Question 1

The public procurement Act has undergone reforms since 1960 when government enacted the Supply Commission Act which was reviewed later in 1990 by PNDC law 245. Ghana National Procurement Agency Decree SMCD 55 was passed by the Supreme Military Council and in 1979, another law, the Financial Administrative Decree SMCD 221 was also passed. All these laws, decrees and instruments were meant to provide a comprehensive framework of administrative powers to regulate the activities of procurement within the public sector but it appears that, that has not been achieved. Using practical examples, discuss five (5) weaknesses of these procurement regimes

(Total Marks 20)

Question 2

Value for money (VFM) forms a key procurement principle, and is derived from the optimal balance of benefits and costs on the basis of total cost of ownership (TCO). The nature of public procurement is such that it involves discretionary decision-taking on behalf of government at all levels. Value for money is therefore not a choice of goods or services which is based on the lowest bid price but a choice based on the whole life costs of the project or service.

1. What is your understanding of the aforementioned statement?

(10 Marks)

2. Explain competitiveness and transparency and their impotence to public procurement.