Procurement Regulations 2002 (Statutory instrument 171 of 2002)

Statutory instrument 171 of 2002

Procurement Regulations 2002

SIs 171/ 2002, 22/2004, 56/2006, 190/2006, 255/2006, 75/2007, 135/2007, 173/207, 205/2007, 24/2008,

70A/2008, 93/2008, 119B/2008, 161/2008

ARRANGEMENT OF REGULATIONS

PART I

PRELIMINARY

3. Exercise of powers and duties by procuring entities in terms of these regulations.

PART II

INVITATION OF TENDERS

4. Supplies required to be tendered for by State Procurement Board.
5. Supplies not required to be tendered for by State Procurement Board.
6. Informal tender procedure.
7. Special-formal tender procedure.
8. Formal tender procedure.
9. Closing date for tenders.
10. Costs of advertising tenders.
11. Information to be included in tender documents. PART III

OPENING OFFORMAL TENDERS

12. Opening of received tenders.
13. Tenders received either open or without tender number.

PART IV

COMPARISON OF TENDER AND PREFERENCES

14. Procurement committees.
15. Tenders to be forwarded to head of procuring entity.
16. Documents to be attached to the tenders by the head of procuring entity.
17. Rejection of tenders.
18. Reasons for accepting specific tenders.
19. Evaluating tenders.
20. Preference of local contractors and suppliers.
21. Board to direct which tender to accept.
22. Advising tender results

PART V

PROCEDUREWHEN NO TENDERS ARE RECEIVED 23. Procedure when no tenders are received.

PART VI

SPECIFICATIONS AND SAMPLES

24. Specifications or samples to be available at advertised centres.
25. List of approved tenderers.

PART VII

CONTRACTS, SECURITIES ANDDELIVERIES

26. Contract not to be varied without approval.
27. Tender security.
28. Deliveries to be inspected.

PART VIII

GENERAL

29. Procuring entities not to anticipate tender acceptance.
30. Names of prospective tenderers not to be disclosed.
31. Standard terms and conditions.
32. Unsatisfactory work or conduct by contractors.
33. Reference to International Trade Law.
34. List of enterprises deemed procuring entities.

First Schedule: General Conditions of Contract

Second Schedule: Public Enterprises

IT is hereby notified that the Minister, after consultation with the Minister responsible for Finance and Economic Development and the State Procurement Board has, in terms of section 33 of the Procurement Act [Chapter 22:14], made the following regulations:—

PART I

PRELIMINARY

1. Title

These regulations may be cited as the Procurement Regulations, 2002.

2. Interpretation

In these regulations—

“Accounting officer” means head of the procuring entity.

“Board” means the State Procurement Board.

“procuring entity” means any—

• Ministry, department or other division of the Government; or
• statutory body other than one specified in terms of subsection (1) of section 3 of the Act; or
• local authority or other person declared in terms of subsection (2) of section 2 of the Act to be a procuring entity;

on whose behalf the State Procurement Board conducts procurement proceedings;

“procurement contract” means contract between a procuring entity and a supplier which results from procurement proceedings;

“Principal Officer” means the principal officer of the State Procurement Board appointed in terms of section 15 of the Act;

“tender security” means a security provided to the procuring entity to secure the fulfilment of any obligation by the contractor.

3. Exercise of powers and duties by procuring entities in terms of these regulations

Whenever any power is to be exercised or duty is to be performed by a procuring entity in terms of these regulations such power shall be exercised or duty performed—

• in a case of where the procuring entity is a Ministry, department or other division of the Government, the accounting officer for that Ministry, department or division prescribed in terms of the Audit and

Exchequer Regulations, 1998, as amended or replaced from time to time;

• in a case of where the procuring entity is a statutory body or local authority, the accounting officer of that entity; or by an officer to whom such power has been specifically delegated by the accounting officer.

PART II

INVITATION OF TENDERS

4. Supplies required to be tendered for by State Procurement Board

(1) Subject to section 5, where a procuring entity requires the supply of goods, construction works or services the value of which exceeds the higher of $500 000 000 000 000,00 (five hundred trillion), or US$50 000 or equivalent the State Procurement Board shall invite tenders for such supply in accordance with the procedure for—

• formal tenders set out in section 8; or
• approved list tenders set out in section 25.

[Subsection amended by s.i. 161 of 2008.]

(2) Subject to section 5, where a procuring entity requires the supply of goods, construction works or services the value of which—

• exceeds the higher of the following figures—
  • $100 000 000 000 000,00 (one hundred trillion dollars); or
  • US$10 000,00 or equivalent; but
• does not exceed the higher of the following figures—
  • $500 000 000 000 000 000,00 (five hundred trillion dollars); or (ii) US$50 000,00 or equivalent.

[Subsection substituted by s.i. 161 of 2008.]

5. Supplies not required to be tendered for by State Procurement Board

(1) Where a procuring entity requires the supply of goods, construction works or services the value of which equals or is less than the higher of the following figures— (i) $100 000 000 000 000,00 (one hundred trillion dollars); or

(ii) US$10 000 or equivalent; the procuring entity may dispense with the requirement of seeking tenders if the procuring entity considers that the public interest will not benefit from tender procedure but, in such cases, the procuring entity shall obtain at least 3 competitive quotations from suppliers.

[Subsection amended by s.i. 161 of 2008.]

(2) The purchase of second-hand goods by private treaty or at public auction sales may be authorised by the accounting officer of the procuring entity concerned where the estimated value of the goods does not exceed the higher of the following figures—

(i) $500 000 000 000 000,00 (five hundred trillion dollars); or (ii) US$50 000,00.

[Subsection amended by s.i. 161 of 2008.]

• Where a procuring entity considers that it would not be in the public interest to call for tenders for a particular supply of goods, construction works or services in terms of section 4, such supply may, subject to subsection (5), be purchased without calling for tenders.
• Before purchasing any supply in terms of subsection (3), a procuring entity shall obtain the approval of—
• State Procurement Board, where the estimated value of the supply exceeds the higher of the following figures—
  • $500 000 000 000 000,00 (five hundred trillion dollars); or
  • US$50 000,00 or equivalent;

[Subsection amended by s.i. 161 of 2008.]

• the chairman of the State Procurement Board in consultation with at least three members of the Board where the estimated value of the supply exceeds the higher of the following figures—
  • $100 000 000 000 000,00 (one hundred trillion dollars); or
  • US$10 000,00 or equivalent; but does not exceed the higher of the following figures—
  • $500 000 000 000 000 000,00 (five hundred trillion dollars); or
  • US$50 000,00 or equivalent; respectively; and, in any case of a purchase referred to in subsection (4), the procuring entity concerned shall clearly and fully state in writing to the Board or the Chairman, as the case may be, the reasons why it would not be in the public interest to call for tenders for the supply in question.