As Suntech Says Got $80 M Contract For UN Peacekeeping, Chief Not Aware
By Matthew Russell Lee, Exclusive
UNITED NATIONS, February 17, updated -- After a large Chinese company Suntech Power Holdings announced it has won a $80 million contract with the UN to supply solar panels to “serve the UN's peacekeeping forces,” Inner City Press asked head UN Peacekeeper Alain Le Roy about the contract.
“I am not aware of that,” Le Roy told Inner City Press.
At the February 17 UN noon briefing, Inner City Press asked Ban Ki-moon's spokesman Martin Nesirky several questions about the announced contract award: to confirm it (Nesirky could not), and to explain what conflict of interest safeguards there are, since Suntech's CEO Shi Zhengrong is a on Ban Ki-moon's group of Advisors on Energy and Climate Change.
Inner City Press asked: how many other bidders were there? What weight was given to Shi Zhengrong's status with Ban Ki-moon? Nesirky had no answers.
In the hours after the noon briefing, Inner City Press found that while Suntech is nowhere to be found in the UN vendor's data base, under the headline “Suntech Power wins USD80 mln PV contact from UN,” it was mentioned that “teaming up with Peak International Trade (Tianjin), Suntech Power has just won the bidding for the 80 million US-dollar photovoltaic (PV) system program from the UN, Shi Zhengrong, Suntech's Chairman and CEO, announced.”
While Peak International Trade (Tianjin) IS listed in the UN vendor data base, experts conclude that Peak is a Intermediary Vendor, a structure supposedly disfavored by the UN.
The UN's own procurement manual provides that
“There are indications that certain parties have approached prospective vendors offering to act as intermediaries in dealings with the United Nations. Some of these intermediaries purport to have various arrangements with the United Nations, or to possess support facilities within UN missions or projects which can place a vendor in a more advantageous position in a competitive bidding exercise. Vendors are advised that the UN prefers to deal directly with principals to the extent possible. Vendors are therefore urged to consult with the Procurement Division before deciding to submit offers or negotiate contracts through any intermediary.”
So why would the UN allow a non-vendor run by an Advisor to Ban Ki-moon to work around this through an intermediary and announce a $80 million contract with the UN?
In fact, UN contracts contain a clause that
“PUBLICITY, AND USE OF THE NAME, EMBLEM OR OFFICIAL SEAL OF THE UNITED NATIONS: The Contractor shall not advertise or otherwise make public for purposes of commercial advantage or goodwill that it has a contractual relationship with the United Nations, nor shall the Contractor, in any manner whatsoever use the name, emblem or official seal of the United Nations, or any abbreviation of the name of the United Nations in connection with its business or otherwise without the written permission the United Nations.”
So was Ban Ki-moon advisor Shi Zhengrong given special rights and waivers? Is has this publicly traded company (STP.NYSE) made a mis-statement? And why can't the UN answer? Watch this site.
Update of 6 pm - six hours after the questions were raised, all the UN provided was a list of ACECC members. What about the safeguards? What about the other questions, including those raised at the noon briefing?
From: UN Spokesperson - Do Not Reply [at] un.org
Date: Thu, Feb 17, 2011 at 6:17 PM
Subject: Your question on ACECC membership
To: Matthew Russell Lee [at] innercitypress.com
The list of members is publicly available in the AGECC report, which is posted at:
http://www.un.org/wcm/webdav/site/climatechange/shared/Documents/AGECC%20summary%20report%5B1%5D.pdf
Members are listed on page 4 of the AGECC final report, which includes:
Shi Zhengrong, Chairman and CEO, Suntech Power Holdings, China
What about the safeguards? What about the other questions, including those raised at the noon briefing?
