Procurement process…Cabinet’s no-objection role must be maintained - Nandlall

Procurement process…Cabinet’s no-objection role must be maintained – Nandlall

Dec 25, 2013 News

Attorney General Anil Nandlall in the People’s Progressive Party Civic (PPP/C) recent weekly missive articulated that while the party welcomes the government’s public declaration of its intention to establish the Public Procurement Commission, it maintains its position that “Cabinet’s no-objection role in the procurement process must be maintained.”

Attorney General
Anil Nandlall

According to Nandlall, their position is deeply rooted in the administrative principles and in the Constitution. His argument is that Cabinet cannot be held responsible and accountable for the process or the outcome of a process when they have been excluded from that process. This he says is what not having the no-objection clause will do to them.
“How can Cabinet be accountable for the expenditure of these public funds when it is denied any role in how they are expended? The retention, therefore, of Cabinet’s role in the procurement process, is indispensable,” Nandlall said.
The AG further argues that beyond this logic, the constitution provides for executive powers that must be attributed with the establishment and functionality of the procurement commission. “Under the constitutional doctrine of separation of powers, the executive is assigned the responsibility for the management of the financial affairs of the State, including the expenditure of public funds. Over 75% of the expenditure of public funds by the executive is done via the public procurement process. This responsibility is owed both to the electorate as well as to the National Assembly. The nucleus of the executive is the Cabinet. This responsibility is captured by Article 106 (2) of the Constitution which states: ‘The cabinet shall aid and advise the President in the general direction and control of the Government of Guyana and shall be collectively responsible therefore to Parliament,’ Nandlall asserted.
He made reference to the entire Caribbean and countries such as Canada, Australia, Barbados and Jamaica whose Cabinet awards contracts or at a minimum, plays a significant role in the process. On the other hand he said that Cabinet in Guyana plays an exceedingly minimal role. He also made reference to International Financial Institutions which “maintain a no-objection role in a procurement process of every contract which they fund.”
The Attorney General elucidated that compromise might be impossible since their entire “arguments fell on deaf ears as the opposition refused to support the Bill. What is even more disturbing is their shocking lack of understanding of the procurement legislation, systems and process and the role which the Procurement Commission is expected to play in this process. The Constitution establishes this Commission as an oversight and monitoring body scrutinizing and monitoring the entire procurement process, including the limited role of Cabinet. The Alliance For Change (AFC) completely misunderstands this role and its leader, inexplicably, views this Commission as a participant in the procurement process with powers to award contracts.”
The PPP/C expressed optimism that over time the opposition will be reasonable and support procurement amendment bill so that the Government can establish the Public Procurement Commission swiftly.
The AFC’s position is that government should have no say in procurement matters, since the Public Procurement Commission (PPC) should be an autonomous body without the influence of the Cabinet to determine who should be chosen for contracts since that could lend it to corruption.
According to the leader of AFC, Khemraj Ramjattan, the amendment to the PPC will see the return of some of the power back to the government so that it can still have control over contracts coming in; the amendment he said will see all contracts above $15M being deliberated upon and given oversight by government. So the end result is that room for corruption would still exist, hence their argument why Cabinet’s no-objection clause must not be added to the procurement Act.

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