WINDHOEK – The overhauling of the public procurement process has begun with the tabling yesterday of the Public Procurement Bill, which if passed, would repeal the knotty Tender Board Act of 1996.
The bill before lawmakers, once passed, is expected to effect more practicality in harmonizing the entire public procurement system, by centralizing procurement in all public institutions in the country, through a Central Procurement Board that would replace the Tender Board and is expected to operate at a heightened level of efficiency and accountability.
Not only would the new process enforce practical compliance by eliminating loopholes through which unwanted practices creep in, but is also expected to anchor on the efficiency imperative. The bill goes beyond compliance to rules and serves as a lever for policy implementation, putting particular emphasis on stimulating economic growth through a series of preferences to local businesses, industries and socially and previously disadvantaged groups.
Aggrieved bidders would no longer have to resort to courts, an expensive undertaking, which not all aggrieved bidders can afford, but would have to seek redress through a review panel. “The intention is to provide for the speedy resolution of such complaints, which will minimise the frequency of bidders’ recourse to court actions,” said the Minister of Finance Saara Kuugongelwa-Amadhila when she tabled the bill in the National Assembly yesterday. The review panel will deal with applications for administrative review from aggrieved bidders who are still not satisfied after challenging procurement proceedings at the level of the Central Procurement Board.
The Tender Board Act of 1996 has been on the Namibian statute books for almost two decades, and according to the finance ministry it is no longer sufficient or adequate to achieve the country’s developmental objectives. The proposed legal framework will regulate all procurement undertaken by public bodies from the process of identification of needs to delivery. Unlike the Tender Board which deals with almost all public tenders, the Central Procurement Board’s main responsibility will be to cater for procurement of high-value contracts as the prescribed threshold. If the work to be done does not reach the threshold, tenders will have to be dealt with by a public institution. The composition of its board members will consist of nine members appointed by the minister of finance and serve for a period of three years. Currently members of the Tender Board are mainly the ministries’ permanent secretaries. Under the new bill the board members of the Central Procurement Board would consist of industry experts.
Among its functions, the new board will have to vet bidding documents prepared and submitted by public bodies, invite and receive bids, approve the award of contracts and will be led by a chief executive officer appointed by the board.
Provision is also made for a Procurement Policy Office with the responsibility of advising the minister on policies, guidelines, standards and manuals required to maintain an internationally competitive public procurement system in Namibia. The office will also be responsible for recommending thresholds, disqualifying, debarring and suspending suppliers and conducting investigations where necessary. Another provision is the establishment of a Procurement Committee to provide proper structure for the award of procurement contracts within the threshold set for public bodies, which the minister says will enhance efficiency in the award of contracts and improved public service delivery.
Among the variety of procurement methods that will be made available is open, advertised bidding that will be the default procurement method. In the event that a public body has reason to believe that open, advertised bidding does not support empowerment and other socio-economic policies of government, other methods of procurement may be employed. Kuugongelwa-Amadhila told the National Assembly that the essential object of the bill is to promote the empowerment of Namibian women and youths and will offer preferential treatment in the allocation of procurement contracts and the advancement of people from previously disadvantaged communities. The National Assembly is expected to debate the bill next week Tuesday.
By Tonateni Shidhudhu