Good governance in procurement

The PPP procurement process needs to be a transparent, neutral process based on the common principles of good governance. It should promote competition and ensure a balance between the need to reduce the length of time and cost of the whole procurement process. The main objective of such a process is to acquire the best proposal that serves the purpose of the government and provides the value for money. The main characteristics of such a procurement process include:

•  Open and unbiased tendering process that provides equal opportunity to all prospective bidders;

•  Not a one-way process;

•  The schedule of requirements is finalized through a two-way communication and is based on what best possible solution the private sector can offer;

•  Avoids costly retendering;

•  Ensures wide participation of the private bidders by eliminating costly design efforts before the contract is finally awarded; and

•  Where applicable, a two-step tendering process is considered to avoid
costly design exercises in the first stage.

Section D outlines a procurement process that considers these elements in good governance.