Supply Chain Council of European Union | Scceu.org
Procurement

Savior turns destroyer in government procurement

In the tender process of government procurement, information is leaked to known and influential people, violating the rules and regulations. As a result, skilled contractors do not get the job. The jobs are given to the influential people, instead. The chances of such irregularities are high as there is more and less 10 per cent tariff gap on estimated official tender prices in the public procurement act.

In the past, there was a trend to snatch tender boxes. The e-GP (e-Government Procurement) system was introduced to stop this. Now, contractors can bid online on e-GP. But because of the ‘price cap’, the influential people get more work. Those who pay 10 per cent less than the official rate are not getting jobs. The e-GP system is failing to serve the purposes.

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