National Procurement Commission

Improving Efficiency and Transparency in Public Procurement

Work Begins For State Procurement System To Go Electronic 

Release Date: July 22, 2024

The Government’s multi-million kina system of procurement for goods and services will soon go electronic to make it more efficient, transparent and accountable. 

Led by the National Procurement Commission, discussions and consultations have already begun in earnest among Government agencies, State-owned enterprises and International Development Partners. 

This development is the latest in the Marape Government’s focus in strengthening the work of the National Procurement Commission to make more effective and responsive. 

The Government initially started the drive with the appointment of a new Chief Executive Officer, Mr Joseph Sapa, followed soon after by the appointment of a new board headed by the Secretary for Finance, Mr Samuel Penias. 

The move to establish e-procurement is also being assisted by the World Bank, the Asian Development Bank, the European Union and the government of New Zealand. 

The first stakeholder consultation meeting was held in Port Moresby last Friday to discuss and get the ball rolling for this innovative action to be established and implemented without delay. 

In his speech titled; Improving Efficiency and Transparency in Public Procurement, NPC chief Mr Sapa expressed gratitude for the timely intervention in improving public procurement and the digital transformation of procurement processes in PNG. 

“We are gathered at a crucial time, where the information you share, decisions and discussions we engage in, will significantly shape the future of public procurement in Papua New Guinea,” Mr Sapa told workshop participants. 

“This workshop is not merely an event; it is our chance to seek your input on a path towards more efficient, transparent, and accountable procurement systems. Your expertise, insights and contribution are invaluable as we embark on this journey together. 

“It is through our shared vision and concerted actions that we will continue to make significant strides in enhancing procurement practices, ultimately contributing to the sustainable development and economic growth of Papua New Guinea.” 

Giving a historical perspective of the journey of procurement in the country, Mr Sapa concluded that the system had undergone significant evolution over the years. 

He said that up to now, public procurement processes had been largely manual, fragmented, and may sometimes lack the necessary oversight and transparency.  

“This led to inefficiencies, delays or potential misallocation of resources. Recognizing these challenges, the government, through its medium term development plans including the revised NPC corporate strategies, has made concerted efforts to reform and modernize the public procurement landscape,” Mr Sapa said. 

He said public procurement in PNG currently was governed by a robust legal and regulatory framework designed to ensure fairness, transparency, and accountability.  

The establishment of the National Procurement Commission, Mr Sapa said, had been a pivotal step in this journey. The NPC is tasked with overseeing procurement activities, ensuring compliance with established standards, and promoting best practices across all government agencies. 

He said, however, the procurement sector still faced several challenges.  

These include limited capacity and expertise among procurement professionals, bureaucratic red tape, and occasional lapses in adherence to procurement guidelines.  

“These challenges present us with opportunities for growth and improvement,” Mr Sapa said.  

“By investing in capacity-building, streamlining processes, and using technologies which are already used in other countries, we can overcome these obstacles and enhance the efficiency and effectiveness of PNG’s public procurement. 

“Transparent and efficient procurement processes are crucial for national development. They ensure that public funds are used judiciously, projects are completed on time, and the quality of goods and services delivered meet the required standards.” 

 

JOE SAPA 

Acting Chief Executive Officer

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