13 Feb 2018

Public Procurement and Asset Disposal Board (PPADB) chief executive officer, Ms Bridget John says Azraa & Asadullah Investments (Pty) Ltd and Discount Woodworks (Pty) Ltd are currently on suspension for a period of 30 months from August 31, 2017 to March 30, 2020.

Speaking at a PPADB media briefing, Ms John said directors and shareholders of the said companies were also on suspension for the 30 month period ending March 30, 2020.

“3PIN Solutions Pty was delisted from PPADB as they had registered for works codes and they were found not to qualify since they had submitted fabricated information. 3PIN Solutions Pty Ltd (also registered for supplies and services codes) and its directors and shareholders are suspended for 12 months from December 7, 2017 to December 6, 2018,” she revealed.

She also noted that Rockfeller Civil Engineering Pty Ltd had been given a written warning.

Ms John cautioned entities that had or were to receive government tenders not to engage any of those companies serving their suspensions.

“PEs, MTCs, DATCs, land boards, local authorities, parastatals and all government departments are advised not to engage in public procurement or asset disposal (including micro procurement) with suspended contractors,” said Ms John.

She further said the affected directors and shareholders could not form new companies to trade with government during the suspension period as PPADB would not register such companies.

On principles guiding public procurement, Ms John said PPADB was mandated to ensure that all procurement and disposal entities, in making their decisions, were guided by the principles of section 26 of the PPADB Act.

Some of the principles included fair and equitable treatment of all contractors, standardisation of procurement items and competition among contractors to achieve value for money in the interest of efficiency and level playing field amongst many others, Ms John explained.

“Also considered are the application of the socio-economic policies through procurement and these are Economic Diversification Drive, Citizen Economic Empowerment and Local Procurement Scheme,” she said.

She said section 65 of the PPADB Act mandated the board to review and increase the financial ceilings of both the ministerial tender committees and district administration tender committees’ biennially.

“Last review was done during the 2015/16 financial year and the next will be done in the 2018/19 financial year,” she said.

She explained that in the 2016/17 financial year, PPADB conducted 47 capacity building workshops.

“Total number of participants trained by PPADB during this period was 1684 compared to previous year’s total of 1539,” she said, adding during the same period 455 students graduated from BAC certificate programme in public sector procurement and tender process management.

Ms John noted that BAC had also developed a two year masters degree in procurement and logistics management and this would further enhance capacity building in procurement.

On complaints resolution, Ms John said procurement by nature created winners and losers.

She indicated that aggrieved bidders might challenge award decisions, hence the PPADB Act provided a complaints review mechanism.

She also spoke on the board’s operations and having undertaken joint audits with DCEC, Competition Authority and Auditor General.

“Some of them included poverty eradication, BIUST (procurement of supplies), UB (procurement of radiology equipment for academic hospital), Thune dam project and Ministry of Health and Wellness (facilities management project),” she said.

She indicated that issues arising from joint audits included over reliance on less competitive methods of procurement, poor procurement planning and adherence to budgetary procedures and poor record keeping amongst others.

To date, 25 923 contractors have been registered by PPADB in different categories to participate in government’s tenders. Ends