Tendering is a characteristic for a public sector. For example, when a public sector willing to purchase an item or service costing more than 200,000 QR they have to go for tendering. The benefit for tendering is to have the best quality with the best price. In Qatar, if the purchases are under 200,000 QR, the contract can be proceeded by many methods of contracting. However, if the purchases are over 200,000 QR, it should follow the law of tendering. Tender committee of Qatar fuel of QAFAC invite qualified local suppliers to participate in the following tenders

Four suppliers- applied the following quotation for tendering.

• Supplier 1 quotation worth/ value QAR 1,400,000
• Supplier 2 quotation worth/ value QAR 1,200,000
• Supplier 3 quotation worth/ value QAR 1,600,000
• Supplier 4 quotation worth/ value QAR 1,500,000

Each one of the above suppliers provided a refundable payment of 5% of their quotation as preliminarily payment to show their commitment to entry the above tendering process.

The first supplier qualifies as a local supplier of the tender and he provided Qatar fuel with the full second and final commitment payment that is 10%.

Furthermore, Qatar fuel refunded to other suppliers their insurance. Further, the first supplier delayed and he couldnt deliver on time. Thus, there was a penalty/fine worth QAR 120,000. Qatar fuel paid back the insurance money to supplier 1.

Instructions:

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