The public Procurement and Disposal of Public Assets Authority (PPDA) has called upon all government Ministries, Departments and Agencies (MDAs) to give contracts to Ugandan companies. This was revealed by PPDA’s Ag.Executive Director Mr. Benson Turamye during the second annual procurement summit 2017 that was held on Friday May 2017 under the theme “Promoting Local Content in Public Procurement”.
PPDA law currently provides for implementation of preference and reservation schemes according to Section 50 of the PPDA Act 2003.The implementation of preference schemes is intended to increase the participation of local providers in public procurement.
Mr.Turamye notes that in the Financial Year 15/16, about 58% (in terms of value) contracts were awarded to local firms compared to 42% awarded to foreign firms.
The guideline on the reservation scheme guidelines issued by PPDA on March 10th provides for at least 30% of the value of works through subcontracting to local providers shall apply to procurements of works above UGX 45 Billion where the bidder is not a local provider.
The Reservations applies to Procurements funded by Government of Uganda and those funded by development partners except where the conditions of funding limit the application of reservations. However, the procurement officers called upon PPDA to ensure that the reservation applies to all donor funded projects which form bulk of the procurement works in government.
Accounting officers in the all Procuring and Disposing Entities are required to indicate in their monthly/quarterly reports to PPDA the number of contracts that have been awarded under the reservation scheme.
PPDA shall monitor the implementation of the reservation schemes by entities on a quarterly basis and undertake an annual assessment based on predetermined indicators.