Chinese go to court over multi-million-euro energy tender shifted to Bonnici Brothers

A mega Chinese company, which made the lowest bid in a multi-million-euro green energy tender, only to be disqualified at the eleventh hour so that the award is shifted to a consortium in which Bonnici Brothers has a significant stake, has cried foul play and is challenging the decision in Court.

Through its lawyers, Jiangxi Ganfeng Battery Technology Company Ltd – considered a world leader in green energy – slammed a decision by the government-controlled Public Contracts Review Board (PCRB) to cancel the award following an objection by Bonnici Brothers.

According to the Chinese firm, the PCRB succumbed to pressure made by Bonnici’s lawyer, Prime Minister Robert Abela’s sidekick Ryan Pace, and acted outside its legal remit to deny it a €24 million contract.

Dubbing the decision a grave mistake unsupported by law, the Chinese company asked the Court of Appeal to reverse the PCRB’s decision and restore the original award.

The issue dates back to 2024, when Interconnect Malta, the government agency responsible for green energy projects, issued a tender worth €47 million, funded by EU funds, to design and build two energy storage battery systems in Marsa and Delimara.

Jiangxi Ganfeng – a worldwide leader in the sector submitted the lowest bid, at €24 million, and was awarded the tender.

However, the second-placed bidder, BESSUI JV – a consortium led by Bonnici Brothers – filed an appeal with the PCRB, despite submitting an offer that was €4 million higher.

In its challenge, Bonnici’s lawyer, Ryan Pace, insinuated that the government entity took “the easiest way” by awarding the tender to the lowest bidder, so as not to be criticised for giving another multi-million-euro tender to the Bonnici Group.

According to Pace, who took over Bonnici as his client from Abela, the Chinese company should have been disqualified, as its majority shareholder was found in 2024 to have participated in insider dealing in China.

This argumentation was rubbished by the Chinese company, insisting that it has an entirely separate judicial personality from its shareholder (a different company) and that what Pace was insisting about was not even permissible under Maltese and EU law.

Still, the PCRB, chaired by Vince Micallef – a labour acolyte – agreed with Pace, and annulled the award to the Chinese company, insisting that a new evaluation should be carried out with the Bonnici Brothers consortium becoming the next in line.

Taking the case to Malta’s highest Court, the Appeal Court, the Chinese company called the PCRB’s decision absurd and a result of undue pressure from Bonnici’s lawyer.

Since 2020, when Abela became Prime Minister, Bonnici Group, through its various companies, has been awarded numerous high-value tenders and direct orders, in some cases against tough competition and cheaper bids.

The latest includes a diesel-fired temporary power station in Delimara, costing €37 million, to be used only in emergencies. Abela used to be Bonnici’s lawyer before he became Prime Minister, and conducted personal business with Gilbert Bonnici, the Group’s Managing Director.

At the time, Ryan Pace was Abela’s legal assistant at the Prime Minister’s private legal firm.