Contractors smell ‘stench’ in garbage business

A consumer rights group wants the state government to freeze all new garbage disposal contracts pending a probe into complaints of irregularities in the award process by local councils .

PETALING JAYA: Allegations have surfaced implicating the local authorities in Selangor of irregularities in the awarding of garbage disposal contracts.

Consumer Association of Subang and Shah Alam (CASSA) and Selangor Consumer Council head Jacob George told FMT that he has received 20 complaints from various unhappy contractors who have been sidelined in the award of garbage collecting contracts.

The contractors claimed the contracts were given to those who are undeserving.

“I am getting a lot of complaints since last week that unqualified people have been announced to have obtained the cleaning contracts.

“These complaints are pointing towards the possibility of cronyism, manipulations, corruption. These are very serious allegations,” George said.

He urged the Selangor government to immediately suspend and freeze all the recent garbage disposal contracts and appointments that have been given out and conduct a comprehensive investigation into such allegations.

George said that an independent body must be formed to clear the Selangor government and confirm that the contracts awarded were aboveboard.

He added that some immediate action must be taken in the form of a white paper.

He said that he planned to lodge a police report on the matter on Monday.

Contractors and sub-cons

George said he would also ask the sources who complained to CASSA to come forward and go on record.

“We have to ask, who were the people who made these decisions? Was it the mayors of these councils? Was there a proper tender board?

“I have been informed that Menteri Besar Khalid Ibrahim has been informed and he himself was not aware of this happening,” he said.

According to George, the complaints from contractors came from key areas in the state including Petaling Jaya, Klang, Shah Alam, Selayang and Subang Jaya.

“In Shah Alam, one particular company was given three different zones to collect rubbish! What is so special about this particular company that it is given three zones?

“We should be fair and not be giving a monopoly to a single entity. We must give those who have the finances and right skills,” he said.

He added said that he was also alerted to four cases where the contractors who were awarded the contracts had subsequently sub-contracted the job to competing companies that were also in the same tender process.

“They are asking what are the criteria used for certain companies to be selected. How come those without vehicles are getting it and later sub-contracting it to those better equipped financially?

“There must be some justification for your decisions and transparency in what you do. Why is this happening?” he asked.

No reverts from state excos

George said he had repeatedly sent SMSes to Selangor executive councillors seeking for a meeting but todate have not heard from them.

“I’ve repeatedly sent SMSes to meet with Selangor executive councillors as early as September last year. Until now, nobody spoke to me eventhough I am the chairman of the Selangor Consumer Council and am responsible for whatever happens in the state. It is very sad.

“Is this part of smart partnership between the people and the government?

“Is this what we were hoping for in a people’s government?

“I am surprised. This looks to be like going back to the old days – old wine in new bottle. Or is somebody trying to sabotage the state government?” George asked.

Meanwhile, several attempts to contact Khalid and local government, research and development committee chairman Ronnie Liu to comment were unsuccessful.

In October last year, the Selangor government took over the cleaning of public places and collecting solid waste that used to be handled by Alam Flora Sdn Bhd, which had been widely criticised over its performance over the years.

The state said it would save RM20 million annually with the move.

Alam Flora, a subsidiary of DRB-Hicom Bhd, was awarded the concession rights for solid waste management in 1998 for the central region covering Selangor, Kuala Lumpur and Pahang.

The Malay Mail recently quoted Liu as saying that a new batch of garbage collection contractors for Selangor has been selected and would start work on Thursday.

Liu had said that a selection of waste management contractors via open tender was wrapped up the previous week.

The contractors were selected by local councils throughout the state since the tender process started in January.

Since the takeover by the Selangor state, there has also been a series of reported “garbage sabotage” incidents in areas such as Ampang and Shah Alam in January where garbage were being dumped back on sites after they had been cleared by local council contractors.