Enhancing Transparency in Public Procurement: Addressing Short RFQ Timeframes & Petty Purchases in e-PADS

 Enhancing Transparency in Public Procurement: Addressing Short RFQ Timeframes & Petty Purchases in e-PADS

Introduction Public procurement plays a vital role in ensuring the efficient and transparent use of public funds. The e-Pak Acquisition and Disposal System (e-PADS) has significantly improved procurement processes by digitizing transactions and enforcing compliance with PPRA Rules. However, like any system, certain loopholes and practices require attention to further strengthen transparency and efficiency. One such concern is the misuse of short RFQ (Request for Quotation) timeframes and petty purchases, which can limit competition and impact fair procurement practices.

Understanding Rule 42(a) and 42(b) in Public Procurement Under Rule 42(a) of the Public Procurement Rules, 2004, petty purchases allow government departments to procure low-value items quickly, without formal bidding. Similarly, Rule 42(b) governs RFQs, enabling departments to obtain quotations from registered suppliers for procurement below a certain threshold. While these provisions ensure operational flexibility, their misuse through unreasonably short deadlines and selective vendor engagement can undermine transparency.

Challenges in Short RFQ Timeframes and Petty Purchases

1. Limited Competition: Some RFQs are issued with extremely short response times, reducing participation and favoring specific vendors.
2. Non-Transparent Vendor Selection: Frequent use of petty purchases can bypass competitive bidding, leading to procurement from a limited pool of suppliers.
3. Lack of Public Visibility: Currently, e-PADS is only accessible to registered vendors and public sector entities, restricting broader oversight.
4. Absence of Mandatory Reporting: There is no public record highlighting how often and why short RFQs and petty purchases are used.

Proposed Solutions for Better Procurement Practices To enhance accountability and ensure fair competition, the following measures should be adopted:

1. Enforce Minimum Response Time for RFQs

   • e-PADS should automatically apply a minimum timeframe (3-5 working days) for RFQs, preventing officials from setting unreasonably short deadlines.
   • Automated alerts should flag RFQs with short response periods for further review.

2. Mandatory Justification for Short Deadlines and Petty Purchases

   • If an RFQ or petty purchase is issued with urgency, written justification should be required and subject to approval.
   • Procurement officials should be trained to balance urgency with fair competition.

3. Public Reporting and Transparency

   • e-PADS should publish periodic reports on RFQs and petty purchases, including response times, vendor participation, and reasons for urgency.
   • A public dashboard should display non-sensitive procurement data, ensuring accountability while maintaining confidentiality.

4. Randomized Vendor Selection for RFQs

   • Instead of manually selecting vendors, e-PADS should introduce randomized selection from a prequalified vendor list to ensure impartiality.

5. Independent Oversight & Audits

   • Regular audits by PPRA or independent review bodies should monitor RFQ response times and petty purchase trends.
   • Any persistent non-compliance should be addressed through policy improvements and accountability measures.

Conclusion The e-PADS system has brought significant advancements in public procurement, but continuous improvements are necessary to close existing gaps. By enforcing minimum RFQ response times, enhancing public reporting, and ensuring randomized vendor selection, we can further strengthen transparency, promote fair competition, and uphold the integrity of public procurement.

Public procurement is a collective responsibility, and by refining these processes, we can ensure that every rupee spent delivers maximum value to the citizens of Pakistan.