BPE rejects Interstate’s bid to take Enugu coy

BPE conveyed the rejection in two letters dated August 21 and 22 and addressed to the Managing Director of Interstate.
This is contrary to claims being made by the firm that it got 20-days grace from the agency to pay the 75 percent balance of the $126m reserved price for the power company.
The first letter with the title “Non Compliance With Conditions Precedent -Request for Deferral of Completion Date” was a response to an early plea of Interstate for a 20-day extension grace.
“We hereby reconfirm the deadline for the payment of the outstanding balance of 75 percent of the purchase consideration for EEDC is Wednesday, August 21, 2013. In compliance with the Request for Proposal (RFP), we are not in a position to grant your request for extension of payment by 20 business days,” one of the BPE letters said.
In another letter of August 22, titled, ‘Re: Non-Compliance With Conditions Precedent – Request For Deferral Of Completion’, BPE re-stated the rejection thus: “We write to further inform you that after due consideration of the reasons canvassed in the letter supporting your request for deferral of the completion date; We hereby re-state that in compliance with the provisions of the Request for Proposal (RFP), we cannot grant your request for extension of deadline for the payment of the outstanding balance of 75 percent of the purchase consideration for Enugu Electricity Distribution Company (EEDC).”
When contacted on phone on the outcome of an anticipated meeting yesterday between BPE and the successor firms, spokesman for the agency Chigbo Anichebe acknowledged there was a meeting but could not confirm the outcome.
When asked if the BPE sent a letter to Interstate Electrics notifying the company of its disqualification, he said, “I am not actually sure of any correspondence”.
Meanwhile, the reserve bidder, Eastern Electric in a statement yesterday by its Communications Consultant, Mr. C. Don Adinuba, said the firm’s solicitors, Wole Olanipekun & Co had gone to the Federal High Court in Abuja asking it to compel BPE to invite the consortium to pay for Enugu Disco following the default of Interstate Electrics.