Public procurement drives government projects. And this has led to Nigerians’ different perceptions about the manner of public procurement. However, analysts say the perception about public procurement must stem from a lack of proper understanding of the workings of public procurement; BENJAMIN UMUTEME writes.
Public procurement is the process of purchasing goods, services, and works by governments and state-owned enterprises. It’s a key part of how governments deliver services to citizens. In Nigeria as in other parts of the world, public procurement plays a crucial role in project implementation by governments at all levels. And this is where the Bureau of Public Procurement (BPP) comes into the picture.
The BPP
The Public Procurement Act 2007 established the Bureau of Public Procurement as the regulatory authority responsible for the monitoring and oversight of public procurement, harmonising the existing government policies and practices by regulating, setting standards and developing the legal framework and professional capacity for public procurement in Nigeria.
Its core objectives include the harmonisation of existing government policies and practices on public procurement to ensure probity, accountability and transparency in the procurement process; the establishment of pricing standards and benchmarks; ensuring the application of fair, competitive, transparent, value-for-money standards and practices for the procurement and disposal of public assets; the attainment of transparency, competitiveness, cost effectiveness and professionalism in public sector procurement system.
Nigeria’s Bureau of Public Procurement (BPP) plays a crucial role in ensuring transparency, efficiency, and accountability in public procurement processes.
Analysts have opined that the challenges confronting it notwithstanding, the BPP’s efforts are vital for achieving national growth through fair and competitive practices. However, they say more reforms are needed to fully address systemic issues.
The Bureau of Public Procurement (BPP) has made significant efforts to reduce corruption in public procurement in Nigeria. Such initiatives include unveiling a new plan to eliminate procurement fraud, deploying an electronic procurement system for transparency, and introducing a Beneficial Ownership Scheme to detect fraudulent activities.
The Bureau continues to collaborate with anti-corruption agencies like the EFCC and ICPC to enhance accountability
For the Director General of the BPP, the bureau has a responsibility to ensure that all Ministries, departments and Agencies (MDAs) comply with the provisions of the public procurement act in carrying out their various initiatives.
“The BPP has that responsibility that agencies of government comply with what they have set out to do, when they will start it, how they will do it, what time they will start it, and what time they will deliver it and its impact on society. BPP, therefore has that responsibility to provide policy guidelines, timelines, it provides instruments upon which contracts can be awarded. It has the instruments to ensure contractors are selected, it has the instrument to ensure costs are reasonably fair, and it also has the responsibility to tell Nigerians that so and so MDA has been given approval to undertake various developmental projects as designed by the leadership of the current government under the leadership of the current administration of President Bola Tinubu.
“And so, BPP is that tool, that catalyst, that enabler that would enable the economy to move at a faster pace. And to also bring to our reality those who are slowing things down. It is also our responsibility to also bring some kind of discipline to government or procurement officers-that you can’t implement projects at your own pace. That in an attempt to implement, you must carry out projects based on the specific timelines that the BPP has issued and will continue to issue as things evolve.”
No objection certificate
One thorny area that continues to elicit reaction from stakeholders is the ‘certificate of no objection’ that the bureau issues to contractors. Many Nigerians say the process has been abused but the BPP sees it differently.
Speaking on AriseTv show ThisDay Live, the Director of the BPP, Dr. Adebowale Adedokun, said the lack of a clear understanding of what ‘certificate of no objection’ entails.
According to the BPP boss, the certificate of no objection encompasses the whole procurement process.
He said, “There is nothing wrong with the BPP issuing different forms of certificates of no objection. That is one out of the 19 functions that the bpp undertakes. Certificate of no objection is really one out of several functions, and why is that so? It is an instrument that we use to ensure that MDAs, government agencies go through a particular cycle.
“There are some projects that require that you don’t have to advertise because of the nature of that procurement. There are some projects because of national security, you give them special procurement. However, what is important is that all procurement must be done transparently, openly, where every Nigerian has an opportunity to participate. And you know, it’s not every time that the contractor will win. Sometimes you win, sometimes you lose. The most important thing is that there is a process; there is transparency in what you do.
“And of course, the certificate of no objection comes into play when the threshold is above a particular level of governance. We have different thresholds, once you don’t advertise; BPP would have to give you no objection to adopt a particular method of procurement. This is where mostly in the past we saw some abuses. It’s not totally correct that the no objection is what is slowing down budget implementation. In fact, if we use that instrument well, it is going to facilitate economic development in our nation.
“When people say the no objection certificate that BPP issue is shrouded in some form of corruption, is because we do not clearly understand. It’s like you are going to fly to the UK, you must get a visa even when you get a visa, you must have your flight ticket, you must have where you will reside, and you must state the purpose and duration. That is not an objection that we are talking about; it is inside it that the certificate we issue that tells you the entire story of a particular project.
“For instance, if you are going to build a road or a hospital in a particular location in Nigeria when you choose to adopt another method other than open competition, you must show us the justification why you don’t want to advertise. That is captured in the no objection that we issued. In the cycle that having given you a method to adopt, we expect the agencies to go further and invite the bidders that have been selected or in an open competitive manner, let them submit their bids, we’ll open the bids, the agency is the sole responsibility to evaluate and come out with the contractor that has met all eligibility criteria set and has those special conditions that will enable you do.”
Driving sustainable devt
Speaking at a meeting with the BPP’s management, the Director General of the Bureau of Public Service Reforms (BPSR), Dr. Dasuki Arabi, said the country’s procurement reflects the principles of integrity, transparency and accountability that would further drive sustainable development as well as trust among citizens.
He said public procurement was not merely a tool for acquiring goods and services, but “a vital mechanism for fostering economic development, promoting good governance and ensuring the judicious use of public funds.”
“Recognising this, the Nigerian government has implemented a series of strategic initiatives to strengthen the integrity and efficiency of procurement Processes
“Some of the measures the government has undertaken in this regard includes, the Enactment of the Public Procurement Act (PRA), on introduction of the Open Contracting Data Standard (OCDS), Implementation of e-procurement systems. Launch of the Open Treasury Portal and establishment of the Efficiency Unit.”
Others are the Adoption of Framework Agreements, Establishment of Federal Completion and Consumer Protection Commission (FCCPC and that of the Anti- Corruption Initiatives among others
He stressed that the reforms demonstrate the government’s commitment to building a procurement system that is inclusive, transparent and efficient.
According to him, “Despite challenges, we are steadily making progress in addressing vulnerability and ensuring the procurement process serves the best interest of the Nigerian people.”
