The Senate Standing Committee on IT and Telecom has halted Ignite’s bidding process for the Virtual Production Studio project after raising concerns over transparency. The committee, led by Chairperson Senator Palwasha Khan, has summoned Ignite CEO Adeel Ejaz to present complete bidding records in the next meeting, scheduled for next week.
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During the latest session, Ignite officials failed to satisfy the committee regarding the bidding process, especially in justifying the exclusion of NTS Cube Studio, an initially successful bidder, from the second round. James Hexley, CEO of Cube Studio UK, presented his case before the committee, questioning Ignite’s decision.
Financial Criteria Disputed: Ignite officials claimed NTS Cube Studio did not meet the required financial criteria under the Request for Proposal (RFP). However, the company refuted this, stating its financial standing exceeded one billion rupees, while the RFP only required 200 million rupees in financial strength. The committee dismissed Ignite’s justification, asserting that NTS Cube Studio was wrongfully excluded.
Repeated Bidding Raises Eyebrows: Senator Anusha Rahman criticized Ignite for repeating the bidding process without justification, arguing that Public Procurement Regulatory Authority (PPRA) rules do not prevent awarding a project to a sole bidder if qualified. She also pointed out Ignite’s history of removing telecom companies from previous bidding processes.
CEO Adeel Ejaz defended the decision, stating that a new bidding round was initiated to ensure competition, with three companies participating. However, Senator Anusha Rahman dismissed this reasoning, arguing that forcing re-bidding until preferred winners emerge is not part of PPRA regulations.
Foreign Investment at Risk: Senator Humayun Mohmand (PTI) voiced concerns that manipulated bidding processes deter foreign investors. He called for a neutral technical evaluation of all bidders, emphasizing that NTS Cube Studio was being unfairly treated.
The committee further grilled Ignite officials on their lack of expertise in virtual technology and questioned how they conducted a technical evaluation. Ignite’s response that they had studied virtual technology for a year and a half was met with laughter, as Senator Palwasha Khan remarked, “Understanding a technology does not make you an expert. If you give me an atomic bomb to analyze, I still won’t be able to do it!”
Next Steps: Due to Ignite’s unsatisfactory responses and lack of record transparency, the committee unanimously decided to halt the bidding process until further review. The Senate IT Committee will reconvene next week, with Ignite required to present all records related to the bidding process.
