Public sector contracts fill ITC companies’ coffers

The National Agency of Fiscal Administration (ANAF) has said it will organize several bids to acquire laptops, video-conferencing gear and software systems. It will also invest in updating its data network. The overall estimated value of the contracts is EUR 50 million. Most of the funds will go on a system for tax information management and communication with tax-payers. The institution has estimated the contract at EUR 25.1 million (VAT included). The modernization of the ANAF data network, which involves acquiring and installing communication equipment, will be worth around EUR 7.3 million. Another EUR 3.6 million ANAF bid will cover security software for the data, communications and IT systems. And some EUR 7.8 million will be spend on systems for the administration of fiscal debts and distance learning. ANAF has set aside about EUR 850,000 for the laptops.
Elsewhere, the National Radio-communication Company (SNR) has also arranged an auction. To be held on October 8, EUR 19.39 million will be spent on the acquisition of communication equipment to clear frequency bands of 3.6-3.76 GHz. Currently, these bands are being used by SNR to retransmit radio and TV programs. After the equipment is installed, SNR will clear the frequency bands so they can be used for supplying telecommunication services and introduce WiMax technologies, said Mircea Cazan, GM of SNR. The company he heads is entirely state-owned and ensures the transmissions for public telephony, mobile telephony networks, data transfer and internet.
Meanwhile, the Ministries of Justice and Internal Affairs & Administrative Reform are preparing to install new equipment and updates to their IT systems. On October 27, the Ministry of Justice will organize a public bid for the EUR 2.38 million Electronic Court Register Informational Systems (ERIS) contract, which entails the acquisition of custom-made software applications to develop the national system of IT administration of court files.
Another public bid will take place on October 31, organized by the Ministry of Internal Affairs and Administrative Reform, for the acquisition of communication equipment and services for the projection and installation of voice and data networks. The three-year contract has an estimated value of RON 29.35 million. The acquisition will allow the update and development of integrated voice and data communication networks of the ministry in 12 counties. Only firms with an average turnover of RON 70 million (EUR 18.97 million) between 2005 and 2007 can apply.

Recent big winners
One of the largest IT contracts put up for public auction by the state, worth more than EUR 120 million, was won by Intrarom and Siveco. The pair's track record includes previous contracts with the state. (This is the second largest contract in years after the NetCity project assigned to UTI by the Bucharest City Hall. It amounted to EUR 202 million and UTI was the only firm that participated in the public bid.) Other firms that applied for the recent contract were Asesoft International, Romtelecom, together with Softwin and Sysware as subcontractors, and Softnet. It was organized by the Ministry of Education and Research with the aim of equipping 8,191 schools with IT labs. The value is EUR 122.48 million (RON 432.38 million).
Intrarom will supply, install and configure the equipment for the labs. It is also responsible for the realization of the computer networks in the schools, plus one-year technical support services and three-year maintenance services for the equipment.
Intrarom subcontracted 46 percent of the value of the contract to Siveco, which will supply eLearning licenses, multimedia lessons, training services for teachers and technical support services for the software applications, Magda Mischie, PR manager at Intrarom, told BR. While the project will last seven months, “the majority will be finished by the end of this year,” says Mischie.
Revenues from public sector projects made up 10 percent of Intrarom's total turnover in 2007. Last year, the local subsidiary of the Greek group Intracom posted a turnover of RON 188.5 million (around EUR 56.5 million), a 19.1 percent decrease from the previous year. One of Intrarom's most significant government contracts was the informatization of the Romanian National Lottery. It also received a similar contract with Bucharest City Hall. Both were granted in 2003 and amounted to almost EUR 5 million. In 2006, Intrarom also realized the first stage of informatization of the Ministry of Justice and the Public Ministry, a EUR 19.5 million project. Siveco has previously won several contracts with the state, either as prime contractor or as subcontractor.
Another substantial contract at the beginning of the year, for the informatization of Metrorex, went to US firm EPS, which beat S&T Romania to the EUR 15.7 million contract, said the firm.
Meanwhile, Alcatel-Lucent, Orange Romania and SAP Romania have announced the formation of an official partnership for the informatization of the Romanian Health System. The consortium was formed to offer complete e-health solutions. The partnership has seen the realization of several informatization projects in the medical system, such as the initiative of the National Network of Critical Medicine which allows for the realization of electronic medical charts that can be accessed anytime by patients or public institutions, video-conferencing and distant monitoring of patients. Aside from Alcatel-Lucent, Orange and SAP Romania, the project also had the support of Romtelecom, Microsoft Romania, HP Romania and Avitech Co, among others.
“The collaboration with Alcatel-Lucent for the informatization of the health system started several years ago when we developed an e-health pilot project for emergency situations,” said Richard Moat, CEO of Orange Romania.
By Otilia Haraga