KLUANG, May 10 – The Ministry of Defence (MINDEF) will consider cancelling or reopening the tender due to delays in the delivery of the first of four Black Hawk helicopters if the current contractor continues to fail in delivering it as per the agreement.
Defence Minister Datuk Seri Mohamed Khaled Nordin said this course of action would be based on the agreement between the ministry and the appointed contractor company.
“In this kind of procurement, there are delays, and our challenge is to manage those delays according to the contract terms. The contract considers these potential issues, and when it happens, we refer to the contract.
“When it truly cannot be fulfilled, that’s when we decide whether to cancel or reopen the tender. All actions are taken within the contractual terms,” he told reporters during a working visit to Kem Mahkota on Friday.
On April 16, Army Chief General Tan Sri Muhammad Hafizuddeain Jantan reportedly said that the Malaysian Army (TDM) would take further action if the appointed contractor failed to deliver the first Black Hawk helicopter by the end of last month.
Muhammad Hafizuddeain was quoted as saying that TDM hoped the contractor could make the delivery of one of four Sikorsky UH-60A+ Black Hawk helicopters leased for the use of the Army Air Corps in April.
When asked whether MINDEF plans to buy helicopters instead of leasing them, Mohamed Khaled said the government’s approach is to lease, as it has cost-saving elements.
In May last year, MINDEF signed a five-year leasing contract for the four helicopters with local company Aerotree Defence and Services Sdn Bhd, valued at RM187 million.
