New procurement law signed

TENDERS: GOVERNMENT'S MEASURE AIMS TO MINIMISE RED TAPE AND TACKLE CORRUPTION

- Ciaran Ryan

Now formally law, it will standardise practices procurement across all state organs.

President Cyril Ramaphosa this week signed the new Public Procurement Bill into law to standardise procurement practices across all organs of state.

It was deemed necessary because of the previously fragmented system of procurement across sectors that constrained "justified advancement of persons or categories of persons who could provide goods or services", according to a statement from the president's office.

In a nod to the findings of the Zondo Commission of Inquiry into Allegations of State Capture, the Bill further aims to address widespread corruption in public procurement.

Chapter 4 provides for preferential procurement for black South Africans, women, the disabled, military veterans, youth, small enterprises and co-operatives.

It is this section that attracted most criticism since it entrenches race and other preferences rather than relaxing them, as some had hoped for.

Chapter 4 is also criticised for failing to provide clear guidelines on whose job it is to initiate procurement policies within departments.

Parliamentary legal advisors point out that this becomes clearer when the procurement Act is read together with the Public Finance Management Act and other Acts.