BWSC allows partial release

Danish company BWSC has agreed to release parts of the controversial Delimara power station extension contract, insisting that only one hard copy be tabled in Parliament, which today is expected to debate a motion on the project.

BWSC listed 11 sections in five binders and one whole binder, which, it insisted, should remain confidential. The sections, it added, contained confidential and proprietary information belonging to its sub-suppliers that had not waived the confidentiality of their "sensitive" information.

The sections the company insists should not be published include those containing information on the controversial diesel engine, the generator and 132kV GIS switchgear, and this because of "confidential and proprietary information" belonging to BWSC's suppliers. It also asked for letters from banks, including the European Investment Bank, diesel engine manufacturers and a list of sub-suppliers and sub-contractors not to be made available along with all the information about Wärtsilä, a leading diesel engine manufacturer, and a letter it sent to Enemalta in 2008.

After noting that it had never been asked to publish any contracts, the company said it was "not aware of any cases where this has happened before in the industry".

"Under the circumstances seen in Malta in the last few months, BWSC has thoroughly evaluated the situation and concluded that despite the commercial risk and the risk by making elements of the BWSC technology available to our competitors, it is our belief that it is in the best interests of Enemalta, the project and BWSC to allow the publication of the contract with the exceptions listed above, so the right focus can be put on the project.

"We kindly ask Enemalta to do whatever is possible to limit the risk of BWSC technology being made available to competitors of BWSC," the Danish company said in a letter to Enemalta's CEO released by the Finance Ministry last night.

It insisted that only one hard copy was tabled to the House of Representatives and that no further hard copies or soft copies were handed out to third parties.

"We hope this will contribute to a prompt receipt of the construction permit so we can get this project moving forward, and look very much forward to a continued constructive collaboration between (Enemalta) and BWSC," it said.

The letter, signed by managing director Sigurd Andersen and executive director Anders Heine Jensen, was in reply to a request made by Enemalta on May 28 following instructions by the Finance Minister Tonio Fenech to seek permission to publish the contract.

The project has been mired in controversy and allegations of corruption.

The Auditor-General said he found no hard evidence of corruption but noted serious administrative shortcomings .

This decision to publish the report was taken after thoroughly taking into consideration the commercial risk and the risk of making its technology available to its competitors, BWSC said.

The project involves the supply of a 144-megawatt diesel power plant at the Delimara power station at a cost of €165 million. An outline proposal for spare parts and a technical support agreement was included in the contract for an additional amount of €18 million.