Public Procurement Principles and Cycle Shreedhar Panthee Director,PPMO 9851201377

1. Public Procurement Principles and Cycle Shreedhar Panthee Director,PPMO 9851201377

2. Risk Factors • 60-70% of National Budget in Public Procurement • Public procurement is main sector of Public Financial Management System • Public Procurement is the government activity which is most vulnerable to corruption • Lower capital expenditure • Lower progress of National Priority Projects • Weak contract management & enforcement • Low contractor performance • Weak control over Consultants • Increase irregularities Amount

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4. SUCCESS 10 + STRESS 90 = LIFE 100 SUCCESS 90 + STRESS 10 = LIFE 100

6. Topics of Discussion • Procurement and its Principles • Public Procurement Act & Regulation • Procurement Cycle • PPMO & its Role and Responsibilities • Blacklisting • Procurement Review/Procurement Complain • Issues in Public Procurement • SBDs preparing by PPMO

7. Public Procurement “Procurement” means acquisition of any goods, consultancy services or other services or carrying out or causing to be carried out any construction works, by a public entity pursuant to this Act; ;fj{hlgsvl/b eGgfn] ;fj{hlgslgsfon] o; P]g adf]lhds'g} dfn;fdfg, k/fdz{ ;]jfjfcGo ;]jfk|fKtug{] jfs'g} lgdf{0f sfo{ ug{] jf u/fpg] sfo{ ;+emg' k5{ .

8. Difference Between Private & Public Procurement • Public • No individual or single owner • No individual buyer and supplies • It is representative by govt. • No individual or group interest Private Procurement • Does not follow a set procedure • Good economic result is the sole objective Public Procurement • Follows a set procedure • Besides economy, accountability, non-discrimination among potential suppliers • Respect for international regulations/ practices • Protection of the public interest

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11. vl/b rqm (Procurement Cycle) qmdj4 lqmofsnfkx?sf] rlqmo k|lqmof dfkm{t ;fj{hlgs vl/b sfo{ ;DkGg x'g] k|ls|ofnfO{ vl/b rqm elgG5 The Procurement cycle is the cyclical process of key steps when procuring goods or services. - Chartered Institute Procurement and Supply

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13. Role of PPMO • Monitoring of public procurement • Advice and Opinions • Training and interaction • Research and Publication • SBD preparation • e- GP operation • Blacklisting

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24. Issues in Public Procurement • Packaging • Resources Management in multiyear Project • Site Clearance, EIA, IEE/Site possession • PQ • Extension of Bid Validity Period • Bid Capacity, Works in Hand • DLP –Rarely Claim by PEs • Advanced Payment • Emergency Procurement • Acceleration/Speeding Up

25. SBDs preparing by PPMO • Bid document of Direct purchase • Bid document of Other Services • Sealed Quotation Works and Goods • EPC Document • Design and Build Document • Framework Agreement Document • Standard of P Q • Standard of V O, Price Adjustment, Emergency Procurement, DLP Management

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