PPADB to crack the whip on contractors

| Wednesday August 18, 2010 00:00

 

In a move that will effectively sideline affected businesses from the government's P23.4 billion procurement cake for 2010/11, the Public Procurement and Asset Disposal Board (PPADB) has invoked a section of legislation empowering it to censure and de-list corrupt and incompetent contractors.

Under the new rules, PPADB will reprimand, suspend or de-list contractors and their affiliated parties found guilty of bribery, taking kickbacks, collusion, fronting, conflict of interest, uncompetitive and unfair dealing, unprofessional conduct and incompetence.

Contractors also face disciplinary measures in the event they fail to adhere to PPADB's Safety, Health and Environment regulations.

Although the 2002 PPADB Act empowers the Board to keep a register of all contractors and maintain discipline within them, the parastatal only promulgated disciplinary regulations last year. PPADB has since formed a Disciplinary Committee consisting of representatives from the Attorney Generals Chambers, the Directorate on Corruption and Economic Crime as well as managers focusing on works, supplies and service contractors.

The Disciplinary Committee will enforce PPADB's Code of Conduct for contractors and recommend to the Board a series of measures against culprits, including de-listing from the register.  The parastatal is currently holding countrywide workshops to sensitise contractors on the new disciplinary regime, which is already in force for entities registered with it.

Yesterday, PPADB Board Secretary, Moffat Lubinda, said while no disciplinary measures had thus far been taken against any contractor, cases of Code of Conduct violations would increase as the industry became more enlightened about the new disciplinary regime.

At present, PPADB's registrar contains contractors for construction work and those providing medical equipment and IT supplies to government.  Contractors for other types of supplies and services are due to be registered by March 2011.  'Not being registered currently does not give you a licence to be corrupt,' Lubinda said. 'It does not mean you can bribe.  PPADB or its partners such as DCEC will take action and investigate.'

'While we are yet to take any disciplinary measures against contractors, DCEC has had many matters to investigate, but these could be sub-judice.  We expect more cases to come to the Disciplinary Committee as contractors become sensitised about the new regulations.'

Lubinda noted that from the parastatal's establishment, the Board has been evolving from a focus on tender adjudication functions and is now capable of ushering in a disciplinary regime.  Thus, he explained, the Board is playing an oversight role in public procurement and asset disposal through delegation of duties and the development of complementary structures.

'The Board was initially all about adjudication, but as we have been evolving and more duties fall on certain committees, the Board can now look into other aspects of the Act, including discipline,' said Lubinda.

'The Board must be the supervisory body and concern itself with contractor management, tender audits, capacity building and, to a lesser extent, adjudication.'

He said some of the Board's adjudication responsibilities were lessened by the increase in the thresholds of the Ministerial Tender Committee and District Administration Tender Committees.  Contractors speaking at a PPADB's awareness workshop yesterday said the new disciplinary measures, particularly de-listing, were tantamount to 'killing' off citizen contractors who were less financially and technically able to adhere to some of the strict performance requirements.  The contractors pointed out that their performance was often linked to timely settlement of invoices by the procuring entity, a process which they said was often hindered by corrupt public servants demanding kickbacks.

'Project delivery is about money, and if my invoices are not settled on time, this affects the delivery of my inputs and the payment of wages to my workers,' said one participating contractor. 'From there, the Disciplinary Committee will say I'm incompetent and de-list me.

'Let us investigate these issues carefully because some of us are solely dependent on these contracts.  In addition, we are trying to contribute to Botswana's development as citizens. We should look at ways of helping each other, not rushing to de-list.

'Most of our competitors are very developed and financially capable while some of us are not. Without empowerment, we cannot get to the level that PPADB wants us to be in.'

Another questioned why PPADB was intent on cracking the whip while - he claimed - it was 'quiet on the reservation policy for citizens'.

PPADB officials pointed out that the Disciplinary Committee would thoroughly investigate all issues brought before it and even contract experts for specialist technical advice. They explained that even after a contractor was found in breach, an Independent Complaints Review Committee was in place for redress.

On reservation, the officials said the policy and preference schemes were in place and were in the process of being reviewed by the Ministry of Finance and Development Planning to include more sectors.

On corrupt public officers, PPADB officials said these would be dealt with by their employer in accordance with their employment contracts.