Finance Secretary also releases guidelines for reforms in public procurement and project management
New Delhi: Finance Secretary and Secretary Expenditure, Dr T.V. Somanathan here today released Model Tender Documents (MTDs) for Procurement of Goods and non-Consultancy Services. The formulation and release of these Model Tender Documents are a part of continuous process of review of existing rules and procedures and being monitored by Cabinet Secretary as a special campaign during October 2 to October 31, 2021.
Dr. Somanathan also released guidelines to usher in reforms in Public Procurement and Project Management.
MTDs specifically cater to needs relating to e-procurement thereby easing the process for adoption of e-procurement and furthering the ambition of convenient and efficient e-governance of the Government. Such initiatives shall help in achieving the goal of Digital India by easing and standardising the digitization process of Public Procurement, the Ministry of Finance stated.
Tender documents are the critical touch point for the Government with industry and are, therefore, a critical vehicle for implementing policy initiatives on the ground. Uniform sets of tender documents permit Government to express its policies effectively, consistently and uniformly. Uniformity in interpretation and application of public procurement policies and initiatives reflect clarity of application, thereby, increasing compliance and enhancing public confidence in procurement process. Further, apart from sharing best procurement practices, uniform tender documents amplify the positive impact of policy initiatives, bringing economies of scale and increasing competition. They create more efficient market conditions for realising value for tax payers money. Bidders also get broader market access for their products.
Accordingly, Model Tender Documents (MTDs) have now been developed for the procurement of Goods and non-Consultancy Services. These MTDs rationalise and simplify the structure of tender documents. Besides aligning provisions with various procurement policies of the Government, like policies related to Micro and Small Enterprises, preference to Make in India and benefits to Start-ups, MTDs incorporate national and international best practices. The MTDs have been developed after a two stage, extensive consultation with Ministries/ Departments/ Central Public Sector Undertakings, other organisations and individual experts.
MTDs issued by the Department of Expenditure , Ministry of Finance will be guiding templates. In keeping with the Government’s Digital India thrust, the MTDs are being issued in soft template for enabling easy customisation by user departments. Ministries/ Departments shall be competent to suitably customise this document to suit their local/ specialised needs.
The separate detailed Guidance Note, as a guide to use of each MTD has also been prepared to help the procuring officials in utilising each MTD. Model Tender Documents, issued by Department of Expenditure (DoE), Ministry of Finance, will be guiding templates.
These guidelines issued today attempt to incorporate into the realm of Public Procurement in India, innovative rules for faster, efficient and transparent execution of projects and to empower executing agencies to take quicker and more efficient decision in public interest. Some of the improvements include prescribing strict timelines for payments when due. Timely release of ad hoc payments (70% or more of bills raised) is expected to improve liquidity with the contractors especially Micro, Small and Medium Enterprises (MSMEs).
As part of Government’s Digital thrust, Electronic Measurement Books have been prescribed as a means of recording progress of works. This system, along with other IT based solutions, proposed in the guidelines, will help in realising the dream of efficient Digital India, facilitate faster payments to contractors and reduce disputes.
Alternative methods for selection of contractors have been permitted, which can improve speed and efficiency in execution of projects. In appropriate cases, quality parameters can be given weightage during evaluation of the proposal in a transparent and fair manner, through a Quality cum Cost Based Selection (QCBS), as an alternative to traditional L1 system.
Executing public projects on time, within the approved cost and with good quality has always been a challenge. As the pace of economic development steps up careful examination of procedures and rules is essential to ensure unwarranted roadblocks are removed and new innovations utilized for increasing value for money of the taxpayer.
– global bihari bureau
