Southern Electric faces NCP hammer

Southern Electric Consortium, one of the two preferred bidders for the Benin
Distribution Company (DISCO) Limited, will be sanctioned or disqualified by the
National Council on Privatisation (NCP), for allegedly submitting fraudulent
bids, BusinessDay has learnt.

The NCP is expected to meet on October 29 to take the final decision on the
power companies being sold.

Southern Electric Consortium is alleged to have presented two different bids (a
higher and lower one) in one envelope, for the same Benin Disco, with different
values, in a bid to hedge their bets.

“When the envelope was opened before live television, the BPE found two bids in
it. This is fraudulent and they will be sanctioned, because it breached the bid
rules. The question is why they did it.They were probably gambling on the
outcome” the NCP source said.