Procurement commission not doing its job – Patterson

David Patterson
David Patterson

-says contractors have no confidence in it based on handling of complaints

APNU+AFC Parliamentarian, David Patterson has expressed concern over the silence and seeming sloth by the Public Procurement Commission (PPC) given that there have been many reports on questionable contracts and even the ongoing scandal in the Guyana Police Force on purchases.

“The fact that there are scores of substandard works by contractors across Guyana and the Commission has not initiated any investigation under its broad function to monitor …these projects as the oversight body in the procurement system is concerning,” Patterson lamented to the Sunday Stabroek.

He pointed to the Belle Vue Pump Station contract that saw $160.8 million paid to the Tepui firm headed by Mikhail Rodrigues known as ‘Guyanese Critic’, as an example with no works being done according to the 2023 Auditor General’s report.

“The infamous ‘Critic’ contract looms with media reports of non-compliance on the project, timelines not adhered to… yet there hasn’t been a monitoring report on this project from the Commission. Millions of taxpayers dollars are wasted in an inequitable system of contract awards to the chosen friends, families and favourites,” he said as he questioned what the PPC is doing.

The PPC has been flayed over its failure to recommend the termination of the huge pump station contract to the unqualified company, Tepui Inc. The evaluators at the National Procurement and Tender Administration Board (NPTAB) recommended the award of the contract even though Tepui failed to meet several key criteria.

Patterson stated that he understands that there are no new complaints before the Commission and that this “could be contrasted with the constant reports of questionable contract awards from NPTAB – the ambiguous or arbitrary evaluation criteria in awarding contracts, in effect making the selected bidder most responsive who is sometimes not the lowest evaluated bidder.”

Positing that while the PPC may use the fact that they have no complaints as justification for not doing any investigations, he believes it is because contractors have no confidence in the Commission, since although there are wrongdoings identified in reports, the PPC always maintains it cannot do anything to change the contracts.

“My sincere belief is that because they are a toothless poodle. Take for example the Akawini project that was reported on and investigated by the PPC, but then they ended it saying they can’t do nothing and this and that because of sanctity of contract. If people look at these things they would believe it makes no sense going there because they get no action,” Patterson contended.

“By not being able to pronounce on their findings, it makes no sense for the contractors to invest time to go there. There is no confidence in the system again because they are a toothless organisation,” he added.

Administrative

Patterson also said that he understands that the “commission is only performing administrative duties at present” and that they are also preparing their annual report which should be out by next month.

The Sunday Stabroek reached out to the PPC for a response via email and in person. PPC Representative Samantha Sheoprashad on Friday told this newspaper that they have received the email and it was passed on to the Commissioners but a response has not yet been given.

She explained that representatives of the PPC have been out in the field across the country working but that the email with questions has not been forgotten.

On the PPC’s Facebook page, it has an updated list of works it has been doing which includes a session with the Guyana Police Force in September where “45 Officers from All 10 Administrative Regions of Guyana’s Police Force Benefit from Procurement Training by the Public Procurement Commission”.

The PPC also had training exercises with the Ministry of Public Service and Hinterland Electrification Company Inc. earlier this year.

The Public Procurement Commission has also said that it initiated getting support from the Inter-American Development Bank (IDB), as it is always looking for ways to strengthen the process here but that a dollar figure support pledge has not yet been established.

“The PPC recognizes that there is always room for improvement in the face of the ever-evolving demands of the sector and having regard to technological advancements like e-procurement, and the necessity for refining existing legislative frameworks,” it had responded following questions from the Stabroek News after a release on the meeting with the IDB in May.

“Acknowledging that systems are by their nature inherently imperfect and subjected to improvement, the PPC is committed to continuous improvement of its operations which is mandated by the Constitution,” it added.

At a time when there was searing criticism of its conduct, the PPC in June sent out a release of its meeting with representatives from the IDB on strengthening procurement processes in Guyana.

During that meeting, the PPC stated that several key matters were addressed, including  assistance from the IDB, which pledged its support in guiding the PPC in international best practices in developing Standard Operating Procedures (SOPs) for monitoring the procurement process, execution of contracts oversight, and standard bidding documents. This includes international best practices in the evaluation process, evaluation guide, and a standard evaluation report format. The IDB also committed to collaborating with the PPC in training evaluators in international best practices for the evaluation process, the commission said. This builds on previous training exercises of the PPC supported by the IDB.

The evaluators in the procurement system come under the National Procurement and Tender Administration Board of the Ministry of Finance. They have been criticised for making awards that do not comply with the guidelines that accompany tenders.

Asked who initiated the meeting on the strengthening process, the PPC said that it did, but that the meeting was not narrowly focused on strengthening procurement processes. “Reference is made to the commission’s press release dated May 9, 2024, in which it stated that the meeting generally was aimed at enhancing the execution of the commission’s functions, especially in the areas listed therein, of training and assistance in international best practices in establishing certain SOPs. The latter is of particular necessity in the absence of enabling legislation providing therefor,” the PPC said.  It pointed out that the meeting followed “previous engagements with the IDB, which were organised by the PPC. The PPC had noted that in the past, the IDB has engaged it on various initiatives, and other areas of support, including training for contractors and suppliers in IDB-funded projects.

The IDB is financing projects here that must go through the procurement system. And while the IDB has pledged to support the work of the PPC, the body explained that “a specific dollar figure has not been pledged by the IDB for support mechanisms.”

Asked when some of the planned collaboration, such as training for evaluators and the developing of the SOPs for monitoring the procurement process will begin, the PPC said that “discussions are still in the early stages.”

However, it was quick to assure that the media will be updated as more information becomes available.

In an October 27 column in this newspaper, commentator Ralph Ramkarran also expressed qualms about the role of the PPC.

He said: “The Procurement Commission recently reported in relation to a matter that even though it found that systems were violated it had no power to do anything. Is there any intention to alter this situation by giving the Procurement Commission additional powers or is it, like the Integrity Commission, to also remain a `toothless poodle?’”