APPROACHES TO PUBLIC PROCUREMENT REFORM AND CAPACITY BUILDING

1. APPROACHES TO PUBLIC PROCUREMENT REFORM AND CAPACITY BUILDING Capacity Building in Procurement: The case of Ethiopia, Sudan, Uganda Richard Olowo, Procurement Hub Coordinator, AFTPC Fiduciary Forum 2010, The World Bank, Washington DC.

2. Summary • Main Message • Definition of Procurement Capacity • What has been achieved • Ethiopia • Southern Sudan • Uganda • The Approaches used for Capacity Building • What are the Issues • Way Forward

3. Main Message • Low procurement capacity has persisted despite the implementation of Capacity Building Strategies over the last three to seven years. • Presentation aims to encourage a greater focus on and more innovative approaches to the building of public procurement capacity

4. Definition of Procurement Capacity • Capacitated Procurement System • acts in a well coordinated manner, • delivers effectively and efficiently, • with fairness, value for money and accountability • Areas in which capacity is built: • Institutional Development – rules of the game and incentives • Organizational structures, processes, and resources • Human Capital – skills and knowledge of practitioners

5. Achievements – Ethiopia (1) • Institutional Development. • Procurement law & directives in place at federal level & in the regions; • SBDs disseminated; • Oversight body created with 30% staffing; Complaints Review Board created; • Procurement Services Agency established. • Organization. • One entity, ERA, has well-resourced & functional structures. • Procurement Audits carried out

6. Achievements – Ethiopia (2) • Individuals. • Awareness created in many entities; • 41 graduates from Training of Trainers; • PSCAP procurement performance improved; • Awareness created in many local Businesses

7. Achievements – S. Sudan (1) • Institutional Development. • Interim Public Procurement & Disposal Regulations in place at the GOSS; • Procurement Policy Unit created. • Organization. • No PIUs - MDTF projects implementation streamlined into ministries. • Contracts Audited and recommendations made to SSACC

8. Achievements – S. Sudan (2) • Individuals. • Staff trained in Basic, Intermediate and Advanced Procurement at GATC; • TAs in ministries implementing MDTF projects; • Use of procurement agent; • Awareness created in some local Businesses

9. Achievements – Uganda (1) • Institutional Development. • Procurement Laws, Regulations and Guidelines for National & Local Governments & Parastatals in place; • SBDs disseminated; • Public Procurement Website in place; • Complaints Review Mechanism in place; Public Procurement Policy Unit created; • Institute of Procurement Professionals of Uganda (IPPU) operational; • Corruption in Public Procurement Surveyed

10. Achievements – Uganda (2) • Organization. • Procurement Structures functional nation-wide • Corporate Plan & Annual Reports of PPDA published • Procurement Audit Reports posted on website and Recommendations followed up by Parliament, the Media and for Training purposes • Public Relations Office functional • Major Newspapers dedicate days to publish bidding opportunities

11. Achievements – Uganda (3) • Individuals. • Standards for procurement courses established • High enrolment for University Degree courses in Procurement • Entities providing internship opportunities • Mass awareness training of Public Officials, Politicians, Civil Society & Media conducted • Hand holding support provided to entities • Awareness created in local Businesses • TPPAs prequalified for use by weak Procuring Units

12. Approaches (1) • Prior actions that Government must achieve in order for approval of full amount of a PRSC • CPARs or CIFA Recommendations and follow up • Making TTLs aware of the importance of procurement capacity building throug • Including procurement capacity building Components in Projects e.g. PSCAP • Experience sharing workshops for several countries • Business Outreach Seminars for the local Private Sector

13. Approaches (2) • Regular follow up of reforms progress by Procurement Working Group of Government and Development Partners • Provision of hand holding support by Bank Staff or Consultants • Procurement Clinics to discuss specific issues identified in Procurement Post Reviews • Provision of accredited Bank Consultants as faculty for the procurement courses conducted by regional institutions: ESAMI, GIMPA, ISSADE, CESAG • Participating in CPPR and including actions to address procurement capacity building

14. Issues • Who prepares and the Content of Capacity Building Strategies • Assuring the quality of policy dialogue • Country ownership of reform actions • Making the case for procurement as a profession and the need to invest in it • Opposition to allocation of resources for Capacity Building initiatives • Follow up of Actions; Monitoring and Evaluation

15. Way Forward • Need for comprehensive Guidance on Capacity Building in Procurement • Need for Monitoring Indicators with Incentives for Achievement even without PRSC • Need to coordinate Benchmarking of procurement performance (AFR OBSERVATORY) and Regular Experience Sharing Forums