Transparency International Pakistan (TIP) has urged Prime Minister Shehbaz Sharif to suspend the Pakistan Airports Authority’s proposed Rs. 20 billion e-Gate project.
The organization has also requested an independent inquiry into alleged violations of public procurement rules.
According to TIP, the concerns relate to the project’s procurement process and the reported decision to move away from open international competitive bidding.
TIP Raises Concerns Over Procurement Process
In a letter sent to the Prime Minister’s Office on July 16, TIP said it received a complaint regarding the Pakistan Airports Authority’s procurement procedure.
According to the organization, the authority allegedly abandoned an open international competitive bidding process.
Instead, it reportedly attempted to award the contract to a single private company by invoking Rule 42(f) of the Public Procurement Regulatory Authority (PPRA) Rules, 2004.
TIP argued that the circumstances surrounding the procurement require careful review before the project proceeds.
Previous Tender Process Under Review
According to the organization, the Civil Aviation Authority initially invited international bids for e-Gates, biometric verification, and passport authentication systems in 2020.
However, no contract was awarded following that bidding process.
Later, the Pakistan Airports Authority issued a fresh Expression of Interest in 2024.
Three companies were subsequently shortlisted.
TIP claimed that the competitive procurement process was later discontinued before reaching completion.
Questions Raised Over Rule 42(f)
Transparency International Pakistan stated that Rule 42(f) is intended for exceptional situations.
According to the organization, such circumstances include emergencies, overriding public interest, or procurement involving government entities or state-owned organizations.
TIP argued that these conditions do not appear to apply to a technology project with a planned duration of 24 months.
Furthermore, the organization questioned why no public explanation had been provided for bypassing open competitive bidding.
Concerns Over Reported Contractor Eligibility
The organization also expressed concerns about the eligibility of the company reportedly under consideration for the contract.
According to TIP, preliminary checks did not confirm the firm’s registration with the Securities and Exchange Commission of Pakistan.
The organization further stated that it could not verify the company’s inclusion on the Federal Board of Revenue’s Active Taxpayer List.
In addition, TIP questioned whether the company held sales tax registration and registration with the Pakistan Engineering Council.
The organization said these requirements are necessary for procurements of this nature.
Consultants’ Recommendation Also Questioned
According to the letter, consultants appointed by the Pakistan Airports Authority in January 2026 later recommended awarding the tender solely to the company under Rule 42(f).
TIP maintained that this recommendation should also undergo an independent review.
The organization believes every stage of the procurement process should remain transparent and consistent with public procurement regulations.
Additional Financial Concerns Highlighted
Transparency International Pakistan also raised concerns regarding an unsolicited proposal submitted by a foreign company.
The proposal reportedly relates to passenger information and passenger name record systems.
According to TIP, accepting the proposal could eventually place an additional financial burden exceeding Rs. 50 billion annually on passengers through a security surcharge.
The organization also questioned the legal basis for considering unsolicited proposals outside the PPRA framework.
TIP Calls for Independent Inquiry
Transparency International Pakistan stated that the allegations appear to have merit on a preliminary basis.
Therefore, it recommended suspending the procurement process until an independent inquiry is completed.
The organization also urged the government to ensure that, if the inquiry confirms the alleged irregularities, the project is awarded through an open and transparent international competitive bidding process.
Furthermore, TIP called for appropriate action against any officials found responsible for violating public procurement rules.
