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‘We just want to compete’: Road tender snub

Mackay company skipped for $120M QLD government project, given to foreign giant, despite being qualified to do the work.

Minister for Transport and Main Roads Mark Bailey and Mackay MP Juileanne Gilbert at the site of the Northern access for the Mackay Ring Road. Picture: Tony Martin
Minister for Transport and Main Roads Mark Bailey and Mackay MP Juileanne Gilbert at the site of the Northern access for the Mackay Ring Road. Picture: Tony Martin

EXCLUSIVE: A MACKAY construction giant has questioned the State Government's tender process after his firm was barred from tendering a $120 million project on the company's doorstep.

Vic Vassallo said his company just wanted the chance to compete.

The Vassallo Constructions managing director said the company was qualified to go head to head with large multinational companies for the Mackay Northern Access Upgrade contract.

TMR documents show contractors needed road level four qualification, bridge level three and finance level 50 plus, to submit an EOI - Vassallo has these exact credentials.

Multinational Spanish company CBP, which has won billions of dollars worth of Queensland Government contracts, has started work on the project near Mount Pleasant to upgrade the highway and major intersections, reduce congestion and improve traffic flow. Vassallo was one of six companies allowed to submit an expression of interest in the first stage of a two-stage application process.

Vassallo Constructions Managing Director Vic Vassallo.
Vassallo Constructions Managing Director Vic Vassallo.

CPB, Lend Lease and Brisbane-based CMC were short-listed to price the project in the second stage, but Vassallo was not.

Mr Vassallo said he believed the State Government should preference local companies over multinationals and challenged TMR when he found the company was not allowed to price the project.

"Why is an international company being awarded contracts in Queensland … where the government have clear local procurement policies," Mr Vassallo said. "There was a capable company in the local area and (we) did not even get a chance to price it.

"If CPB won it outright by price, so be it, but not even a chance to price it and go head-to-head with the bigger companies, to me is very disappointing to say the least."

A Transport and Main Roads spokesperson said the procurement process for the Mackay Northern Access Upgrade complied with state requirements and that "all companies with the appropriate pre-qualification level were given the opportunity to tender". Mr Vassallo said he would have understood not being able to price the project if the company had not met the prequalification requirements.

"We just want to compete," he said.

Civil Contractors Federation chief executive Damian Long called on the State Government to preference local companies over national and international firms.

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Original URL: https://www.couriermail.com.au/news/queensland/mackay/business/we-just-want-to-compete/news-story/f32747cfb3b8f85aeb0ab712cccb8829