STATEMENT BY ZAMBIA PUBLIC PROCUREMENT AUTHORITY DIRECTOR GENERAL MRS IDAH C. CHELLA ON THE OCCASION OF THE MEDIA BRIEFING ON THE FIRST QUARTER OF 2021 HIGHLIGHTS 27^TH APRIL, 2021

 

• SENIOR MEMBERS OF MANAGEMENT
• MEMBERS OF THE PRESS
• LADIES AND GENTLEMEN

GOOD MORNING AND WELCOME TO THE ZAMBIA PUBLIC PROCUREMENT AUTHORITY (ZPPA) FIRST QUARTER MEDIA BRIEFING. IT IS ALWAYS A PLEASURE TO SPEAK AND INTERACT WITH YOU AS I HIGHLIGHT THE SALIENT ISSUES IN PUBLIC PROCUREMENT CARRIED OUT IN THE FIRST QUARTER OF 2021. THANK YOU FOR BEING PART OF THIS BRIEFING.

TODAY’S BRIEFING HIGHLIGHTS WILL FOCUS ON THE FOLLOWING:

• INVESTIGATIONS ON VARIOUS PUBLIC PROCUREMENT MATTERS, APPEALS AND COMPLIANCE ASSESSMENTS;
• CAPACITY BUILDING AND THE DEVELOPMENT OF THE PROCUREMENT CAPACITY DEVELOPMENT STRATEGY; AND
• ELECTRONIC GOVERNMENT PROCUREMENT SYSTEM - TRAINING OF STAKEHOLDERS AND THE NUMBER OF SUPPLIERS REGISTERED ON THE SYSTEM.

 

INVESTIGATIONS, APPEALS AND COMPLIANCE ASSESSMENT

IN FULFILLING ITS MANDATE, ZPPA CONDUCTS INVESTIGATIONS ON VARIOUS PROCUREMENT MATTERS AND CONSIDERS APPEALS FROM AGGRIEVED BIDDERS. IN THE FIRST QUARTER, FIVE (5) INVESTIGATIONS WERE UNDERTAKEN INVOLVING DISASTER MANAGEMENT AND MITIGATION UNIT (DMMU), MINISTRY OF HEALTH, NATIONAL PENSION SCHEME AUTHORITY (NAPSA) AND ZAMBIA RAILWAYS LIMITED. THE STATUS IS THAT NONE OF THESE INVESTIGATIONS WAS COMPLETED.

ZPPA UNDERTAKES COMPLIANCE, CAPACITY ASSESSMENTS AND VISITS, TO ENSURE THAT PROCURING ENTITIES FOLLOW THE LAID DOWN PROCEDURES IN ACCORDANCE WITH THE PUBLIC PROCUREMENT ACT (PPA) NO. 12 OF 2008 AND THE PUBLIC PROCUREMENT REGULATIONS (PPR).  HOWEVER, THE ACTIVITIES WERE SUSPENDED PART OF THE FIRST QUARTER OF 2021 DUE TO THE COVID – 19 PANDEMIC. FROM THE CAPACITY ASSESSMENTS CONDUCTED, THREE (3) OUT OF EIGHT (8) PROCURING ENTITIES ASSESSED, WERE SUBSTANTIALLY COMPLIANT WHEREAS FIVE (5) WERE FAIRLY COMPLIANT. FURTHERMORE, EIGHT CAPACITY VISITS WERE CONDUCTED IN THE FOLLOWING PROCURING ENTITIES;

MUKUBA UNIVERSITY, KITWE TEACHING HOSPITAL, MASAITI TOWN COUNCIL, MPONGWE TOWN COUNCIL, CHINSALI MUNICIPAL COUNCIL, PROVINCIAL EDUCATION OFFICE-MUCHINGA PROVINCE, SHIWANGANDU TOWN COUNCIL, AND MPIKA DISTRICT HEALTH OFFICE.

THE AUTHORITY DETERMINED FOUR (4) APPEALS OUT OF WHICH THREE (3) FROM EXAMINATION COUNCIL OF ZAMBIA, NAPSA AND LUSAKA CITY COUNCIL WERE DISMISSED IN ACCORDANCE WITH SECTION 70 (5) (A) OF THE PUBLIC PROCUREMENT ACT WHILE ONE (1) APPEAL FROM NATIONAL ROAD FUND AGENCY WAS UPHELD IN PART.

 

ZPPA UNDERTAKES PROCUREMENT AUDITS IN ORDER TO DETERMINE THE COMPLETENESS AND ACCURACY OF PROCUREMENT PROCESSES TO ASCERTAIN COMPLIANCE WITH THE PUBLIC PROCUREMENT ACT AND INTERNATIONAL BEST PRACTICES. IN THE FIRST QUARTER, ONE (1) PROCUREMENT AUDIT WAS CONDUCTED AT ZAMBIA FORESTRY AND FOREST INDUSTRIES CORPORATION (ZAFFICO). THE PROCUREMENT AUDITS REVEALED THAT SUBSTANTIVE WORK WAS REQUIRED IN ORDER FOR ZAFFICO TO BECOME COMPLIANT.

 

THE PPA PROVIDES FOR PROCURING ENTITIES TO SUBMIT THEIR ANNUAL PROCUREMENT PLANS (APPS) TO THE AUTHORITY. THE APPS ENABLE THE AUTHORITY TO MONITOR PROCUREMENTS THAT ARE UNDERTAKEN BY PROCURING ENTITIES (PES). IN ADDITION, APPS ENHANCE TRANSPARENCY AND PREDICTABILITY IN PUBLIC PROCUREMENT. ALL PES ARE REQUIRED TO SUBMIT THE APPS TO THE AUTHORITY BEFORE THE BEGINNING OF EACH YEAR.  136 PROCURING ENTITIES SUBMITTED THEIR APPS IN THE FIRST QUARTER OF 2021. HOWEVER, THE AUTHORITY DID NOT MEET ITS INTENDED TARGET AS 374 PROCURING ENTITIES HAD NOT SUBMITTED THEIR APPS TO ZPPA.

THE PPA REQUIRES PROCURING ENTITIES TO SUBMIT THEIR QUARTERLY PROCUREMENT REPORTS TO ZPPA. THE REPORTS ENABLE THE AUTHORITY TO REVIEW PROCUREMENT PROCESSES UNDERTAKEN BY PES. THERE HAS BEEN AN INCREASE IN THE NUMBER OF PES SUBMITTING QUARTERLY REPORTS TO THE AUTHORITY AS 126 PES SUBMITTED THEIR QUARTERLY REPORTS FOR THE FIRST QUARTER OF 2021 COMPARED TO 120 IN 2020 FOR THE SAME PERIOD.

 

LADIES AND GENTLEMEN,

OTHER NOTABLE ACTIVITIES THAT WERE UNDERTAKEN BY ZPPA DURING THE FIRST QUARTER OF 2021 WERE CAPACITY BUILDING WORKSHOPS AND BENCH MARKING WITH THE PUBLIC PROCUREMENT REGULATORY AUTHORITY OF KENYA.

 

 

CAPACITY BUILDING WORKSHOPS

 

IN LINE WITH THE STRATEGIC OBJECTIVE OF ENHANCING CAPACITY BUILDING AND ADVISORY SERVICES FOR PES AND OTHER STAKEHOLDERS, THE AUTHORITY CARRIED OUT THE FOLLOWING ACTIVITIES:

• THE AUTHORITY WAS INVITED TO FACILITATE ON PROCUREMENT RELATED TOPICS AT TWO WORKSHOPS ORGANISED BY THE DRUG ENFORCEMENT COMMISSION AND THE ZAMBIA ASSOCIATION OF MANUFACTURERS WHERE ONE HUNDRED AND NINETY-THREE (193) PARTICIPANTS WERE TRAINED.
• FURTHER, THE AUTHORITY PROVIDED TAILOR MADE TRAININGS TO THREE (3) INSTITUTIONS WITH THIRTY-SIX (36) PARTICIPANTS. THE THREE (3) INSTITUTIONS WERE PENSIONS AND INSURANCE AUTHORITY, ROAD TRANSPORT AND SAFETY AGENCY AND SOLWEZI GENERAL HOSPITAL.

 

ELECTRONIC GOVERNMENT PROCUREMENT SYSTEM

LADIES AND GENTLEMEN,

ZPPA HAS BEEN UNDERTAKING ACTIVITIES TO PROMOTE THE USE OF THE E- GP SYSTEM AMONG PROCURING ENTITIES AND SUPPLIERS. THE USE OF THE E-GP SYSTEM RESULTS IN ENHANCED EFFICIENCY, ACCOUNTABILITY AND INTEGRITY IN PUBLIC PROCUREMENT. FURTHERMORE, THE AUTHORITY UNDERTAKES E- READINESS ASSESSMENTS IN ALL PROCURING ENTITIES TO ASCERTAIN THE LEVEL OF PREPAREDNESS IN THE USE OF THE E-GP SYSTEM BY PROCURING ENTITIES OR SUPPLIERS. THE E-READINESS ASSESSMENTS COVER THE FOLLOWING AREAS:

A) NUMBER OF PROCUREMENT PROFESSIONALS AVAILABLE IN PROCUREMENT UNITS;

B) THE NUMBER OF COMPUTERS IN THE PROCUREMENT UNITS; AND

C) THE AVAILABILITY OF RELIABLE INTERNET CONNECTIVITY.

IN THAT REGARD, IN THE FIRST QUARTER OF 2021, THE AUTHORITY UNDERTOOK E-READINESS ASSESSMENTS IN 49 PES IN NORTH -WESTERN, WESTERN AND LUSAKA PROVINCES. THE FINDINGS WERE THAT TWENTY-EIGHT (28) PES MET THE REQUIREMENTS FOR USE OF E-GP SYSTEM WHILE TWENTY-ONE (21) PES DID NOT MEET THE REQUIREMENTS. THE GENERAL FINDINGS ARE THAT:

(I)        MOST PES HAVE INVESTED IN INFRASTRUCTURE FOR INTERNET CONNECTIVITY;

(II)       SOME PES HAD ADEQUATE AND MODERN ICT EQUIPMENT WHILE OTHERS HAD MINIMAL; AND

(III)     SOME PES HAD ADEQUATE STAFFING LEVELS WHILE OTHERS DID NOT HAVE.

 

LADIES AND GENTLEMEN,

REGARDING THE ROLL OUT PROGRESSION OF E-GP SYSTEM IMPLEMENTATION, THE ZPPA STRATEGIC PLAN OBJECTIVE FOR 2021 REQUIRES AN ADDITION OF 25% OF HIGH SPENDING PROCURING ENTITIES ON THE E-GP SYSTEM. THE AUTHORITY ADDED TWO (2) PES TO THE E-GP SYSTEM IN THE HIGH AND MEDIUM SPENDING CATEGORIES IN THE FIRST QUARTER OF 2021.

 

THE E-GP SYSTEM REQUIRES PROCURING ENTITIES AND SUPPLIERS TO UPLOAD TENDERS ONLINE. DURING THE FIRST QUARTER OF 2021, EIGHTY-SEVEN (87) TENDERS WERE PUBLISHED ON THE E-GP SYSTEM.

 

FURTHERMORE, IN ORDER TO PROVIDE CONTINUOUS SENSITISATION AND TRAINING ON THE USE OF THE E-GP SYSTEM, THE AUTHORITY UNDERTOOK EIGHT (8) SITE INSPECTIONS DURING THE QUARTER.

DURING THE FIRST QUARTER OF 2021, THE AUTHORITY UNDERTOOK VARIOUS TRAININGS FOR STAKEHOLDERS. TWENTY-FOUR (24) PES WERE TRAINED IN THE FULL USAGE OF THE E-GP SYSTEM. TWENTY-TWO (22) PES WERE VIRTUALLY TRAINED IN FULL USAGE OF THE E-GP SYSTEM AT THE REQUEST OF THE WORLD BANK AS THEY WERE IN CHARGE OF PROCUREMENTS ON PROGRAMS FUNDED BY WORLD BANK.  IN ADDITION, THE AUTHORITY ORIENTED FOUR HUNDRED AND THIRTY-FOUR (434) SUPPLIERS IN SUPPLIER REGISTRATION AND ONLINE BID SUBMISSION THROUGH THE HELP DESK.  THE AUTHORITY HAS BEEN REGISTERING SUPPLIERS IN ORDER FOR THEM TO ACCESS BUSINESS OPPORTUNITIES AND TRANSACT THROUGH THE E-GP SYSTEM. DURING THE FIRST QUARTER OF 2021, ONE THOUSAND SIX HUNDRED AND THIRTY-EIGHT (1,638) SUPPLIERS REGISTERED ON THE E-GP SYSTEM.

IN CONCLUSION,

LET ME STATE THAT ZPPA WILL STRIVE TO ENSURE THAT ALL PES ADHERE TO THE PROVISIONS OF THE PUBLIC PROCUREMENT ACT AND THE PUBLIC PROCUREMENT REGULATIONS IN ORDER TO PROMOTE TRANSPARENCY, ACCOUNTABILITY, EFFICIENCY, COMPETITION, FAIRNESS AND VALUE FOR MONEY IN PUBLIC PROCUREMENT PROCESSES AND THE TIMELY SUBMISSION OF THE REQUISITE REPORTS WILL ENABLE THE AUTHORITY GIVE  THE NECESSARY FEEDBACK TO THE PROCURING ENTITIES  AND FULFILL  THE MISSION STATEMENT WHICH IS “TO REGULATE PUBLIC PROCUREMENT IN ORDER TO PROMOTE COMPLIANCE AND ENSURE VALUE FOR  MONEY”.

 

I THANK YOU.