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Public Procurement Bill Published for Comment

February 20, 2020

National Treasury

A draft bill that aims to regulate public procurement has been published for comment.

National treasury published the Draft Public Procurement Bill’s call for comment in Government Gazette 43030.

The draft bill also seeks to prescribe the framework for the procurement policy as envisaged in section 217 of the Constitution.

According to the draft bill’s memorandum, Section 217 of the Constitution stipulates that “procurement by organs of state and identified institutions must occur in accordance with a system which is fair, equitable, transparent, competitive and cost-effective”.

The public procurement regime in South Africa is described as currently fragmented with a number of laws regulating procurement across the public sector resulting in confusion as different procurement rules apply.

Therefore, legislation is needed which creates a single framework regulating procurement.

The Draft Public Procurement Bill aims to:

• regulate public procurement;
• prescribe a framework for procurement policy envisaged in section 217(3) of the Constitution; and
• provide for matters connected therewith.

According to treasury, the draft bill aims to create a single regulatory framework for public procurement and eliminate fragmentation in laws which deal with public sector procurement by, among others, providing for:

• general procurement requirements;
• an enabling framework for preferential procurement;
• a Public Procurement Regulator within the National Treasury and its functions;
• the functions of provincial treasuries;
• measures to ensure the integrity of the procurement process;
• the power to prescribe different methods of procurement;
• a framework for supply chain management;
• infrastructure delivery management;
• a framework on the disposal of assets;
• dispute resolution mechanisms; and
• the repeal and amendment of certain laws.

Comment is invited until 31 May 2020.

Meanwhile, in Gazette 43028, the South African Revenue Service published an amendment to Part 1 of Schedule No. 2 of the Customs and Excise Act by the insertion of various items under item 213.03 in order to implement anti-dumping duties on clear float glass originating in or imported from Saudi Arabia and the United Arab Emirates.