ROLE OF PUBLIC PROCUREMENT IN SERVICE DELIVERY, CURRENT ISSUES AND - - PowerPoint PPT Presentation

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ROLE OF PUBLIC PROCUREMENT IN SERVICE DELIVERY, CURRENT ISSUES AND THEIR RESOLUTION

Department of National Properties Ministry of Finance, Bhutan Karma Wangdi

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Prof

• file

le of

• f Bh

Bhut utan an

 Population: 797,765 (2016)

• National Housing and

Population Census  GDP : USD 2.237 Billion (2016)  PPP: USD 2751.20 (2016)  Forest Coverage : 72% (60 percent Constitution)  Overall Literacy Rate : 59.5%  GDP Growth Rate : 6.2% (2016)  Government: Democratic Constitutional Monarchy

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CONTENT

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Public Procurement and Service Delivery- Recent Activities & Achievements (2016, 2017)

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Issues, Challenges, Solutions

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Way Forward Action Plan – Short term and Long term

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Major Role of Public Procurement PUBLIC PROCUREMENT

Social responsibilities Economic contribution Innovation Eco-friendly

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Economic Contribution

 Government is the biggest single source of business with the private business  Expanding private business leads to greater employment

• pportunities

 Establishes reliable supply chain in the domestic market.

Challenges

• Unequal development due to

uneven distribution of population

• Rugged terrain and

inaccessible areas

Solutions

PRR allows procurement within the locality restricting

• ther established suppliers

to take away their share of business

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SOCIAL RESPONSIBIITIES Specially in construction, priority is placed

• n preservation
• f culture,

traditional design and materials

–Difficult to

improvise but doable with modern materials to mould as per design.

–Not much potential

business to invest at one go due to capital intensive CHALLENGES

–Domestic manufacture

• f concrete bricks,

cement blocks, –Domestic preference to SME, Business Association of Women

• f Bhutan,

–Consistent monitoring

• f Labour Act 2007

lays down financial, safety, human rights etc.

SOLUTION

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Eco-Friendly

 Any production in Bhutan is strictly monitored by

• versight bodies-cement,

 Achieved a global recognition as the first Carbon Neutral Country,  Criteria are set highlighting the environmental friendly procurement.

Challenges

– Import driven country for any materials,

household items, equipments etc.

– Limited Acts and policies to really make an

impact of such procurement.

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SOLUTION

• Switch Asia EU Project initiated Green Public

Procurement of Bhutan (GPPB) recommending 10 recommendations to the Royal Government of

• Bhutan. 7 out of 10 recommendations are on

sustainable, eco friendly, waste minimization and proper disposal.

• Environment Assessment Act of Bhutan (2000),

Waste Prevention and Management Act (2009), Mining Act (1995).

Eco-Friendly

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Innovation

 No country can afford to lag behind at this time.

Race for “Innovation” is imperative.

 Looking for most effective and efficient ways to

reduce cost and waste.

 Royal Government introduced subsidized LED bulb

distribution from state owned outlet across the country.

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Issues, Challenges & Solutions

 The Issues, Challenges and Solutions is done through

PESTLE Analysis

 Politically sets national targets based on their

priority massively impacting the procurement of works, goods and service to achieve their targets. Procurement officials need to keep abreast of such move to minimize the risk.

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Issues, Challenges & Solutions

Economically growing as the third fastest economy in the

• rld 11.1 peret as per World Bak’s Gloal Prospet.

Huge amount is invested in hydro power and road construction to boost the economy. Procurement department is mandated to plan and procure more efficiently and effectively.

Socially and culturally Bhutan is very conservative. However

with the onslaught on modernization it is proving to be diffiult to aitai. It is goeret’s poliy to proure oly socially acceptable products and culturally blending with tradition.

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Issues, Challenges & Solutions

Technologically advancing to keep up with the rest of the world

taking advantage of modern technology in construction, health service and information dissemination. Procurement Department is keeping the pace by moving to e-procurement.

Legally strong in dispensing fair and justice whenever there is

procurement related litigation. However it is challenged by absence of procurement policy and act. Procurement department is drafting policy and act.

Environmentally mandated to maintain 60% under forest cover

at all time as enshrined in the constitution. Government initiated green and sustainable procurement banning CFC import. Procurement Department is constantly working on such move.

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Recent Activities & Achievements

 e-GP System

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Recent Activities & Achievements

• Long term capacity development of Procurement Professional

Development - CIPS

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ACTION PLAN

ACTION

SHORT TERM MEDIUM TERM LONG TERM

• 1. Annual Procurement Plan

Implementing

• 2. Drafting of Policy

2-3 Years

• 3. Procurement Act

3-5 Years

• 4. National Procurement Council

2-5 Years

• 5. Capacity Development :

Awareness CONTINUOUS PROCESS

• 6. Professional Capacity

Development 3-5 Years

• 7. R&D Procurement System

CONTINUOUS PROCESS

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