxes, and that the USAASA board - which is in charge of managing the process and adjudicating tenders - would soon make a decision. "Since then no one has been able to tell me what has happened with the tender."

USAASA is bound by Section 127 of the Constitution, which demands fairness and transparency in procurement of services.

The Department of Communications was not immediately available for comment, nor was Altech UEC or CZ Electronics - two of the STB tender bidders.

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