FG urges states to replicate procurement laws

The Federal Government has urged state governments to conclude the process of replicating and enacting their own procurement laws.

The public procurement reform programme began at the Federal Government level more than 14 years ago, culminating in the passage of the Public Procurement Act in 2007, as part of government’s efforts to streamline the processes and procedures in public expenditures in line with global practices.

However, only 24 state governments have so far passed their own laws setting up their own regulatory authorities. The remaining 12 states are been encouraged to provide the needed political support to enable them implement transparent procurement systems.

Speaking at the first national conference on public procurement organised by the Bureau for Public Procurement (BPP), President Goodluck Jonathan, who was represented by Vice President Namadi Sambo, noted that a regulatory body cannot be effective except it is backed by law.

“I want to call on state governors to protect the regulatory authorities for them to be independent the way I have protected the federal Bureau for Public Procurement”, he said.
The president also stressed that the implementation of the procurement reforms goes beyond passage of laws.

“A great deal of political will is needed for its full implementation. I, therefore, urge the remaining twelve states to as a matter of fact conclude the processes of enacting their own laws and also taking measures to implement them”, he said.

As an incentive for states to domesticate the laws, the president said one of the recorded successes from 2009 to 2013 fiscal year is a total of N588 billion saved by the BPP before the award of contract by the Federal Executive Council (FEC).

Ngozi Okonjo-Iweala, the minister of finance and coordinating minister for the economy, in her remarks said current reforms in public procurement will assist government in conserving the nation’s economic resources for the provision of the much needed democracy dividends.

he noted that proper public procurement practice will also help the country reduce wastage in public expenditure.

Okonjo-Iweala cited the efforts of other countries to reform their public procurement practice, stating that over $400 billion is lost annually worldwide due to sharp practices in public procurement.