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Botswana: PPADB boss calls for qualified procurement staff

March 27, 2013 Leave a comment

Mmegi Online

By Nnasaretha Kgamanyane

The Public Procurement and Asset Disposal Board (PPADB) executive chairperson, Bridget John has urged government to hire qualified people to provide procurement services for good delivery to clients.

Speaking at the PPADB media brief at Gaborone Sun recently, John said that procurement job is not a minor task as it needs people who have been trained and have a good background in the job. She said that this will not only benefit the institution but will upgrade the quality of services government gives to Batswana. She added that PPADB is an institution that was primarily established to adjudicate and award tenders, register contractors wishing to do business with the government and provide advise on public procurement and asset disposal.

John said the organisation uses more than two people to independently evaluate tender proposals. She said that this avoids situations where two evaluators can influence each other on who to give the tender. It promotes transparency because after the evaluations, all the information is compiled and a recommendation is made which makes it easier to spot any signs of corruption.”The evaluation can clearly point to the company that must be awarded the tender but if the recommendation says something else, we then review the proposals to ensure that the right bidder gets the tender. When making such evaluations, PPADB spot-checks the projects,” she pointed out.She said that PPADB checks if companies they have given tenders before had performed well. This is meant to make sure those that performed badly will not be given tenders.

South Africa: now making, assembling 50% of taxis

March 20, 2013 Leave a comment

SouthAfrica.Info

19 March 2013

South Africa has made significant progress in localizing the manufacture and assembly of minibus taxis, Economic Development Minister Ebrahim Patel said on the weekend.

“Some 12 months ago, none of the taxis on our roads were assembled in South Africa. Today about 50 percent of all taxis that are purchased are made or assembled here in South Africa, and we’re moving towards the target of localizing two-thirds of assembly in the taxi industry by 2015.”

The government is leading a campaign to promote the local procurement of supplies across all industries in order to boost the economy’s capacity to create jobs.

Patel said the Industrial Development Corporation (IDC) had been mandated to develop a national localization strategy to guide all spheres of government.

He said the labour-absorbing capacity of local manufacturing industries had to be boosted to stimulate job creation and economic growth, adding that a strong local manufacturing sector would have a positive impact on South Africa’s balance of payments.

“We are working in partnership with a major manufacturer, Toyota, who has expanded the factory in eThekwini, as well as a partnership with the IDC and a Chinese manufacturer called the Beijing Automotive Works that has started a factory in Gauteng.

These companies had already employed 220 people to assemble taxis locally, with the number set to increase significantly by 2015, Patel said.

In October 2011, the government, business, labour and community-based organisations signed a Local Procurement Accord committing the parties to work together to increase local procurement as part of South Africa’s plans to create five- million jobs over the next decade.

And in December, the government put the buying power of the state firmly behind local manufacturers, with new amendments to the the Preferential Procurement Policy Framework Act allowing the government to name sectors and products that require a minimum level of local content to qualify for state procurement.

Bus manufacturing was among the first batch of sectors designated for local procurement under the amended law, resulting in the local sourcing of 80 percent of all inputs and supplies in the manufacturing of bus bodies for the rapid public transport systems in Pretoria, Cape Town and Johannesburg.

Other products designated in the first batch included power pylons, rolling stock, TV set-top boxes, clothing, canned vegetables, footwear and leather products.

In January, the Department of Trade and Industry announced a second batch of designated products, namely electrical valves, manual and pneumatic actuators, electrical and telecommunication cables, and components of solar water heaters.

Comments on ANC taken out of context – Arms Procurement Commission

March 15, 2013 Leave a comment

William Baloyi – Willie Seriti
15 March 2013
William Baloyi defends Chairperson Willie Seriti’s letter, says evidence and allegations not the same thing.

Arms Procurement Commission : Media Statement

The Commission has noted with concern the perception raised in a number of newspaper articles of the weekend of the 9th to 10th March 2013 and the immediately following days that this Commission does not intend, or seems to avoid, interrogating the allegations of corruption, fraud and other wrongdoing against the African National Congress (ANC), its officials, members and other people associated with it.

The perception or assertion arises from a letter dated 26 February 2013 that the Commission’s Chairperson had addressed to attorneys Abrahams Kiewits Incorporated of Cape Town in response to a demand that they made on behalf of their client, Mr Terry Crawford Browne, that we should summons the ANC and its officials to appear before the Commission to answer allegations against them and to produce certain documents (see below).

As is now the standard modus operandi of Mr Terry Crawford-Browne and his attorneys, correspondence exchanged between them and the Commission is routinely released to the media. No wonder that the letter in question is now in the public domain.

The demand to summons the ANC is a typical example of another unfortunate experience that the Commission has had in its interaction with Mr Terry Crawford-Browne and his attorneys, namely, the persistent attempt to prescribe to the Commission how to conduct its work, in particular, whom to call to appear before it and at what stage. We shall revert to the latter aspect in due course.

We are of the view that the statement that the Commission was not aware of the “evidence implicating the ANC” has been read out of context and blown out of proportion. Evidence and allegations are not the same thing. The Commission is fully aware of the various allegations levelled against some officials and the members of the ANC and other people associated with it.

These allegations form part of the on-going investigations that the Commission is busy with. In this regard, there is a tendency for some people, including, unfortunately, some media practitioners and commentators to elevate allegations to the status of evidence even before they have been tested in an appropriate forum. The fact is that even if there is evidence in the public domain implicating some people it still has to be tested for veracity and credibility before conclusions can be drawn.

We point out that the Commission is in possession of massive documentation containing information implicating many people and entities in the subject matter of our investigations. The public must understand that before the information is properly interrogated in the upcoming public hearings the Commission cannot be party to any exercise to canvass it in the public domain and bandy around the names of those implicated.

We have a duty to safeguard the information placed at our disposal and not to divulge it prematurely. Nor can we disclose the identities of the people implicated before they are given the opportunity to answer for themselves.

The principles of natural justice demand that we be fair to both the complainants and the suspects. For this reason, the witnesses who are given access to the documents in our possession cannot be allowed to divulge the information gained before the issues are ventilated in the public hearings.

The media statement that we issued on the 24th November 2012 wherein we announced the intention to commence with the public hearings on the 4th March 2013 was accompanied by a list of the witnesses to be called in the first phase of the public hearings.

We explained that most of these witnesses were selected based on their roles in exposing the allegations of fraud, corruption, impropriety or irregularity in the Strategic Defence Procurement Package. It may be recalled that the list include people who have written extensively on the subject and seem to have extensive knowledge of what transpired. It was imperative to fully canvass their evidence to lay the ground work for the subsequent hearings.

We made it clear then that it is in the subsequent phases that key people who were involved in the acquisition process as well as those who are implicated in allegations of wrongdoing will be called. This is how we planned to conduct the public hearings and that programme has not changed.

It is, however, not cast in stone and may be altered if circumstances demand it. But the decision as to whom to summons at what stage and which documents to call for falls within the exclusive discretion of the Commission and we will not be dictated to in this regard.

It is apposite at this stage to refer to paragraph 1.5. of the Terms of Reference:

“Whether any person/s, within and/or outside the Government of South Africa, improperly influenced the award or conclusion of any of the contracts awarded and concluded in the SDPP procurement process and, if so:

1.5.1 whether legal proceedings should be instituted against such persons, and the nature of such   legal proceedings ….”

This is clearly one of the issues we must probe and to suggest that we will not investigate people involved in the government of South Africa is rather mischievous.

Finally, we have released a media statement explaining why the public hearings that were to start on the 4th March 2013 had to be postponed to the 5thAugust 2013 to run until the end of November 2013.

A revised programme of action and a schedule of witnesses to be called, the dates on which each will appear as well as the venue of the hearings will be released to the public timeously before the 5th August 2013. We trust that everybody, including the media, will give this Commission the space to focus on the preparations for those upcoming hearings and complete its investigations.

Statement issued by Mr William Baloyi, Spokesperson: Arms Procurement Commission, March 15 2013

Text of Judge Willie Seriti’s letter to Abrahams Kiewitz Attorneys:

Arms Procurement Commission

Private Bag X02
The Tramshed
South Africa
Pretona
0126
Tel: 012 358 3999
Fax: 012 358 3969
Email: admin@armscomm.org.za

Abrahams Kiewitz Incorporated

For attention: Mr Charles Abrahams

Dear Mr Abrahams

1. Your letter dated 25 February 2013 has reference.

2. Currently, no evidence implicating the African National Congress has been brought to the attention of the Commission. Should such evidence come to light, the Commission will deal with the matter as it deems appropriate.

3. The Commission wishes to express its irritation with the persistent allegation by your client and yourselves that evidence leaders are kept in silos, implying that certain information is withheld from some ofthem. No evidence leader is kept in the dark about the activities of the Commission. We hope that this allegation will not be repeated. The incessant attempts to tell the Commission what to do should come to an end.

Yours sincerely

ARMS PROCUREMENT COMMISSION

Seriti JA JUDGE LW SERITI
Chairperson of the Commission

Pan-African procurement and supply conference to be held in Accra

March 15, 2013 Leave a comment

Ghana News – SpyGhana.com

By Ekow Quandzie

Ghana will host the first-ever Pan African Conference and Exhibition on procurement and supply from May 21-23, 2013 in the capital, Accra.

The event will be organised by the Chartered Institute of Purchasing & Supply (CIPS), the world’ largest independent professional body representing the procurement and supply profession.

Themed “The strategic role of professional procurement in the development of Africa”, the event is expected to bring together corporate executives, financial controllers and directors, public sector decision makers as well as supply chain, logistics and procurement practitioners from all sectors of African economies

The region wide multi-sectorial conference is expected to give the continent’s public and private sector executives and decision makers an opportunity to gain insights into professional procurement and its strategic link to long term economic development.

Ghana: Government Urged To Implement Sustainable Public Procurement Policy

March 12, 2013 Leave a comment

Mr. Samuel Sallas-Mensah - CEO of Public Procurement Authority

Mr. Samuel Sallas-Mensah – CEO of Public Procurement Authority

Mr Samuel Sallas-Mensah, Chief Executive Officer (CEO) of the Public Procurement Authority (PPA) has appealed to government and procurement practitioners to embrace and implement Sustainable Public Procurement (SPP) policy.

He said SPP factored economic, social and environmental impacts in procurement decision making which would ensure effective sustainable development.

The CEO was speaking at an opening session of a five-day pilot training for procurement practitioners on SPP in Koforidua on Monday,

“Waste management and economic use of resources are some obvious challenges we face and sustainable public procurement can help address them to a large extent,” he said.

Mr Sallas-Mensah said the SPP makes room for increased participation of women entrepreneurs in government procurement processes which would be a boost for national economic growth and for their immediate families as well as their communities.

“A policy that seeks to improve incomes for women businesses through government contracts is a wise one and must be embraced since it results in poverty alleviation and wealth creation,” he said.

Mr Sallas-Mensah appealed to the government to set aside a percentage of all its contracts for Small Scale and Medium Enterprises (SMEs) to enable Women-Owned Small Businesses (WOSBs) to have a quota.

In her welcoming address, Nadia Balgoben, the Swiss Representative, implored Ghana’s policy makers and procurement practitioners to take the training serious and make it a point to implement the SPP policy for the country to attain full sustainable development.

Mr John Afari Idan, CEO of Biogas Technologies Africa Limited, reminded the participants of the need to understand that their role in public procurement is not all about buying but adding value to what they buy.

The pilot training is a collaborative effort between the Government of the Swiss, to train procurement practitioners and policy makers in the public sector in order to strengthen their monitoring and evaluation capabilities which would in turn foster sustainable development.

Source: GNA

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  2. Ghana prepares draft amendments of Public Procurement Act
  3. Ghana As From 2014 Will Operate An Electronic Procurement System
  4. PPA reveals non-compliance of public procurement law
  5. Public Procurement Act Is A Tool To Fight Corruption
  6. Government to implement strategies for public sector reform
  7. Sallas-Mensah joins Advisory Group
  8. Local firms urged to develop CSR for sustainable national development
  9. ISD And IPR Trains Government’s Public Relations Officers In Various Ministries
  10. Public-private partnership policy approved
  11. Gov’t urged to continue implementation of National Youth Policy
  12. Ghana to undertake over $1.5b ambitious projects under public-private partnership policy
  13. Ghana government approves new forest, wildlife policy
  14. Government to implement inclusive education in 2015-Minister
  15. Government to use Public Private Partnership for low-cost efficient service delivery.
  16. Ghana begins electronic procurement system 2014 (ghanabusinessnews.com)

Algerians outraged over latest corruption accusations against state oil and gas behemoth

March 12, 2013 Leave a comment

Fox News

March 3, 2013 / Associated Press

ALGIERS, Algeria –  Corrupt and gorging itself at the trough of Algeria’s vast oil wealth — that’s how most Algerians privately view the elites running the country. Yet few have been willing to say so publicly, until now.

New corruption scandals are shining a new spotlight on state oil company Sonatrach, which jointly with BP and Norway’s Statoil runs the desert gas plant that was the scene of a bloody hostage standoff in January.

A recent anguished public plea by a former Sonatrach official shocked Algerians and raised hopes that the leadership will try to clean up the oil and gas sector in Africa’s largest country.

There’s plenty at stake: Algeria is also one of the continent’s richest countries, as the No. 3 supplier of natural gas to Europe, with $190 billion in reserves, up $8 billion in the last year alone.

The Feb. 18 letter by former Sonatrach vice president Hocine Malti in the French-language Algerian daily El Watan broke the silence around the company. Addressing the shadowy leader of Algeria’s intelligence service, it asks if he is really serious about investigating new bribery scandals involving Sonatrach and Italian and Canadian companies.

When Italian prosecutors in January announced an investigation into oil company ENI and subsidiary SAIPEM for allegedly paying €197 million ($256.1 million) in bribes to secure an €11 billion contract with Sonatrach, it provoked a firestorm in the Algerian media, until the North African country’s justice system finally announced its own inquiry Feb. 10.

Malti, author of the “Secret History of Algerian Oil,” scoffed that Algerian authorities were only following the lead of international investigators and wondered if Mohammed “Tewfik” Mediene, the feared head of the Department of Research and Security, would allow the real sources of corruption to be tried in court.

“Is it too much to dream that some of your fellow generals, certain ministers or corrupt businessmen — members of the pyramid that you are on top of — members of this fraternity, might also end up in front of justice?” he asked in the letter. “Or will it be like always, just the small fry are targeted by this new investigation?”

“Will we have to continue to listen for news from the Milan prosecutor to know the sad reality of our country, to discover how certain people, whom you know quite well, people you have come across in your long professional career, have gorged themselves on millions of dollars and euros of the country’s oil revenues?” he added.

The response to the letter was swift. Energy Minister Youcef Yousfi promised that once an investigation was complete “we will take all necessary measures” against those harming the interests of the nation.

President Abdelaziz Bouteflika, who rarely appears in public, said in a written statement, “these revelations provoke our disgust and condemnation, but I trust the justice system of our country to bring clarity to the web of accusations and discover who is responsible.”

Malti told The Associated Press by telephone from his home in France that he wrote the letter partly out of anger that Algeria had to rely on foreign prosecutors to reveal the extent of its own corruption and addressed it to the head of intelligence to shock people.

“It made a lot of noise because with this letter, I broke a taboo,” he said. “The head of the DRS is an unapproachable figure in Algeria, at times we can’t even pronounce (say) his name.”

It is not the first time the state-owned hydrocarbon company, which provides Algeria with 97 percent of its hard currency earnings, has been enmeshed in scandal.

In 2010, its head, three of its vice presidents and the minister of energy were all fired in a corruption investigation run by Mediene’s intelligence agency.

However, rather than restore faith in the country’s corruption-fighting mechanism, the 2010 purge was widely seen as a chance to settle scores between the DRS and Bouteflika, since most of those fired were his close associates.

Algeria ranks 105 out of 176 in Transparency International‘s 2012 corruption index, and the occasional corruption investigation often just seems to be how the elites settle their scores, such as a string of revelations about prominent politicians in November, which observers said were linked to next year’s presidential elections.

“I realize that people might be shocked by what is happening at Sonatrach — these scandals are terrible and we condemn them as individual acts,” Sonatrach head Abdelhamid Zerguine said on the radio Sunday, the anniversary of Algeria’s 1971 nationalization of its oil industry from the French. He promised to fight further corruption “with utmost vigor,” even while denying it was systemic.

The scale of the scandals is staggering. Nearly €200 million ($260 million) was paid out by the Italians, according to the Milan prosecutor. ENI has pledged full cooperation with prosecutors in their investigations.

Meanwhile, according to a joint investigation by Canada’s Globe and Mail newspaper and an Italian business paper published Feb. 22, Canadian company SNC-Lavalin paid a series of bribes of its own to secure a $1 billion engineering contract. Company spokeswoman Lilly Nguyen responded to queries about the case saying “to the best of our knowledge, SNC-Lavalin is not specifically under investigation in the Sonatrach matter.”

With commissions on deals like this going to the highest levels of power, the Algerian press rarely reports about it — until the subject is broached by the foreign media.

Malti, who was there at the founding of Sonatrach in 1963, estimated that the country was losing between $3 and 6 billion annually to corruption in the oil sector alone.

“If a judge says that an inquiry has opened or even a minister promises to take measures against ‘people working against Algeria’s interests,’ I don’t believe them,” Mohammed Saidj, a professor of international relations at Algiers University, told the AP. “It’s just words to appease a public opinion shocked when it hears about the corruption and billions of dollars stolen by high-level political and military officials, including those close to the president.”

The chances of this situation changing are dim, considering how much the country relies on a single company.

In a chapter on Sonatrach in the 2012 book “Oil and Governance,” John Entelis, an Algeria expert at New York’s Fordham University, described the importance of a company established just a year after Algeria won its independence from France, and wrote, “Algeria’s governing elite rely upon Sonatrach for revenue from which they gain power, patronage, and privileges.”

Entelis told AP that the letter in El Watan shows that Algerians are increasingly able to complain about this system, even if that won’t necessarily change things.

“This is the heart of the Algerian political system — Sonatrach, the DRS, civil society in the form of … willingness to make these things public. Some say this is what enables it to maintain itself instead of collapse,” he said.

___

Paul Schemm reported from Rabat, Morocco. Associated Press writer Karim Kebir contributed to this report from Algiers, Algeria.

Trade between Europe and Africa: how to resuscitate an ailing deal

March 1, 2013 Leave a comment

The Guardian

By Isabelle Ramdoo

Thursday, Feb. 28th, 2013

After 10 years of negotiations, how can policymakers on both sides revive a flagging relationship?

Trade negotiations between Europe and Africa seem to have stalled. Despite both sides last year celebrating the 10th anniversary of the start of negotiations over economic partnership agreements (EPAs), their attention now appears to have shifted elsewhere.

In crisis-ridden Europe, leaders are stressing the important contribution of trade to jobs and growth for economic recovery in Europe, as they did during the last European council in early February. They call for ambitious, proactive and constructive trade engagements with their “strategic partners”. But, interestingly, these partners are located on the other side of the Atlantic and in emerging Asian economies, as a letter by José Manuel Barroso, president of the European commission to Herman Van Rompuy, president of the council, highlights.

In his address to the commission, Barroso made no mention of Africa or the controversial EPAs, which haven’t been finalised by many, despite 10 long and difficult years of negotiations. And it’s no surprise why: the negotiations have been disappointing. Of the 77 African, Caribbean and Pacific countries negotiating with the EU, only 36 finalised an agreement, of which only 18 are in Africa.

Signals from Africa have not been much better: the continent is increasingly turning east and south, towards emerging markets, and is giving less attention to Europe. Although a few countries remained truly committed to an ambitious trade relationship with Europe, the lastAfrican Union summit, held in January, made no mention of EU-Africa trade. Instead, it focused on Africa’s own domestic economic dynamics, prioritising deeper regional economic integration and increased intra-Africa trade – a logical step and one which Europe itself has followed since the 1950s.

Given the political lethargy, the eurozone crisis that legitimises inward-facing economic politics and new dynamics in Africa, should we conclude that the trade relationship between Europe and Africa is dead? No. Despite all this, there are reasons and ways to resuscitate an ailing trade deal.

The reasons are that both regions remain important to each other: Europe is still the main trade, development and investment partner of most African countries. And despite its relatively low volume of trade with the EU, Africa is nevertheless a crucial source of hard and soft commodities for Europe, and in particular of strategic metals and minerals, essential for its high-tech and green-tech industries. Furthermore, the recent new discoveries of hydrocarbons are of crucial geo-strategic importance – they represent an important alternative, given the difficult political situation in the Middle East, notably with Iran. By keeping trade talks locked in the EPA debates, Europe might accentuate resentments in Africa and therefore miss out on the emerging opportunities. Continued game playing would clearly be counter-productive for both sides.

Develop a partnership of equals

What is needed is a more mature relationship, one that is based on understanding the changing dynamics of both partners and on a real partnership of equals. Europe and Africa have to be clear on their agenda, define their expectations and priorities according to agreed values, principles and interests. The shifting international balance of power places Africa in a better position to revive its partnerships to make them more effective – the challenge will be to translate the new vision into action.

On its side, Europe’s diminishing political clout in Africa implies that it needs to rethink its strategy to become a smarter partner and its engagement with developing countries in Asia or Latin America is proof that Europe can cut its coat according to its cloth. Relationships with Asia and Latin America are more business-like in nature and reflect the priorities and ambitions of each partner. The EU–Latin America and the Caribbean summit, held in January, focused on alliance for sustainable development to promote investment of social and environmental quality. In Asia, the focus is clearly on strategic economic partnerships, with specific relationships nurtured with ChinaIndiaJapan and South Korea.

Clear, consistent communications are key

Both partners have to learn to listen to each other and avoid mixed signals and conflicting incentives. Currently, Europe does not have a coherent agenda for Africa: it has different and multispeed approaches to North AfricaSouth Africa and the rest of sub-Saharan Africa. Even towards the last segment, it has different policies as the recent desire tofocus engagement on least developed countries underlines.

Appreciate regional differences

In addition, the limited success of the EPAs should teach policymakers that insisting on comprehensive trade agreements with countries that have different expectations simply does not work. Agreements should instead reflect the real interests and capacity of countries. Botswana is not Guinea. European wonks should be careful in their engagement with North Africa so that political conditionalities do not ultimately backfire on the EU’s relationship with the whole region.

Timing is everything

The moment for change is opportune. The African Union has a new chairperson who has taken up the challenge to lift the continent into a new prosperous era. Beyond gathering her troops to deliver the “African renaissance”, Nkosazana Dlamini-Zuma will have to reboot the collaboration with international partners. The challenge for her will be to balance Africa’s geo-strategic interests to get the most of all partners. For Europe, the challenge will be to plug into the new dynamics and remain relevant. But both sides need to think of a revived partnership that goes beyond trade and effectively support Africa’s structural transformation. It is the harder ask but one that will lead to the most sustainable mutual gains, and is something worth considering at theupcoming EU-Africa Summit, scheduled for the first half of 2014.

Isabelle Ramdoo is the trade and economic governance policy officer at the European Centre for Development Policy Management (ECDPM). Follow her on Twitter: @ir_ramdoo

This content is brought to you by Guardian Professional.

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