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Joint WTO/WB Regional Workshop on Procurement Reform and Transparency

This article explores the importance of transparency in government procurement and discusses the key elements of a transparent procurement system, focusing on the World Bank Guidelines and the UNCITRAL Model Law.

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Joint WTO/WB Regional Workshop on Procurement Reform and Transparency

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  1. Joint WTO/WB Regional Workshop on Procurement Reform and Transparency Session 6: Transparency and Fair and Equitable Procedures Mr. Jean-Jacques Raoul World Bank Dar es Salaam January 14-17, 2003

  2. Purpose • Briefly define the key elements of a transparent procurement system and explain the provisions of the multilateral instruments, using the World Bank Guidelines, and the UNCITRAL Model Law.

  3. Why Transparency in Government Procurement? • Transparency is needed to foster competition • Competition is seen as the best way to get value for money • Transparency fosters the confidence of the taxpayer in the public procurement institutions • Most powerful way to fight corruption (thrives in the dark)

  4. Transparency in WB Guidelines (1) • Critical elements of transparency: • Notification and advertising (allowing sufficient time for participation) • Open competitive bidding preferred, use of other methods restricted • Use of standard bidding and contract documents • Predisclosure of relevant information (including bid evaluation method) • Public bid opening (and opening immediately following the deadline for bid submission)

  5. Transparency in WB Guidelines (2) • Critical elements of transparency (cont’d): • Evaluation of bids in monetary terms (rather than merit point system) • Qualification of bidders on basis of pass/fail requirements • Award to the lowest evaluated responsive bidder meeting the stated qualification criteria, without negotiations • Accessibility of applicable laws and regulations • Appeal mechanisms • Debriefing • Publication of awards

  6. WB GLs vs UNCITRAL Model Law (1) They are generally fully consistent, except that: • WB GL do not allow for: • selection procedure for services with simultaneous negotiations (Art 43), and • procurement of goods or works: request for proposals (Art 48) or competitive negotiations (Art 49)

  7. WB GLs vs UNCITRAL Model Law (2) • In WB GL, Consultant services are governed by specific procedures relying on a qualitative and financial assessment of competing proposals. • In respect to GPA, WB GL do not allow: • Selective tendering (Art X) • Opening of tenders where tenderers are not allowed to attend (Art XIII-3) • Negotiated tendering (Art XIV); instead, WB provides for two-stage bidding process

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