KUALA LUMPUR: The tender process for the 5G network mega-project by Digital Nasional Berhad (DNB) is different from 1Malaysia Development Berhad (1MDB), the Dewan Rakyat was told today.
Deputy Finance Minister II Yamani Hafez Musa said in the Lower House that the tender process for the estimated RM12.5 billion project was evaluated by independent firm Ernst and Young.
"I would like to stress that DNB and 1MDB are different matters.
"The tender process (for DNB) was structured by Ernst & Young according to global standards.
"For Goldman Sachs which was chosen by 1MDB, it was not for open tender but to raise bonds. This is an open tender, a big difference," he said.
Yamani was answering a supplementary question by Datuk Seri Anwar Ibrahim (Pakatan Harapan-Port Dickson) who raised concerns that the 5G network rollout via DNB might be a repeat of 1MDB and its tender process has been "shrouded in secrecy".
On selecting Ericsson as the 5G network provider in the country, the Sipitang Member of Parliament also clarified the process was conducted with four panels consisting of 50 local and international experts from 10 countries.
"The tender process began by evaluating 14 network hardware providers and shortlisting eight companies which were invited to bid for the tender.
"The shortlisted companies were selected based on the success rate of implementing the 5G network; technology services and improved security system for users and platforms as well as having a presence in the country's network ecosystem.
"Out of the eight companies, only four submitted bids for the tender before the offer was discussed in depth by the tender committee and the board of directors of DNB.
"Ericson is in the top position in all three key components of the tender evaluation criteria," he said.
Earlier, Yamani also told the August House that DNB has estimated that a further RM1.5 billion is required for additional infrastructure on top of the RM11 billion contract awarded to Ericsson.