DND inviting firms to third bidding of helicopter deal

MANILA, Philippines - The defense department is inviting companies to join the third bidding for the purchase of 21 refurbished UH-1 helicopters amounting to P1.26 billion.

According to a bid bulletin issued by the agency, the deadline for submission of bids would be on Aug. 30. The bids will be opened on the same day.

The project aims to enhance the capabilities of the Air Force, which has suffered from a depleted inventory due to mishaps involving its helicopters.

“The guiding principles for this project shall be based on affordability and sustainability while conforming to the requirements of our Air Force,” the bid bulletin read.

The first bidding for the helicopters was conducted in December last year and was participated in by Defense System/Radom Israel and Rice Aircraft Services, Inc. Both bidders failed to meet some requirements.

The second bidding was in February, but only one bidder, the US-based Rice Aircraft Services, was declared eligible to bid.

But officials said Rice failed to meet some requirements during the post-qualification phase.

Last May, The STAR learned that the purchase of the 21 helicopters would be done through negotiated procurement, which is allowed by law after two failed biddings.

Department of National Defense officials decided to hold a third bidding after 14 firms signified interest in the helicopter acquisition project.

Among those eyeing the project were aircraft manufacturers from the United States, Germany, Israel, New Zealand and Canada.

The helicopters will be bought through open competitive bidding procedures as specified by the implementing rules of the procurement law.

 The bidding is open to both local and foreign firms subject to eligibility conditions prescribed by law. To be qualified, a bidder should have completed within five years from the date of submission and receipt of bids, a contract similar to the project.

Bidders may buy bidding documents from the Bids and Awards Committee (BAC) Secretariat for P75,000.

The documents can be downloaded from the government electronic procurement system website provided the bidder will pay for it before the submission of bids.

The DND will hold a pre-bid conference on Aug. 16 in Camp Aguinaldo to provide prospective bidders more information about the project.

Bids that are higher than the approved budget of P1.26 billion will be rejected. The helicopters should be delivered within 120 calendar days after the opening of the letter of credit, a document that assures the winning bidder that the government will honor its obligations.

The 21 Huey helicopters were originally intended to support poll-related duties last May. The procurement has been stalled due to failed biddings.