Emergency Tender Guidelines – A Recipe for Another Disaster?

As we dig into the “Emergency Tender” guidelines being used by the Road Development Authority (RDA) for this trillion-rupee recovery, the picture becomes as murky as the floodwaters we just waded through.

In times of national disaster—like the aftermath of Cyclone Ditwah—the standard Government Procurement Guidelines (2006) are often bypassed in favor of “Special Expedited Procedures.” Here is how the 115 billion rupee road-sloping project is sidestepping the usual checks and balances.

The “Emergency” Playbook: How Standard Rules are Bypassed

1. Direct Contracting (The “Shopping” Method): Under Section 3.4 of the emergency guidelines, the RDA can bypass open competitive bidding. Instead, they can invite “at least three” known contractors to submit quotes. In practice, this often means the same circle of politically connected firms gets the first call.

2. Shortened Lead Times: Normally, a large-scale project requires 30–45 days for tender submission. Under the “Ditwah Emergency,” this has been slashed to as little as 7 days. This makes it nearly impossible for new or smaller firms to prepare a competitive bid, effectively locking out outsiders.

3. The “Urgency” Clause: RDA Director General Wimal Kandamby has cited “geological instability” as a reason to fast-track awards. By declaring a site “imminently dangerous,” the RDA can award a contract immediately without any public notification or cooling-off period for appeals.

4. Cost Plus Basis: For some of the more complex “slope stabilizations,” contracts are being awarded on a “cost-plus-margin” basis. This means the contractor gets paid for whatever they spend, plus a guaranteed profit—a recipe for “gold-plating” where every sack of cement suddenly costs twice the market rate.

The Faraz Perspective

“Let’s talk about these ‘Emergency Tenders,’ shall we? It sounds so noble, doesn’t it? ‘We must act now to save the roads!’ But in the world of public finance, ‘act now’ is often shorthand for ‘don’t look too closely.’

The RDA is moving 115 billion rupees through a process that has less transparency than a window in a coal mine. They’re using ‘shortened lead times’— seven days to bid for a billion-rupee project? Unless you already have the blueprints sitting on your desk and the Minister on speed-dial, you haven’t got a hope of winning that contract.

It’s a ‘Shopping Method’ where the government goes shopping with your money at theirfriends’ shops. We’re told it’s about ‘geological shifts,’ but I suspect the only thing shifting is the wealth of the nation into the hands of the usual suspects.

Mr. President, you promised us ‘system change.’ But if the system for spending a trillion rupees is exactly the same ’emergency’ loophole that was used to drain the Treasury in the past, then what has actually changed? You can’t build a new Sri Lanka on the same old slippery slopes.

I’m Faraz Shauketaly. Keep an eye on the contractors, keep a grip on your taxes, and as always… God bless you all.”