SUI SOUTHERN GAS COMPANY

LIMITED
• SOURCING • PROCUREMENT • IMPORT •

PRESENTED BY:
|SIDRA AHMED | KULSOOM AKRAM|
| UROOJ NADEEM| YAMNA BEGUM |
• Established in 1955

• Primarily engaged in Transmission &

Distribution of Natural Gas in Southern part
of Pakistan – mainly in Sindh & Balochistan
SSGC
• Operates its own gas meter manufacturing
plant (MMP) in the country, the only one of Pakistan’s leading integrated
its kind in the entire South public-limited large-scale natural
gas utility Company
• Meters are being produced for local
consumption as well as export to
international buyers

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PUBLIC PROCUREMENT REGULATORY
AUTHORITY (PAKISTAN) – PPRA
• An autonomous body endowed with the
responsibility of prescribing regulations &
procedures for public procurement by
Federal Govt. owned Public sector
organizations

• Responsible for monitoring procurement

by public sector agencies/ organizations

• Possess necessary powers under the

Public Procurement Regulatory Authority
Ordinance, 2002

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 PROCUREMENT
METHODS &
PROCESS AT SSGC
A BRIEF OVERVIEW OF PUBLIC PROCUREMENT &
SOURCING PROCEDURE AT SSGC W.R.T. PPRA
GUIDELINES AND REGULATIONS – PUBLIC
PROCUREMENT RULES, 2004
PRINCIPLES OF PROCUREMENT
Procuring agency shall ensure that
procurements are conducted in a FAIR and
TRANSPARENT manner

The object of procurement brings value for

money

Overall procurement process is efficient &

economical PRINCIPLES AND
LIMITATIONS
LIMITATION ON SPLITTING OR REGROUPING
All proposed procurement shall be announced in an
appropriate manner for each financial year, without
splitting or regrouping

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PURCHASE REQUISITION PROCESS

1. Purchase Requisition 2. Inventory check by

from user Store
For Stock item or Capital item Option 1: Available & NOT RESERVED
– Fulfill the demand
Generic or Project-based
requirement Option 2: Available but RESERVED –
submit PR to Procurement
Option 3: Not Available – Submit PR
to Procurement
5. Procurement Process
Select a type of Procurement
process based on the value &
type of requirement/ contract

3. Submit PR to 4. Assess requirements

Procurement & specifications
Supported by Terms of References Specifications should be as per
(TOR) & Schedule of Requirements PPRA & as general as possible
(SOR)

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 > PKR
UPTO PKR 100,000 &
100,000 UPTO PKR
500,000

Through Petty Cash Through RFQ

Purchase through single
quotation without resorting
Three quotations from GST
registered firms, original
manufacturers & authorized
METHODS OF
PROCUREMENT
to biding dealers without resorting to
biding
Select the one with lowest price
BASED ON REQUIREMENT/ CONTRACT
> PKR VALUE
500,000 & > PKR 3
UPTO PKR 3 MILLIONS
MILLIONS

Through Open Competitive Through Open Competitive

Bidding Bidding
Tender to be published on Tender to be published in
both SSGC & PPRA websites Newspaper & on both SSGC &
PPRA websites
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OPEN
COMPETETIVE
BIDDING
PRINCIPAL METHOD OF PROCUREMENT FOR THE
GOODS, SERVICES & WORKS

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• Open competitive bidding – tenders to be
published on print media & websites (as
per the value of objects of procurement

• For print media – advertise to be appeared

in at least 2 national dailies, one in English
& other in Urdu

• Response time – min. 15 & 30 days for

national and international competitive
bidding respectively

• Bid security – a fixed amount of bid security

PROCUREMENT
not exceeding than 5% of the estimated
value ADVERTISEMENTS
• In case of query received after tender
publication:
• Technical query – forward to user department
for revision/ clarification
• Commercial query – respond by Procurement

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 • SINGLE STAGE – ONE ENVELOPE PROCEDURE
Bid comprise of single envelope containing, separate
financial & technical proposals

• SINGLE STAGE – TWO ENVELOPE PROCEDURE

Bid comprise of a single package containing, two separate
OPEN COMPETITIVE envelopes, each having financial & technical proposals
respectively

BIDDING PROCEDURES • TWO STAGE – ONE ENVELOPE PROCEDURE

First stage – only technical proposal is submitted
Second stage – only bidders whose technical proposals are
accepted have to submit revised technical proposal (if any)
along with financial proposal

• TWO STAGE – TWO ENVELOPE PROCEDURE

First stage - a single package containing two separate
envelopes, each having separate financial & technical
proposals
Second stage – bidders whose technical proposals are
accepted have to submit revised technical proposal with a
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supplementary financial proposal
PROCESS FLOW
Bid Advertisement
Performance Guarantee/ Security release timeline:
Bid Opening For Heavy Machinery – 18 months after delivery
(user experience report)

Bid Evaluation
For Chemicals – after 120 days

Acceptance & Award of Contract

For Services/ Consumers – after satisfactory delivery

Issue PO

Delivery of Goods/ Services

Payment (after Finance approval)

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 Issue PO

Open LC

Manufacturing

3rd Part Inspection

Shipment dispatch

Shipment Delivered PROCESS FLOW

Payment through Bank (FOR IMPORT)
Custom Clearance (thru Agent)

Shipment pickup & Storage

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