Direct procurement allowed for Dili rehabilitation works, regardless of contract value

DILI (TOP) – The Council of Ministers has approved a draft Decree-Law that permits the use of price-quotation requests or direct award procedures, regardless of contract value, for accessibility improvement and rehabilitation works in the city of Dili. The Minister of Public Works, Samuel Marçal, presented the project.

The diploma is the Special Procurement Regime for Infrastructure Construction to Improve Accessibility and Rehabilitate the City of Dili. The Government explains that the regime is part of preparations for events related to Timor-Leste’s ASEAN Chairmanship, which is planned to begin in 2029.

For these projects, the diploma permits price-quotation requests or direct award, regardless of contract value. This means that, for these works, the contract value does not determine the type of procedure that must be used, as it would under the normal rules. Even so, the diploma states clearly that the regime does not depart from the other principles and rules applicable to public procurement and the execution of public expenditure. The Government says the diploma simplifies procedures for priority projects, in order to ensure the works are completed on time.

From the ASEAN Chairmanship perspective, Dili, as the nation’s capital, will receive many delegations and visitors from ASEAN member states. For this reason, the city’s roads, pedestrian walkways and public spaces need to be improved before these events.

The regime focuses on six sections of urban roads and streets in Dili, with interventions on roads, pedestrian walkways and public spaces. It also covers replacing the public electricity system from overhead to underground, and installing or pre-installing public infrastructure for sanitation, clean water supply and telecommunications.

The Ministry of Public Works (MOP) and the public companies under its supervision will implement the projects. The National Procurement Commission, I.P., is responsible for the procurement procedures, and the National Development Agency, I.P., retains its competence for technical and financial verification, and other competences granted to it by applicable law.

Road works already under way

According to an MOP report on urban, national and municipal roads, the Government managed to complete 27 projects in 2025 and plans to carry out 160 new ones.

In Dili, some projects currently under way are close to completion, having reached 92% to 95%. These projects include the road from Aitarak-Laran to Lavandaria (Bairo-Pite), the urban road and drainage at Kakaulidun (Bairo-Pite), the second phase from Ponte Myfriend to Lahane, and the Metiaut to Ponte Hera road (Phase II). There are also other emergency projects, such as Christo Rei–Dolok Oan, Rotunda Nicolau Lobato–Rai Kotu, Delta I, II and IV, and Fomento–Manleuana.

Background: direct award in 2024

The Procurement Legal Regime (RJA) states that physical projects with implications for the State Budget, whether emergency or normal in nature, must be held to a high standard and guarantee the principle of transparency.

Earlier, on 16 April 2024, the Government decided to directly award five national companies the rehabilitation of urban roads in Dili, as preparation for the visit of His Holiness Pope Francis to Timor-Leste. However, at the work sites, the contractor companies did not post any information board or notice on the companies’ identities, the budget amount or the duration of the works.

Minister Samuel Marçal said at the time that the absence of information boards was not a big problem, and asked the community to cooperate. He explained that these projects were of an emergency nature, so the companies carried out the work first, while technicians prepared the documents and verified the costs immediately. Once the contract is in place, the information board is put up.

“This project is of an emergency nature, so the contractor companies are working now, then we will prepare the documents, do the verification, determine how much the cost is, and then when it is put into the contract, we will go and put it on the information board,” Minister Samuel Marçal said.

According to information at that time, the five national companies contracted by MOP are Arquiris Unipessoál Lda (Kristu Rei–Dolok Oan road), Montana Di’ak Unipessoál Lda (Rotunda Nicolau Lobato–Rai Kotu), Jonize Construction Unipessoál Lda (Delta I and Fomento–Manleu), Star King Unipessoál Lda (Delta II and Delta IV), and Fortuna Unipessoál Lda (emergency road towards Manleu-Ana).

Raimundos Oki
Author: Raimundos OkiWebsite: https://www.oekusipost.comEmail: This email address is being protected from spambots. You need JavaScript enabled to view it.
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