From: Ian
Category: Miscellaneous
Date: 15 Sep 2009
Time: 18:31:33 +0200
Remote Name: 86.151.86.125
"The NSW Health Department, already in disarray following the loss of its minister John Della Bosca last week, is now facing criticism from the waste industry over an apparent move to extend its contract for clinical and related waste services for up to 12 months, without going to tender. Processors claim the department must retest the market to get the best deal for taxpayers.
"The current waste contract, which is held by SteriHealth (formerly SteriCorp), was for an initial three-year period with two one-year options, which have both been exercised. The total five-year deal is due to expire on November 30, just under 12 weeks away.
"Several industry sources, who have been keenly awaiting the chance to tender for the plum contract, have told Inside Waste that staff within the NSW Department of Commerce have now confirmed an intention to extend the existing contract for an additional 12 months.
"The frustrated competitors point out this falls outside of the original tender conditions and claim that by failing to re-test the market the government is potentially failing to secure the best deal when it comes to treatment and disposal of wastes from the state’s public hospital system, such as used syringes, blood specimens, body organs and other human tissue.
"In particular, a new facility for treating clinical and related waste has opened in Sydney since the government last went to tender. Previously there was only one option in Sydney – owned by SteriHealth - with the closest alternative facilities being in Wollongong and Newcastle.
These are obvious concerns from an industry sector already squeezed heavily. But when clients and regulators act together to move to goalposts to the detriment of free market competition, some hard hitting questions must be asked, of maladministration and corruption, or just plain incompetence.