Customs’ Lina: Cancel P650-M e-procurement project

MANILA, Philippines – There may be other Customs data systems that are more efficient, cost-effective, and advantageous to the government that is why Customs Commissioner Alberto Lina recommended the cancellation of a P650-million Integrated Electronic Customs Processing System (i-ECPS) Project.

The approved budget for the contract of the i-ECPS Project was P650 million ($14.60 million). It was set to replace the BOC’s electronic-to-mobile (e2m) system.

As market conditions changed, Lina said he decided to abandon the project which is under the Procurement Service of the Department of Budget and Management (DBM-PS).

He said that since his appointment as commissioner of the Bureau of Customs (BOC) a month ago, he began the review of all the Bureau’s programs, activities, and projects, including all its procurement activities.

“We understand that there are existing systems that can fulfill the needs of the Bureau, which are potentially at least 50% cheaper than this amount,” Lina said.

Legal basis

Lina said he wrote a letter addressed to DBM-PS Executive Director Jose Tomas Syquia on May 6 to discontinue and abandon the procurement.

“There is legal basis to cancel bidding process under the Procurement Law (Republic Act No. 9184) and its implementing rules and regulations,” the customs chief said.

Quoting Section 41 of RA 9184, Lina said, “The head of the agency reserves the right to reject any and all bids, declare a failure of bidding, or not award the contract in the following situations: (c) for any justifiable and reasonable ground where the award of the contract will not redound to the benefit of the government as defined in the implementing rules and regulations.”

“It is my sworn commitment to modernize the Bureau of Customs with the latest innovative technologies while providing the best value for the government,” Lina said.

Baseless claims

Lina also denied the “baseless claims” that EKonek’s losing bid for i-ECPS was the reason for cancelling the procurement.

EKonek is a value-added service provider accredited by BOC, a subsidiary of the Lina Group of Companies, the commissioner’s group of businesses. (READ: Businessman Alberto Lina returns as Customs chief)

Lina said EKonek will not participate in any further bid for this project, as this is part of his commitment to prevent any conflict of interest during his stint at the BOC.

He added that BOC is committed to work toward the delivery of ASEAN (Association of Southeast Asian Nations) commitments, like the National Single Window (NSW) system, which aims to facilitate trade through efficiencies in customs and authorization processes.

To be implemented via Executive Order 482, the NSW will allow single submission and accelerated processing of applications for licenses, permits, and other authorizations required prior to trade transaction.

“In the current NSW system, 37 of the 40 permitting and oversight agencies are already connected to the system in varying levels of utilization,” Lina said.

He added that the BOC is also fixing the systems issues in the 3 oversight and permitting agencies that still need to be fully connected. – Rappler.com

$1 = P44.53