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PPA Talks Tough On Gov’t Contracts

botchway June 12, 2018

 

By Frederick E. Aggrey

The Chief Executive Officer (CEO) of the Public Procurement Authority (PPA), Adjenim Boateng Adjei, has sent a strong warning to prospective bidders of government contracts that the Authority would not consider any bidding institution that has not registered on the new Supplier Database.

“Effective Monday June 11th, 2018, all suppliers, contractors and consultants interested in government tenders must, as a matter of law, register with valid documents as per supplier qualification requirements of Section 22 of Act 663 (as amended) on their newly-developed Centralized Supplier Registration Portal,” he said.

Addressing a news conference in Accra yesterday, the CEO indicated that procurement-related issues have headlined Ghana’s electioneering and governance process, and the Authority had to introduce innovative measures and mechanisms to perfect the system.

He said that these interventions have already resulted in massive savings for the country. He added that the move is also to increase public confidence in the work of the PPA, and to bring confidence in public sector procurement.

According to him, there is the general perception that contracts advertised are pre-awarded even before they are advertised. He said the supplier database is aimed at curing all doubts surrounding public procurement.

He added that the database will make public procurement effective and efficient for the judicious use of Ghana’s state resources.

He further revealed that Section 22 of the Public Procurement Act, 2003 (Act 663), as amended, provides, among others, that “a tenderer in public procurement must possess the necessary professional and technical qualifications and competence; financial resources, equipment and other physical facilities, managerial capability, reliability, experience in procurement object and reputation, and qualified personnel to perform the procurement contract.”

He added that, the Act further provides that a tenderer will have the legal capacity to enter into a contract, be solvent, not be in receivership, bankrupt, or in the process of winding up among other things.

He argued that most of these requirements and other ones have not been properly verified for authenticity, hence, “the need for PPA to assert itself as an Authority in the application of Section 3(p) of the Public Procurement Act.”

He further told the journalists that a section of the Act mandates the PPA to develop and maintain a comprehensive supplier database that can support effective policy formulation and decision making.

The intervention, he continued, would allow procurement entities to have all assurance of credibility of providers enlisted on their database.

In addition, he said, the PPA, as a regulator, would have an easy way of certifying suppliers for government tenders.

He revealed further that the programme comes with an initial registration fee of GH¢300, and US$200 for local and foreign firms respectively, with a one-year renewable option.

The National Investment Bank (NIB) was the service provider, having provided the service for free. They were selected out of five bidding firms, which all quoted varying costs for the project. The database project is estimated at a cost of USD1,000,000 according to the NIB.

 

 

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