4. Bidder Selection
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4. Bidder Selection Start Comparison
a. Are there any rules on the selection criteria?

Yes. Public agencies must comply with various procurement principles and policies, such as, among others, utilisation of local products and best value for money.

b. Is prequalification an option? If so, what are the requirements? What is the procedure?

Yes, prequalification is an option. The Ministry/Department may specify pre-qualification criteria and advertise the tender to invite bidders to enter the tender process. Interested bidders may buy the documents that elaborate on the specific criteria required by each bidder to qualify for further evaluation. If necessary, briefing sessions may be carried out. The tender documents will then only be sold to shortlisted companies that pass this initial evaluation stage.

d. Do “blacklists” for bidders exist? If so, what are the conditions for unlisting?

Yes, bidders may be blacklisted for breaching any registration requirements (e.g., falsification of information/document, failure to comply with registration requirements, failure to update company's information) and/or breach of tender/contract conditions (e.g., falsification of information/document, price collusion, failure to comply with contractual obligations etc.) "Blacklisted" bidders may be barred from participating or accepting any public procurement offer for up to 5 years. We do not have information on the conditions for unlisting as this information is not publicly available.

e. Does the involvement of a company in the set-up of a procurement procedure exclude the company from said procedure due to conflict of interest?

The Treasury Instruments are silent in this regard and we have not seen any company being involved in the set-up of a public procurement procedure. However, the Treasury Instructions generally prohibit any public officer who has a personal interest in a procurement process from dealing with the same.

f. Can bidders combine to submit a bid (bidder consortia)? What limitations apply?

Yes. However there may be certain limitations where the relevant procuring public agency may stipulate specific requirements. For example, in respect of the method of combination (i.e., on a project basis or by way of a consortium), local equity requirements etc.

g. Can members of a bidder consortium be changed during a procurement procedure?

This would depend on the terms and conditions of the bid (i.e., initial selection criteria etc.) which will vary from bid to bid. It may or may not specify prohibitions on the changing of the members of a bidder consortium during a procurement procedure.

h. Do limitations apply for participation of related bidders in the same procurement procedure with competitive bids?

Yes. Limitations do apply including the prohibition under the CA against bid-rigging (i.e., related bidders taking turns to win bids).

i. Is there a special regulation or a special requirement for a foreign company to participate in a procurement procedure?

In respect of procurement for supplies and services, foreign companies are required to establish a local company for the purposes of registration with the MOF in order to be eligible to participate in public procurements in Malaysia. As for contracts for works, foreign contractors are required to register with the CIDB.