THE NEW PPDA GUIDELINES, 2024 AT A GLANCE

Highlights of Guidelines on the Reservation Schemes to Promote the Participation of Local Providers & the Reservation Schemes to promote the participation of Registered Associations of Women, Youth, and Persons with Disabilities

Following the amendments to the PPDA Act and regulations, here are two key guidelines that have been developed through wide consultations with local manufacturers, youth, women, and persons with disabilities (PWDs).

The two guidelines are;

1. Guideline Reference: 11/2024; Guideline on Reservation Schemes to Promote the Participation of Registered Associations of Women, Youth, and Persons with Disabilities; and

2. Guideline Reference: 12/2024; Guideline on Reservation Schemes to Promote the Participation of Local Providers in Public Procurement.

• Due to the development of the above guidelines, Guideline No.1/2018 has therefore been revoked.

Highlights of the Reservation Schemes to promote the participation of Registered Associations of Women, Youth, and Persons with Disabilities

1. 15% of the entity’s annual procurement plan budget shall be reserved for award to registered associations of Women, Youth, and Persons with Disabilities.

2. A Central Government entity shall reserve procurement requirements for supplies, works, consultancy, and non-consultancy services whose value does not exceed UGX. 30 Million to registered associations of Women, Youth, and Persons with disabilities.

3. A Local Government Procuring and Disposing Entity shall reserve procurement requirements for supplies, works, consultancy, and non-consultancy services whose value does not exceed UGX. 10 Million to registered associations of Women, Youth, and Persons with Disabilities.

4. The associations may take the form of Women, Youth, or Persons with Disabilities owned enterprises:

1. Incorporated as companies and registered by the Uganda Registration Services Bureau under the Companies Act, 2012 except Single Member Companies;

1. Recognized as a firm by the Uganda Registration Services Bureau and as a business name under the Business Registration Act;

1. Registered by Uganda Registration Services Bureau as a partnership under the Partnership Act, 2010;

1. Registered as savings and co-operative societies under the Cooperative Societies Act, Cap 112; and

2016. Owned Community-Based Organisations registered at Districts or Cities under the Non-Governmental Organisations Act, 2016.

5. The registered associations of Women, Youth, and Persons with Disabilities shall submit bid securities in form of Bid Securing Declarations.

6. Entities shall not charge bidding fees for registered associations of Women, Youth, and Persons with Disabilities for them to obtain bidding documents.

7. The requirement for average annual turnover for works procurements shall not exceed half the estimated value of the procurement.

8. The requirement for similar experience should not exceed one substantially completed contract of half the value of the procurement requirement.

Highlights of the Reservation Schemes to Promote the Participation of Local Providers in Public Procurement 

1. Under the guideline local provider means a national, resident or EAC provider.

2. The guideline applies to:

1. Procurements whose values are above UGX. 10 Million by Local Government Procuring and Disposing Entities and UGX. 30 Million by Central Government Procuring and Disposing Entities.

1. Procurements funded by Government of Uganda and Development Partners. The reservation shall not apply to procurements funded by Development Partners where the conditions of funding limit the application of the reservations

3. To benefit from this reservation, the participating Resident and EAC providers shall be registered in Uganda or their EAC country of origin respectively for at least ten years at the time of submission of the bid.

Procurements Reserved for National Providers

Providing reservations of certain procurements by Threshold to local providers as follows:

Procurement reserved to National Providers by threshold include;

Where a Procuring and Disposing Entity does not receive a bid from a national provider following a procurement process, it shall use the appropriate procurement method to open up the process to resident and East African Community (EAC) providers under the following thresholds;

Procurement reserved to resident and EAC Providers by threshold include;

Where a Procuring and Disposing Entity does not receive a bid from a resident or an EAC provider following a procurement process, it shall use the appropriate procurement method to open up the process to non-local providers.

The products that have been reserved under the guideline include;

1. Uniforms and Related Clothing Materials;
2. Medicines and Medical Supplies;
3. Electrical Cables and Conductors;
4. Transformers;
5. Motorcycles;
6. Power Tiller/walk Behind Tractors;
7. Wood products; and
8. Printing and publishing services.

Further to this, PDEs and contractors are required to use local inputs manufactured in Uganda and local consultants where applicable.

In terms of transition; the PPDA regularly reviews the guidelines for efficacy and makes appropriate changes. The guidelines do not apply to procurements where bids were received before the commencement date.

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