Mahipaul calls for overhaul of Guyana's Public Procurement system

Opposition Member of Parliament, Ganesh Mahipaul, has called for a full overhaul of the country’s public procurement system, in order to stop widespread procurement corruption, which he said currently exists.

Vice President Bharrat Jagdeo has been speaking on the issue and has promised a crackdown of corruption in government.

In a statement over the weekend, MP Mahipaul, who is also a member of the Parliamentary Public Accounts Committee, said that the current system which is governed by the Procurement Act of 2003, has demonstrated significant flaws, particularly in the roles of the Evaluation Committee and the National Procurement and Tender Administration Board (NPTAB).

He explained that because NPTAB is composed solely of government appointees, and it creates potential conflicts of interest and undermines impartiality.

“This has led to concerns about favoritism and corruption. The Evaluation Committee’s responsibilities are not being met effectively. When bid evaluations do not adhere strictly to the established criteria, it undermines the fairness of the process and has resulted in contracts being awarded to less qualified bidders and in some cases unqualified bidders. The Government often justifies current inefficiencies by referring to past practices,” Mahipaul stated.

Mr. Mahipaul said immediate and proactive solutions are needed to address current challenges.

His recommendation is that at least three of the seven members of the NPTAB, be nominated by the Parliamentary Opposition. He said those members should be selected from among individuals with proven integrity and expertise in business, law, finance, audit, and administration.

“This change would promote impartiality and enhance public confidence in the procurement process. The Evaluation Committee must adhere strictly to bid evaluation criteria and select the Lowest Evaluated/Responsive Bidder based on submitted documentation. Proper training and adherence to clear guidelines are essential to ensure accuracy and fairness in the evaluation process. Also, penalties must be enshrined in law for office holders who deliberately act to favour friends, families and favorites,” the Opposition MP noted.

Mahipaul noted that immediate amendments to the Procurement Act are necessary to address the issues that currently exists and align with best practices. This, he said will provide a solid foundation for a more transparent and effective procurement system, as he urged the government to take decisive action to stamp out the current corrupt practice in the procurement process.