2003年-世界发展银行全球_Sri_Lanka___Country_Procurement_Assessment_Report_Volume_1_Main_Report_57页_356kb

SRI LANKA COUNTRY PROCEDURE ASSESSMENT REPORT SUMMARY

Overview

This report is part of the World Bank's Business Process requirements and presents a comprehensive assessment of the Public Procurement System in Sri Lanka, conducted between April and November 2002 with the collaboration of the Government of Sri Lanka (GOSL), Asian Development Bank (ADB), and Japan Bank for International Cooperation (JBIC). It is presented in two volumes: Volume I is the Summary Report, and Volume II is the Detailed Report. The report outlines key findings, recommendations, and an action plan to improve the procurement system in Sri Lanka.

Core Content

Legal and Regulatory Framework

• The Ministry of Finance and Planning issued Guidelines on Government Tender Procedure in 1996, which became a pivotal document for procurement reform.
• These guidelines were updated in 1997 to cover both domestic and foreign-funded projects.
• While the guidelines are comprehensive and have legal force, they require strengthening in certain areas to enhance transparency and fairness.

Procurement Procedures and Practices

• Tender Evaluation and Approval Process: The process for forming Tender Boards (TBs) and Technical Evaluation Committees (TECs) needs streamlining to reduce delays and increase efficiency.
• Negotiations: The guidelines allow negotiations, which should be restricted to exceptional cases with prior approval.
• Tender Capacity: Tender capacity should be a mandatory criterion for awarding contracts, with specific pre-disclosed requirements.
• Consultant Services: The hiring of consultants requires clearer and more comprehensive procedures, with corresponding Standard Request for Proposals (RFP) documents.
• Electronic Tendering: Introduction of electronic tendering is recommended as a major step towards E-Governance, enhancing transparency and efficiency.

Organization and Resources

• Public procurement is mostly decentralized, with line ministries and provincial councils responsible for procurement.
• There is no separate procurement cadre or core group, and most procurement staff are from general engineering and accounts backgrounds, often inexperienced.
• Contract administration and monitoring are weak, leading to cost and time overruns.
• A Procurement Core Group is recommended to provide specialized inputs during the transition to a more professional system.

Audit and Anti-corruption Measures

• The Department of the Auditor General is the current watchdog, but lacks a formalized system for procurement, technical, and performance audits.
• The Bribery Commission has limited capacity and slow case resolution, with only 12% of cases disposed of in 2000.
• There is a need to strengthen and expand the Bribery Commission and introduce an appeal procedure in the procurement system.

Public Sector Management Performance

• Contract administration and monitoring are neglected areas, resulting in poor implementation performance.
• Clear contract provisions and specifications are essential to ensure timely and satisfactory project delivery.
• Disputes are often resolved amicably, but mediation and arbitration are not widely used.
• The domestic manufacturing industry is underdeveloped, leading to import dependence for most goods and supplies.

Key Findings

• Sri Lanka's public procurement system is complex and fragmented, with a high volume of procurement (around US$0.65 billion annually).
• The public sector employment rate is the highest in Asia, despite the country's relatively high per capita income.
• Major external donors include the World Bank (WB), ADB, and JBIC, with a combined portfolio of 128 projects and US$2,061.5 million in commitments.
• The procurement system lacks formalization, standardization, and oversight, leading to inefficiencies and risks of corruption.

Recommendations

Short Term Actions (0–1 year)

• Strengthen the Procurement Support Bureau (PSB).
• Simplify the review and approval process.
• Revise the procurement guidelines.
• Develop standard tender and contract documents.
• Standardize goods specifications.

Medium Term Actions (1–3 years)

• Establish a Procurement Regulatory Agency (PRA).
• Create a Procurement Accreditation System.
• Strengthen the Bribery Commission and the Auditor General’s Department.
• Introduce a Code of Conduct/Ethics Oversight.
• Implement electronic tendering.
• Create a Procurement Tracking System and Contractor Database.
• Revise contractor registration procedures.
• Introduce technical and performance auditing.
• Develop blacklisting rules.

Long Term Actions (3–4 years)

• Enact a Public Procurement Law, if necessary.
• Review, revise, and implement the Procurement Training Master Plan.

Measures to be Taken by Bank and Donors

• Donors should support the procurement reform process by providing technical and financial assistance.
• A technical assistance grant of US$0.75 million has been proposed to assist in implementing the action plan.
• Donors should take a proactive role in monitoring and follow-up actions, with one donor acting as the lead agency.

Private Sector Participation

• The private sector needs to be more efficient and competent to support effective public procurement.
• The construction industry has made progress in recent years due to training by ICTAD, but consultancy services are still dominated by foreign firms.
• Membership in NCCASL should not be compulsory.

Conclusion

The CPAR highlights the need for institutional strengthening, standardization, and professionalization of the procurement system in Sri Lanka. It outlines a clear action plan and recommends the creation of a Procurement Regulatory Agency and a Procurement Accreditation System to ensure transparency, efficiency, and accountability in public procurement. The report also emphasizes the importance of technical and financial assistance from donors and the need for improved contract administration and monitoring.