04 July 2025

Contractors expose overpricing of works in Mykolaivvodokanal's water supply tender

(PHOTO: Fotolia)

In Mykolaiv, a tender for the reconstruction of a water supply system was canceled due to numerous errors in the project documentation. The contractors found inconsistencies in the scope of work that could have led to an overestimation of the cost.

This is evidenced by data from the Prozorro procurement system.

In June, Mykolaivvodokanal announced a search for a contractor to reconstruct the water supply network from Chkalova Street to Tsentralnyi Avenue. The expected cost of the project was 5.7 million hryvnias, and the work was scheduled to be completed by the end of September 2025. However, on July 2, the tender was canceled due to violations in the tender documents.

The auction scheduled for July 3 did not take place due to numerous comments on the technical part of the tender. The contractors drew attention to the discrepancy between the scope of work specified in Annex 4 to the tender documentation and the actual project parameters.

Screenshot: Prozorro

In particular, it was about errors in the calculations of earthworks, installation of pipelines, installation of valves, arrangement of wells and chambers, as well as incorrect determination of the consumption of materials such as bentonite, crushed stone and concrete.

One of the bidders described the technical violations in detail, emphasizing that the proposed drilling volumes could lead to damage to the equipment, and the missed standards did not allow for a correct estimate of the cost of the work. After several appeals to the client to amend the documentation, the tender was canceled due to the inability to correct the violations within the current public procurement legislation.

It is expected that the waterworks will hold a second tender after all technical and design inconsistencies are eliminated.

In May, law enforcement officers conducted searches at one of Mykolaiv's utility companies as part of an investigation into possible embezzlement of budget funds. According to the investigation, officials may have lobbied for the victory of close companies in tenders, including Promsila LLC, a company associated with a defendant in other corruption cases, to perform maintenance of pumping stations and sewage treatment plants.

Анна Літман

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