ZPPA says it has not received any complaint concerning the award of the fertiliser tender through direct bidding

ZAMBIA Public Procurement Authority (ZPPA) says it has not received any complaint concerning the award of the fertiliser tender through direct bidding. And the ZPPA in the third quarter reviewed 187 reports on procurements undertaken using the direct bidding method.

The authority says since the beginning of this year, “we will no longer be granting ‘no objections’ for direct bidding so the procuring entities”.

Reviewing its operations in the third quarter of this year yesterday, ZPPA manager monitoring and evaluation Chang Lubobya said the authority did not receive any appeal concerning the fertiliser tender process recently concluded by the Ministry of Agriculture.

He said while speaking through an interview that it was indicated that they were complaints but now if there is a complaint, it has to formally come through so that we can table it. Just like prior to the earlier method that was used to procure fertiliser, there was a complaint initially for the initial method and arising from that complaint, we took action. I think you are aware of it. We ordered the cancellation of the same tender so as DG has indicated, we receive complaints but so far there is no complaint, But if there are issues there, other compliance monitoring activities are undertaken to just monitor and see if things were done properly. This can involve the submission of monthly reports on direct bidding to review there are also minutes that we review.

Chella also clarified that ZPPA had now stopped granting ‘no objection’ for direct bidding.

“The other clarity that we need to give is currently from the beginning of this year, we issued circular number 1 of 2022 where we said ‘we will no longer be granting ‘no objections’ for direct bidding so the PE (procuring entities) are supposed to follow provisions of section 46 in making a decision on direct bidding,” said Lubobya.

And ZPPA director general Idah Chella said direct bidding was only permitted under outlined conditions.

She added that For procurement there are certain procedures that have to be followed.

Fortunately for ZPPA, we have deviations but as regards the one for the circular, direct bidding is part of the procurement process. It is like a procurement method. There are conditions for inviting that tender We review it, and they submit it. They submit these direct bidding reports every month. So whatever contraventions they may be having, we write to the procuring entity and should they continue flouting, we have a remedy. We can do sanctions on them. So we did note a few issues such as delays in submitting reports.

Where it is direct (bidding) we tell them that it is not justified so it is not really that it is prone to abuse. Direct bidding has conditions under which it can be conducted. For example, the services may just be from a single source which is a manufacturer, so there can you say they compete with traders? Of course, the manufacturer will have an upper hand or something like that and they are also franchise holders when it comes to motor vehicles. So there you cannot say I am going to look for a market somewhere else. Those are franchise holders and are the only suppliers. Those are some of the issues that justify why direct bidding is to be used.

The briefing was called to update the media on investigations on public procurement matters and appeals, compliance assessments, procurement audits and contract monitoring, compliance monitoring and reporting requirement update on capacity development activities, and update on the electronic government procurement system. The ZPPA disclosed that 187 reports on procurements were undertaken using the direct bidding method.

Lubobya also said that the authority also requires procuring entities to submit direct bidding reports. The reports enable the authority to review adherence to section 46 of the public procurement Act and ZPPA circular no.1 of 2022 on the procedure for the use of the direct bidding procurement method. In the third quarter of 2022, the authority reviewed 187 reports on the procurements undertaken using the direct bidding method. Some of the notable observations on the direct bidding reports included late submission of the reports, justifications for the use of direct bidding procurement method were not in line with ZPPA circular no. 1 of 2022, controlling officers did not sign the direct bidding reports and procuring entities are required to submit monthly direct bidding reports to the authority by the 15th day of the month following the reporting month

“Further, in line with section 69(2) of the public procurement Act, procuring entities are required to submit reports on termination or cancellation of procurement proceedings within 14 days of the termination or cancellation. In the third quarter of 2022, 25 reports on the termination of procurement proceedings were received and reviewed.

ZPPA received and reviewed 93 applications for deviations out of which 72 were approved. Procuring entities are reminded to always attach the prescribed form for every application for deviation to avoid delays.”

She also disclosed that ZPPA had permanently barred three suppliers namely Greenside Investment Limited, FMC Farms Limited and Simuliya Trading Company after it was established that they had colluded and connived in the submissions of quotations in a tender by the Ministry of Heath for the procurement of masks and reusable surgical scrubs to support response towards COVID-19.