Delivering Procurement Performance: Success Stories Bangladesh Second South Asia Region Public Procurement Conference
Outline of Presentation Public Procurement Reforms Legal Framework in Public Procurement Capacity Building and Institutionalization Procurement Performance Measurement (PROMIS) Modernization of Public Procurement(e-GP) Complaint Resolution Mechanism Civic Engagement in Procurement Monitoring
Bangladesh Profile • 1971; ~ 144,000 sq-km; 64 districts • 7 Divisions 64 Districts 486 sub-districts(Upazilla) 4,500 UPs 68,000 villages • Annual national budget: ~ US$ 28 Billion • Annual Development Program: ~ US$ 8 Billion • Proc. expenditure: ~ 21% of national budget; ~ 70%-90% of ADP • Implemented 6 medium term Plan • Gradual shift: From planned market economy • Progressive improvement of procurement regime
CPAR Findings & Recommendations – Absence of legal framework – Bureaucratic procedure Findings – Lack of competent staff – Poor quality Bidding document – Ineffective contract administration CPAR 2002 – Establish policy unit Recommendations – Carry out reforms – Improve proc. capacity
Central Procurement Technical Unit (CPTU) Establishe hed : 4 4/2002 Procurement Reforms through PPRP (2002-2016) PPRP ($5 M) PPRP II ($24 M) PPRP II AF ($35 M)
Legislatives Chronicles e-GP Guidelines 2011 PPR 2008 PPA 2006 PPR 2003 PPA 2006 GFR…, 2908 & 2911
Capacity Building Short Proc training: 3-Week Proc. training : (15 different audiences) 1800+2950+2700 =7450 3583+10500 Masters in Public Procurement MCIPS IGS-BRACU: 35+100 35+100 ITC-ILO-25
CIPS Selection Process 35: Number of MCIPS (June 2013) 40 # of participants enrolled for CIPS levels 4-5-6 52 # of participants passing CIPS screening ~170 # of participants in CIPS screening test ~180 # of top performers from end course exam 1,450 # of participants from 52 courses
Institutionalization & Sustainability Framework Establishment of CIPS Study procurement faculty: Centers: National Trainers Pool Engineering Staff IGS, BRACU & College Bangladesh ESCB (ESCB) BRACU: Institutionalizing short- training through existing Conducting Masters public training institutes Program in PP
Proc. Performance Measurement System (PROMIS) 45 KPIs - 4 Agencies Performance Area Performance Indicator Baseline Present Status (2007) (up to 2012) Transparency % of Invitation for Bid (IFB) Less than 100% published in newspaper 70% % of Contract awards Less than 15% More than 70% published Efficiency % of cases contract award 10% More than65% decision made within initial bid validity % of Contracts completed No record More than 50% within the original schedule Competitiveness Average number of Bidders Less than 4 More than 6 nos. submitted Bids nos. Average number of Less than 3 More than 4 nos. responsive Bids nos.
Modernization of Public Procurement Electronic Government Procurement (e-GP) 2 June, 2011
e-GP: Key Features Single uniform national web portal Centralized registration system Comprehensive system from proc. plan up to final payment (e-Tendering + e-Contract Management) Automatic proc. performance monitoring (e-PMIS) Robust security features & back-up arrangement with full redundancy to ensure uninterrupted service. Harmonized with MDB guidelines Independent consultant reviewed for Bank’s use Bank accepts the BD e-GP system for its financed projects Self sustainable model – system is generating required fund
e-GP: Security Features Encrypted tender information till opening Integrity of submitted tenders Audit log of all activity of all users No password saving in database Password complexity control Last login time display
e-GP: Payment Provisions Registration Tender Security fees Performance Security Tender Renewal Document fees fees Online through Banks Payment Payment Gateway Gateway
e-GP: Tender Dropping T ender Box
e-GP: Online Helpdesk System
E-GP : Where we are Reg. Govt Users Government 3383 3383 (22 Org.) Users (22 Org.) Reg. Tenderer / 8353 8353 Consultant Total Reg. Users Reg. Bank user 1873 13609 (25 Banks)
E-GP : How we are doing # Registered Value of bids Period # Bids invited Bidders (US$ M) June -2012 294 14 3 December -2012 525 144 18 June -2013 1067 498 62 December-2013 7459 4548 319 14 March-2014 8353 6558 506
e-GP: Progress
e-GP: Roll out Map No. of PEs 2011 2012 2013 2016 Time
Complaint Resolution Mechanism Administrative Review PE HOPE Secretary Independent Review Review Panel
Civic Engagement in Procurement Monitoring Public Private Stakeholder Committee (PPSC) Government Business Academic Think-tanks Civil Society Agencies Apex Bodies Institutions 1. Help develop a framework for citizen engagement 2. Provide suggestion to develop implementation Strategy 3. Suggestion for any legal framework needed. Strategy for Civic Engagement in Public Procurement • Monitoring at implementation part and gradually at the Process Part • Citizen group formation with all stakeholders Procurement watch • Advocacy Campaign to sensitize local people • e-T endering wherever possible • Budgetary allocation
Highlights Single Uniform Legal System (PPA/PPR , e-GP guidelines) Capable Public Procurement Staffs Procurement Performance Measurement Civic Engagement in Public Procurement Modern Procurement System (e-GP) Commitment of the Government Public c Procur curement nt Awar arene ness
Kazi Jahangir Alam Akm Jashim Uddin Md. Mosharraf Hussain
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