Amended Procurement Act Will Encourage Corruption, Institute Urges Buhari to Withhold Assent

 

 

The Chartered Institute for Purchasing and Supply Management has called on President Muhammadu Buhari to withhold assent to Procurement Act which was recently amended by the National Assembly.

Speaking with the News Agency of Nigeria (NAN) on the sidelines of the Institute’s Annual General Meeting (AGM) in Abuja, some members of the Association stressed that the amendment was not in line with international best practices, adding that it may encourage corruption.

For instance, they said that the increment of mobilization fee from 15 per cent to 30 per cent was not logical as it could embolden fraudulent contractors to abandon contracts.

The Act requires public institutions and other relevant parties to ensure that all public procurements are conducted in a manner that is transparent, timely and equitable and based on the agreed guidelines, thresholds and standards.

Mr Ado Jubrin, President, Chartered Institute of Purchasing and Supply Management of Nigeria said that the original Act had not even been implemented to ascertain the lapses that would have required amendment.

He wondered how those who amended the Act arrived at their conclusion without even first implementing the original Act.

He said that the amendment also negates the submissions and recommendations of the institute.

“It is our view that the present Act be allowed as it is, let it be practice first, that is only when you can discover the problems.

“As it is now, it has never been implemented and now we are making changes to an Act that has never been used.

“Now you are making amendments blindly,” he said.

 

CIPSMN), Alhaji Jubrin Ado (2nd L) assisted by Zonal Coordinator, North Central, CIPSMN, Mr Abdul Mamman (L) to decorate a Fellow Awardee, Oladipupo Layiwola, during the Institute’s Investiture and Annual General Meeting in Abuja. With them is Chairman, Fellowship Board, CIPSMN, Mr Anthony Olabode.

 

Mr Abdul A Mamman, Coordinator North Central of the Institute wondered why since 2007 that the Act was enacted, the National Council on Public Procurement had yet to be inaugurated.

He said that the first chapter of the Act stipulates that the council be composed, stressing that without the council, the decisions of the Bureau are a nullity.

“The first chapter of the Public Procurement Act 2007 is the composition of the National Council on Public Procurement.

“Before now, it was our wish that hence it is captured in the Act, the government would have inaugurated the council, but unfortunately we keep dilly dallying.

“In 2017, this administration made effort to constitute the council but unfortunately they stopped half way,” he decried.

He stressed that without the council, everything that has so far been done by the Bureau for Public Procurement is a nullity because they did not comply with the council which should be the policy making organ according to the Act.

He added that the call that the leadership of the council be a former president or a Chief Justice was absolutely wrong

“Some people were suggesting that former Heads of State or retired Justices should share the council.

“Procurement is a professional area, you do not politicize it, you can’t allow people to just come in and take decisions.

“It is null and void to the extent of its consistency with international best practices.

“So we are asking the President to kindly tarry a while and not to assent to the amended Act,” he said.

For the Registrar of the Institute, Mohammed Aliyu, he specifically berated the increment of the contractors’ mobilization fee from 15 to 30 per cent

“If you give a contract of N10 billion and you give mobilization of 30 per cent to the contractor, he can run away and even use the money to fight his case.

“It is not all contracts that require mobilization fee, contracts like consultancy or some procurement does not require mobilization,” he said. NAN