The €120,000 contract won by Nexia BT last year to provide advisory services for waiting lists at Mater Dei Hospital expired recently and would not be renewed, Health Minister Chris Fearne said.

Nexia BT was last year awarded a 12-month contract to work with the Health Department, which then fell under Minister Without Portfolio Konrad Mizzi, in areas involving public-private partnerships. “The contract was awarded in a legal manner and very valid work was done. It has since expired and, in the past few days, I have had discussions with the directors of Nexia BT and the direction I have given them is that it will not be renewed,” Mr Fearne said.

Naturally, he hastened to add, this would not mean the advisory firm would not be able to compete on tenders for other projects. “I repeat that the work they have given us was of very good quality,” he stressed.

Asked why he had decided not to have the contract renewed, Mr Fearne simply said the timeframe had elapsed. “When further calls for tenders are made – which we definitely will do since our department is a large one and we are actively pursuing PPPs – Nexia BT would be able to bid like other companies,” he said.

I repeat that the work they have given us was of very good quality

The contract in question involved two projects that were not yet completed. Mr Fearne said the work would continue because, if halted, the government would lose out on the work already carried out.

“The ongoing projects, which form part of work that has been going on for around a year and a bit, will be rounded up and completed,” Mr Fearne said. Asked what the two ongoing projects involved and how long they would take to be completed, Mr Fearne said they were “nearing completion”. The projects, he said, involved consultation services regarding primary healthcare and ways to better utilise pharmaceutical systems. They also involved analysing the ways through which such systems would impact the services given to patients, especially in terms of waiting lists.

Once the projects were completed, other tenders would be issued, he said.

According to information published in The Malta Government Gazette, Nexia BT – which set up Panama companies for Dr Mizzi and the Prime Minister’s closest aide, Keith Schembri – won the contract for “advisory services regarding waiting lists in critical areas” last year.

The contract was given under the so-called ‘negotiated procedure’, which means the selection process was restricted.

Government procurement rules allow this type of procedure in cases where the service being sought can only be provided by a restricted, specialised few. Industry sources have expressed surprise that the restricted procedure was applied here, arguing that Nexia BT was not known for its expertise in the health sector.

The advisory firm last year also won a number of other government contracts in various areas, including those that fell under Dr Mizzi’s direct political responsibility when he served as the health and energy minister.