FEDERAL GOVERNMENT OF NIGERIA VERSUS THE STATE: A COMPARATIVE ANALYSIS OF BPP’S PROCUREMENT ACT 2007 AND JIGAWA DUE PROCESS AND

PROJECT MONITORING BUREAU’S PROCUREMENT LAW AND GUIDELINES

By Shuaib, M.R.,2 Jibo Nura1

2 Department of Quantity Surveying, School of Environmental Technology, Abubakar Tafawa

Balewa University, Bauchi-Nigeria.

1Building Department, Due Process and Project Monitoring Bureau, Office of the Executive Governor, Jigawa State, Nigeria.

INTRODUCTION

The Bureau of Public Procurement (BPP) of the Federal Government of Nigeria (FGN) and Due Process and Project Monitoring Bureau (DP&PMB), Jigawa State, Nigeria have established general policies and guidelines relating to public sector procurement.

INTRODUCTION (Cont’d) These laws provides room for proper delivery of

projects covering conceptualization, planning , design and its implementation

They also give opportunity(s) for award of contract with due diligence and procedure.

All procuring entity (PE) to adhere to the public procurement Act provision.

AIM OF THE PAPER

To investigate the public procurement planning and implementation by Federal Government of Nigeria and Jigawa State to see whether they are done in accordance with the laid down laws and guidelines

OBJECTIVES OF THE PAPER To compare and contrast between Jigawa State Due Process

procurement Law No. 14 and guidelines and the FGN’s Bureau for Public Procurement 2007 Act No. 14.

To identify areas of common engagement between the FGN and Jigawa State public procurement laws

To determine whether there are violations or breach in procedure in the procurement implementation strategy

To observe the lapse that is in public procurement between Jigawa State and Federal Government of Nigeria

To suggest possible ways of improving public procurement principles based on its existing laws and guidelines

METHODOLOGY This paper used content analysis as a method where

data was collected and analyzed based on the existing literature on public procurement in Nigeria

Primary source of data such as textbooks, journals and reports on procurement were read and analyzed while

Secondary source of data such as Newspapers and articles on internet were used as reference material that helped in analyzing data

AN OVERVIEW OF FGN’s BPP Act 2007 NO. 14

The preamble to 2007 public procurement Act No. 14 provides the regulatory framework that is responsible for the monitoring and overseeing of public procurement

It set the standard and developed the legal basis and professional capacity for public procurement in Nigeria

AN OVERVIEW OF FGN’s BBP Act 2007 NO. 14 (Con’td). All entities outside the foregoing which derive at least

35% of funds appropriated or proposed to be appropriated for any type of procurement described in the Act from theFederation share of the Consolidated Revenue Fund.

AN OVERVIEW OF FGN’s BBP Act 2007 NO. 14 (Con’td).

The hallmarks of proficient public procurement are: economy; efficiency; fairness; reliability; transparency; accountability and ethical standards.

Procurement as a purchasing activity is to give the purchaser the best value for money.

SETBACKS TO PROPER PUBLIC PROCUREMENT AT THE FGN

FIVE BASIC CONCERNS OF GOVERN PROCUREMENT POLICIES

Economy and Efficiency;

Value for Money

Competition

To encourage development of local contractors and manufacturers; and

Transparency in procurement process.

AN OVERVIEW OF JIGAWA STATE DUE PROCESS AND PROJECT MONITORING BUREAU REVISED LAW NO. 14 AND GUIDELINES

To regulate and set standards

To ensure full compliance through evaluation and monitoring

To develop, update and maintain the system

To uphold professional ethics and report erring procurement personnel

To perform pre-procurement audits;

To coordinate training to promote capacity building of procurement personnel of the state;

AN OVERVIEW OF JIGAWA STATE DUE PROCESS AND PROJECT MONITORING BUREAU REVISED LAW NO. 14 AND GUIDELINES (Cont’d)

To sensitize, promote and educate the citizens and other stakeholders in the state on public procurement issues;

To provide relevant procurement and budget performance information to interested parties;

To publish the details of major contracts awarded in the state periodically;

To undertake procurement research and surveys;

To perform all things and carryout such other activities as are necessary and expedient for the full discharge of its functions under or pursuant to this law.

DISCUSSION ANALYSIS AND PRESENTATION the BPP 2007 Act is purely meant for procurement

purpose whereas the Jigawa Due Process Law No. 14 encompasses project management and administrative guidelines.

The Jigawa Due Process Law No. 14 does not limit itself to only procurement.

It covers other matters related to training and development of public officers from all the state MDAs and the Due Process staff.

DISCUSSION ANALYSIS AND

PRESENTATION (Cont’d)

Under the 2007 FGN-BPP 2007 Act No. 14, there is no provision for registration of all categories of contractors with the BPP. Only for mega projects.

While the Jigawa state Law on procurement provides room for 30% mobilization payment, the BPP procurement Act 2007 provides room for only 15%.

DISCUSSION ANALYSIS AND

PRESENTATION (Cont’d)

The Jigawa State Government’s budget is operating at 75% capital and 25% recurrent expenditures.

It operates a budget that is 70% recurrent and 30% capital, which is a menu for unprecedented bad procurement disasters (Federal Executive Council, 2013).

DISCUSSION ANALYSIS AND

PRESENTATION (Cont’d)

FGN procurement process is more exposed to corruption in view of the BPP’S chain of corruption chart.

The two laws are all coded as Law No.14 and Act No. 14; apparently discharging the same responsibility as legal entities in charge of procurement at national and state government levels.

JIGAWA STATE DUE PROCESS AND PROJECT MONITORING BUREAU

CONTRACTS AWARDED FEBRUARY TO JUNE, 2012

CONCLUSION BPP 2007 Act is purely meant for procurement purpose

whereas the Jigawa Due Process Law No. 14 encompasses project management and administrative guidelines .

While the Jigawa state Law on procurement provides room for 30% mobilization payment, the BPP procurement Act 2007 provides room for only 15%.

In view of all the above therefore, the paper concludes that any procurement system that fails to comply with international best practice is a recipe for unprecedented corruption and bad procurement disasters, because it is certainly going to be carried out on inflationary tendencies and deflated tenders plus defective performance and delayance.

Thank You