INTERNATIONAL APPLICATION OF PROCUREMENT LAW

To prevent fraud, waste, corruption, or local protectionism, the law of most countries
regulates government procurement more or less closely. It usually requires the
procuring authority to issue public tenders if the value of the procurement exceeds
a certain threshold.
Government procurement is also the subject of the Agreement on Government
Procurement (GPA), a plurilateral international treaty under the auspices of the WTO
(world Trade Organization).

SCOPE OF APPLICATION
Government procurement regulations normally cover all public works, services and
supply contracts entered into by a public authority. However, there may be
exceptions. These most notably cover military acquisitions, which account for large
parts of government expenditures. The GPA and EU procurement law allow of
exceptions where public tendering would violate a country's essential security
interests. Additionally, certain politically or economically sensitive sectors, such as
public health, energy supply or public transport, may also be treated differently.

REGULATION BY JURISDICTION
Canada
Government of Canada procurement activities are principally carried out pursuant
to a governing framework consisting of statutes and regulations (including a
challenge process), trade agreements and policies, directives, procedures and
guidelines. The principal statutory provisions regulating government procurement
are:

Department of Public Works and Government Services Act (1996)

Financial Administration Act (1985) and the Government Contracts
Regulations
Defense Production Act
Federal Accountability Act, 2006

In general, bids must be solicited by the procuring department unless estimated

expenditure does not exceed $25,000, or $100,000, "where the contract is for the
acquisition of architectural, engineering and other services required in respect of
the planning, design, preparation or supervision of the construction, repair,
renovation or restoration of a work".

European Union
Government procurement in the European Union has been regulated and
harmonized by community law since the 1970s. It accounts for more than EUR 2
trillion, or 19% of the EU GDP.

Czech Republic
Government procurement in the Czech Republic is regulated by Act No. 137/2006
Coll., on Public Contracts, as amended (Act on Public Contracts) and by Act No.
139/2006 Coll., on Concession Contracts, as amended (Act on Concession
Contracts).
Gibraltar
Government procurement in Gibraltar is managed by the Procurement Office, an
independent office of Her Majestys Government of Gibraltar which reports directly
to the Financial Secretary.
Ireland
Government procurement in the UK is governed by the European Communities
(Award of Public Authorities' Contracts) Regulations 2006 and the European
Communities (Public Authorities Contracts) (Review Procedures) Regulations 2010.
United Kingdom
Government procurement in the UK is governed by the Public Contracts Regulations
2015, which implement EU law and also cover UK policy on promoting access for
small and medium enterprise to public sector contracts. Tender opportunities
announced by UK Government are published to:

Contracts Finder for England

Public Contracts Scotland for Scotland
Sell2Wales for Wales
eSourcing NI for Northern Ireland

Taking a considerable part of the state budget, Government procurement in UK is

under severe public scrutiny.
Kenya
Public procurement in Kenya is governed by the Public Procurement and Asset
Disposal Act 2015.
Russia

Russian Federal Law N94- of 21.07.2005 require all federal, regional and
municipal government customers to publish all information about government
tenders, auctions and other purchase procedures on special public government
websites.
Singapore
GeBIZ is a Government-to-business (G2B) Public eProcurement business center
where suppliers can conduct electronic commerce with the Singaporean
Government. All of the public sector's invitations for quotations and tenders (except
for security-sensitive contracts) are posted on GeBIZ. Suppliers can search for
government procurement opportunities, retrieve relevant procurement
documentations and submit their bids online.
United States
Government procurement by public authorities in the United States accounts for
about USD 7 trillion annually. Federal procurement is governed by the Federal
Acquisition Regulation. FedBizOpps and USASpending.gov are websites where
federal contracts are shown. Public announcements of awards has several
exemptions, including contracts less than $3.5 million. Historically, the procurement
data has been criticized for deficiencies leading to a number of reforms. As of 2013,
there is an initiative to consolidate eight legacy databases into a single system
called System for Award Management. Contracts are not posted online, although
two agencies have explored the possibility.
In January 2014, the Office of Inspector General at NASA released a report criticizing
the agency's lack of strategic sourcing. Because IT departments were spending
autonomously, NASA spent $25.7 million on similar purchases.
The National Institute of Governmental Purchasing and the Federal Acquisition
Institute are active in procurement certification and training. A specialized program
in procurement law in the United States is located at The George Washington
University Law School.

PUBLIC PROCUREMENT REGULATORY AUTHORITY (PPRA)

INTRODUCTION
The Public Procurement Regulatory Authority is an autonomous body endowed with
the responsibility of prescribing regulations and procedures for public procurements
by Federal Government owned public sector organizations with a view to improve
governance, management, transparency, accountability and quality of public
procurement of goods, works and services. It is also endowed with the responsibility
of monitoring procurement by public sector agencies/organizations and has been
delegated necessary powers under the Public Procurement Regulatory Authority
Ordinance 2002.
The Public Procurement Regulatory Authority (PPRA) since its inception in 2002 is
engaged in monitoring, providing assistance & guidance and capacity building of
public sector procuring agencies. PPRA has also been processing complaints of
aggrieved bidders in order to ensure transparency and accountability in public
procurement. Approximately 15-20% of GDP is procurement related expenditure,
therefore efficiency and transparency has direct impact on the economy. Since year
2004 to 2008 PPRA has monitored 295 organizations, pointed out 47,667 violations
and provided training to 2,600 officers of 287 organizations.

PROCUREMENT CYCLE
Plan Purchases and Acquisitions. Determining what to purchase or
acquire and determining when and how.
Purchase of equipment
Procurement of works
Procurement of supplies etc
Plan Contracting documenting products, services, and results
requirements and identifying potential sellers.
Developing the requisite documents
Specification
No and make etc.
Request Seller Responses.
obtaining information, quotations, bids, offers ,or proposals, as
appropriate.

 Inviting bids
Inviting quotations
Request for Proposals ( RPFs)
Expression of Interest ( EOI) etc.
Select Sellers.

Reviewing offers, choosing among potential sellers, and negotiating a

written contract with each seller.

Tender/bids opening
Evaluation and Assessment of bids
Negotiation if required and allowed
Selection of the seller/contractor
Contract Administration
Managing the contract and relationship between the buyer and seller.

Reviewing and documenting how a seller is performing or has

performed to establish required corrective actions

Provide a basis for future relationships with the seller,

Managing contract-related changes and, when appropriate,
Managing the contractual relationship with the outside buyer.
Contract Agreement
Contract Closure
completing and settling each contract, including the resolution of any
open items,
Closing each contract applicable to the project or a project phase.

PAST REGULATORY FRAMEWORK

Procurement under GFR
Procurements by Corporate Sector

 Procurements by Statutory Bodies

Classified Procurements

PRESENT REGULATORY FRAMEWORK

Enabling Legislation

PPRA Ordinance 2002

Subsidiary Legislation

Public Procurement Rules, 2004

Public Procurement Regulations

EXAMPLES OF ORGANIZATION WORKING UNDER THE

RULES OF PPRA
PPRA monitoring 295 organizations procurement in which most of the organization
are federalized following are the example of organization attempting PPRA rules for
their procurements.
Karachi Port Trust (KPT head Office)
Procurement in stores department of KPT are made under the authority of Pakistan
Procurement Regulatory Authority 2004, Purchases are made within the codes of
Pakistan Procurement Rules, Obeying these rules are applied to every procurement
made in Local Purchases or GFP/ADVT section of Stores Department.
Central Directorate of National Savings (CDNS)
CDNS regional branches follows the PPRA rules for their routine or unscheduled
procurement.