By Staff Reporter
WINDHOEK – NamPower has relaxed its stringent prcourement requirements, in a move that would give local companies an advantage to tender for businesses with the energy utility company.
NamPower says it would immediately do away with the tender bond or security for tenders below N$10 million if it can be demonstrated that it will not result in any increased financial or operational risk to the company.
This is all part of NamPower’s new Equitable Economic Empowerment Policy (NEEEP), which has replaced its Black Economic Empowerment policy of 2004. NamPower’s board already approved the new NEEEP policy in September 2014.
“The new policy encourages entrepreneurship among previously disadvantaged communities and gives them access to mainstream business opportunities,” said NamPower’s Managing Director, Paulinus Shilamba.
NamPower has a host of major projects that present business opportunities in platforms, civil and steel works during the erection of substations at six sites across the country in the next six months. The national power utility is also planning to construct four transmission lines in the next six months.
“Small previously disadvantaged business enterprises shall be offered assistance to trade with NamPower,” Shilamba said, adding that NamPower will provide developmental assistance where possible.
NamPower is also commiting to provide developmental assistance to previously disadvantaged suppliers, through the Supplier Development Programme that is yet to be developed.
The new procurement policy was implemented in conjunction with the NamPower Tender and Procurement Policy.
NamPower is, however, adamant that the new NEEEP policy would not mean waivering crucial elements, such as quality of products and services and time issues. NamPower says it would also not put itself in a position of accepting commercial terms that would make it materially weaker.
Shilamba said the company shall identify and determine annually a list of set-aside products and services to be procured exclusively from previously disadvantaged suppliers, who would have been bestowed with a NEEEP profile status.
He explained that the company’s set-aside procurement activities shall consist of non-core, repetitive or less technically complex purchases.
“If previously disadvantaged suppliers do not show interest in tenders set aside for them, then the tender will be opened to the rest of the market,” he explained.
Furthermore, Shilamba said NamPower shall deregister suppliers who misuse or misrepresent their NEEEP profile in an effort to gain undue advantage through the policy.
“NamPower may also take additional appropriate actions, including, but not limited to, legal action against such suppliers,” he said, adding that directors and owners of businesses who have been de-registered will be blacklisted and excluded from trading with NamPower for at least five years.
According to Shilamba, all suppliers shall be rated for NEEEP compliance based on NEEEP score board and those suppliers with the minimum score of 50 percent NEEEP compliance shall be classified and registered as NEEEP-compliant suppliers on the NamPower Vendor Master Data.
“Only suppliers with more that 50 percent previously disadvantaged ownership are to be classified and registered on the NamPower Vendor Master Data,” he said.