Published: Wednesday January 16, 2013 MYT 5:18:00 PM
Khalid: Syabas’ capital expenditure frozen after it failed to practise open tenders
BY TEH ENG HOCK
SHAH ALAM: The capital expenditure (Capex) of Syarikat Bekalan Air Selangor (Syabas) was frozen because the water concessionaire did not practise open tenders.
Mentri Besar Tan Sri Khalid Ibrahim said it was stated in the concession agreement that tenders must be called for in upgrading and maintaining water assets.
"The Capex must be approved by the state, as they are repairing equipment and assets owned by the state.
"To obtain approval, the state has procedures where the work must be tendered, and not negotiated," he told reporters on Wednesday.
Khalid added that the absence of a tender system was also criticised in the Auditor-General's report.