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Global Government Contracting: Africa

Identifying Procurement Opportunities. Delivering Procurement Needs.

Procurement information for jurisdictions in Africa, the Americas, Asia-Pacific, Europe and the Middle East in respect of: 

  • how to find procurement opportunities;
  • the structure of procurement laws and key content; and
  • in-country resources and relevant publications.

Country Contacts

Luis Filipe Carvalho
Partner, Advogados Carvalho & Associados (ADCA)
DLA Piper Africa, Angola

Filipe Marques de Oliveira
Consultant, Advogados Carvalho & Associados (ADCA)
DLA Piper Africa, Angola

Government Procurement

Where are government tenders advertised? Are there any different sources for government announcements of 'green' contracting opportunities?

It varies. Each public entity, including ministries, advertises their own public tenders on their official website. Some examples are:

There is no specific source for ‘green’ contracting opportunities.

Are there any requirements for bidders to be established in the jurisdiction in order to bid or execute a contract with the procuring entity?

No. Angolan law foresees the possibility of foreign bidders participating in public tenders and executing agreements with procuring entities.

Although, please note that companies that intend to perform activities in the country for more than one year, are obliged to set up a local presence in Angola, which may be a branch or a subsidiary.

Is there any requirement for 'local content'?

Yes. 70% of the employees, must be national. The law defines ‘national’ as: Angolan citizens or foreign citizens with a residence permit.

The Legal Procurement Framework

What is the applicable procurement legislation?

  • Legislation on public procurement: Public Procurement Law, Law 41/20, of December 23;
  • Legislation on PPP: Law 11/19, May 14 (Law on Public-Private Partnerships) and Presidential Decree 316/19, October 28 (PPP Regulation);
  • Concessions: The General regime applicable to Concessions is set forth in the Public Procurement Law. Additionally, Concessions are discussed and negotiated in regards/reference to the specific sector, such as telecoms; oil & gas; forest etc, and normally, are signed and overseen by the President of the Republic.

Has your country ratified the WTO Government Procurement Agreement (GPA), or any bilateral trade agreement with Government Procurement commitments?

No. Although Angola is part of the World Trade Organization, Angola has not ratified the GPA, nor is Angola a observer.

If so, how do these international trade agreements interact with the domestic procurement legislation?

Not applicable.

What types of procuring entity need to comply with the procurement legislation?

Primarily all public entities, including, but not limited to, ministries, public institutes, public companies, provincial governments and state services.

The law defines Contracting Public Entities as:

  • The President of the Republic, the Bodies of the Central and Local State Administration, the National Assembly, the Courts, the Attorney General's Office, the Independent Administrative Institutions and Entities and the Representations of Angola abroad;
  • The Local Authorities;
  • Public Institutes;
  • Public Funds;
  • Public Associations;
  • Public Companies and Public Domain Companies;

Public law bodies, being considered as any legal person that, regardless of their public or private nature, pursues the public interest without having a commercial or industrial nature and that in their pursuit are controlled and financed by the Angolan State with recourse to an allocation from the General State Budget.

Which types of contracts are covered?

Formation and execution of contracts for public works, leasing or acquisition of movable goods and acquisition of services  by a Contracting Public Entity, as well as:

  • The formation of other contracts to be concluded by Contracting Public Entities that are not subject to a special legal regime;
  • The formation and execution of administrative concession agreements, namely public works concessions, public services concessions, public domain exploitation concessions, and the formation of agreements which are carried out through Public-Private Partnerships;
  • Contracts entered into by the organs of defence security and internal order bodies;
  • The formation and execution of contracts entered into by Public Companies and Public Domain Companies, which benefit from operational subsidies or any operations with funds from the General State Budget, whose estimated value, is equal or higher than the equivalent in Kwanzas to around USD 115.726.220,00;
  • Commercial agreements arising from financing.

Are there any exemptions to competitive bidding?

Yes. There are the following alternatives to the public tender process:

  • Limited Tender by Invitation - public contracting procedure in which the Public Entity allows any interested party to participate as a candidate, and the candidates selected following evaluation of their technical and financial capacity are invited to present proposals;
  • Simplified Contracting - a public contracting procedure in which the Public Entity invites a natural or legal person to present a proposal;
  • Emergency Contracting - a public contracting procedure in which the Public Entity requests an natural or legal person to submit a proposal or invoice to deal with unforeseeable situations objectively qualified as an emergency, under the terms of the Law.

Are there any proposals to amend the applicable procurement legislation?

No. The Public Procurement Law was very recently amended. It entered into effect in 2021.

Key procurement resources

See above.

 

Country Contacts

Tatenda Dumba
Partner, Minchin & Kelly
DLA Piper Africa, Botswana

Isaac Ntombela
Partner, Minchin & Kelly
DLA Piper Africa, Botswana

Government Procurement

Where are government tenders advertised? Are there any different sources for government announcements of ‘green’ contracting opportunities?

Government tenders are primarily advertised in Government Gazettes and in local newspapers. The Public Procurement Regulatory Authority further advertises them online here. To be able to access this site, it is necessary  to register with the Public Procurement Regulatory Authority as a potential bidder.

There is no different source for government ‘green’ contracting opportunity announcements.

Are there any requirements for bidders to be established in the jurisdiction in order to bid or execute a contract with the procuring entity?

This is dependent on the tender specifications. Generally, tenders that are specialised and technical in nature (due to lack of expertise in Botswana), do not require bidders to be established in Botswana.

Is there any requirement for ‘local content’?

There is no requirement for employment quotas relating to the local workforce. However there is a reservation scheme for works, supplies and service tenders up to the sum of BWP 10 000 000 to only benefit wholly 100% citizen owned enterprises and an exemption to this would be on the basis that there are no suitable and qualified tenders for these bidders.

The Legal Procurement Framework

What is the applicable procurement legislation?

The Public Procurement Act of 2021 regulates matters pertaining to procurement. It establishes the Public Procurement Regulatory Authority and therefore provides for its functions and management of the procurement of works, services, and supplies. Aspects of utilities, defence and concessions are not separated from general procurement and, therefore, fall under the same legislation.

The Public Procurement Act further regulates PPPs in conjunction with the Public-Private Partnership Policy and Implementation Framework 2009 issued by the Ministry of Finance as a guideline policy which defines the parameters of the procurement and implementation process and provides clear guidelines for procuring public private partnerships on a competitive basis.

Has your country ratified the WTO Government Procurement Agreement (GPA), or any bilateral trade agreement with Government Procurement commitments?

No, Botswana has not ratified the WTO Government Procurement Agreement (GPA).

It has, however, signed the SACUM-UK Economic Partnership Agreement to cooperate on trade and sustainable development matters.

If so, how do these international trade agreements interact with the domestic procurement legislation?

In accordance with the dualist system that Botswana adheres to, international trade law is not directly applicable domestically. It must first be translated into national law before it can be applied.

What types of procuring entity need to comply with the procurement legislation?

Any Ministry or Department duly authorised to engage in public procurement. This includes all entities of the central and local government, local authorities which are involved in public procurement, every public body (wholly owned by the Government of Botswana, unless specifically exempted) and any other body or entity that is the recipient of public funds and uses those funds for public procurement purposes.

Which types of contracts are covered?

Procuring entities are required to enter into an integrity agreement with contractors to promote compliance with ethical conduct and integrity in the bidding process.

They also enter into the general agreement with a contractor resulting from the application of the appropriate and approved procurement procedures and proceedings and concluded in pursuance of a bid award decision.

Financial thresholds are only shared in reservations of government tenders for citizen owned enterprises and do not appear in other legislation. This is found in the Public Procurement (Reservation of Government Tenders for Citizen-Owned Enterprises) Order 2020, which states that all works, supplies, and services tenders up to the sum of P10 000 000 issued by the central Government or State-owned entities shall be reserved for 100% citizen owned small, medium and micro enterprises with a maximum annual turnover not exceeding P10 000 000 (unless exempted due to no suitable and qualified tenders for these bidders.)

Are there any exemptions to competitive bidding?

Generally, a procuring entity shall conduct procurement by means of open domestic bidding.

While other methods may be enlisted to accommodate the different circumstances surrounding the procurement, the entity must seek to maximise competition. If a different method is used, the entity is expected to provide a justification.

Are there any proposals to amend the applicable procurement legislation?

The Public Procurement and Asset Disposal Act Cap 42;08 was recently amended and entitled the Public Procurement Act 2021.

This was done in order to continue with the Public Procurement and Asset Disposal Board as the Public Procurement Regulatory Authority and revise its functions so as to improve efficiency and effectiveness, remove the asset disposal function, maximise economy and efficiency in procurement, promote competition among suppliers and contractors, achieve transparency in procedures and provide for the fair, equal and equitable treatment of all suppliers and contractors.

Key procurement resources

  • Government Gazettes (can only be found in hard copies)

Country Contact

Elsie-Michelle Irakoze
Associate, Rubeya & Co Advocates
DLA Piper Africa, Burundi

Government Procurement

Where are government tenders advertised? Are there any different sources for government announcements of 'green' contracting opportunities?

Government tenders are advertised in the Journal of Public Procurement or in a newspaper of national or international circulation, as well as on the website of the public procurement authority.

There is no specific source for "green" contracting opportunities. However, the law on public procurement requires that companies, suppliers, and service providers bidding must comply with all laws and regulations relating to the environment.

Are there any requirements for bidders to be established in the jurisdiction in order to bid or execute a contract with the procuring entity?

No. Any discriminatory measure based on the nationality of the candidates is prohibited.

However, in order to promote the participation of national tenderers in the award of public contracts, preference is given to national tenderers. It should be noted that companies which carry on business in Burundi are required to set up a subsidiary or branch.

Is there any requirement for 'local content'?

No.

The Legal Procurement Framework

What is the applicable procurement legislation?

Has your country ratified the WTO Government Procurement Agreement (GPA), or any bilateral trade agreement with Government Procurement commitments?

No.

If so, how do these international trade agreements interact with the domestic procurement legislation?

Not applicable.

What types of procuring entity need to comply with the procurement legislation?

  • Contracts awarded by the State and decentralized territorial authorities;
  • Contracts awarded by public establishments, personalized administrations, public companies, other organizations, agencies or offices created by the State or decentralized territorial authorities to meet needs in the general interest, whether or not they have a legal personality, and whose activity is financed mainly by the State or a territorial authority.
  • Contracts awarded by legal persons under private law acting on behalf of the State, a decentralized territorial authority, a legal person under public law, a public establishment, a company under public law and any company with a majority public financial participation, or an association formed by one or more legal persons under public law;
  • Contracts awarded by legal persons governed by private law, or mixed companies with a majority private shareholding, when these contracts benefit from financial assistance or a guarantee from the State, or legal persons governed by public law;
  • Contracts awarded by legal entities benefiting from special or exclusive rights.

Which types of contracts are covered?

Domestically funded procurement:

  • Works contracts: BIF 30,000,000 excluding VAT
  • Supply contracts: BIF 12,500,000 excluding VAT
  • Services contracts: BIF 10,000,000 excluding VAT

Externally funded public procurement:

  • Works contracts: BIF 150,000,000 excluding VAT
  • Supply contracts: BIF 100,000,000 excluding VAT
  • Services contracts: BIF 80,000,000 excluding VAT

Are there any exemptions to competitive bidding?

  • An ‘over-the-counter’ contract is permitted in the following cases:
  • When the work, supplies or services are performed solely for research, testing or development purposes;
  • In cases of simple urgency for works, supplies or services, which the Contracting Authority must have performed to replace a defaulting contractor, supplier or service provider;
  • In cases of extreme urgency due to unforeseeable circumstances or force majeure, which make it impossible to comply with the deadlines provided for in the bidding procedures.
  • A direct agreement contract can be awarded if at least one of the following conditions is met:
  • When the requirements can only be met by performance requiring the use of a patent, license, or exclusive rights held by a single contractor, supplier, or service provider;
  • In cases of compelling urgency due to unforeseeable circumstances or force majeure requiring immediate action;
  • When the work, supplies or services are complementary to a contract already performed, provided:
  • no other contractor, supplier or service provider can guarantee a solution that meets the requirements referred to in the preceding paragraphs;
  • that the award is made to the holder of the main contract and that the cumulative amount of said complementary contracts does not exceed ten percent (10%) of the initial contract;
  • that the additional contracts are for supplies intended for the extension of existing installations, when the change of supplier would oblige the Contracting Authority to acquire equipment of a different technique that would be incompatible with the equipment already acquired or would cause disproportionate technical difficulties in use or maintenance;
  • supplementary service or works contracts, which consist of services not included in the contract initially concluded, but which have become necessary, as a result of unforeseen circumstances, for the performance of the service or the execution of the work, when such supplementary services or works cannot be technically or economically separated from the main contract without major inconvenience to the Contracting Authority.
  • Contracts of a secret nature which are contracts for supplies, services and works awarded to meet the needs of defence and national security.

Are there any proposals to amend the applicable procurement legislation?

No.

Key procurement resources

 

Country Contact

Hadir Elhakim
Partner, Hafez & Partners

 

Government Procurement

Where are government tenders advertised? Are there any different sources for government announcements of ‘green’ contracting opportunities?

In Egypt, there are two main laws which regulate the contracts and agreements concluded by public authorities in Egypt.

First, Law No. 182 of 2018 and its executive regulation, which regulates the conclusion of contracts tendered by public bodies (“Procurement Law”). This law has repealed the previous procurement legislation, being the Tenders and Auctions Law No. 89 of 1998.

Second, Law No. 67 of 2010 and its executive regulation, which regulates the conclusion of contracts between the public and the private sector for infrastructure projects, public services, and utilities (“PPP Law”), which was recently amended by virtue of the Law No. 153 of 2021.

Under the Procurement Law, it is a requirement that all advertised tenders (including those procured via direct agreement) must be published online on the relevant public portal, except for tenders that have national security implications which shall be decided, at the sole discretion, of the competent authority.

Moreover, there are other advertisement requirements under the law depending on the procurement model.

Below are the requirements for advertisements in each case:

Local Procurement

  • where contracting is by way of (a) public tender, (b) local general practices or (c) public auction or sealed-public auction, the advertisement must be made in a widely circulated daily newspaper.

Open Procurement

  • where contracting is by way of a public tender or foreign general practice, the advertisement must be made in a widely circulated daily newspaper, in an international newspaper, and through announcements to the embassies and consulates.

Limited Procurement

  • where contracting is by way of a limited tender, local tender, limited practice, limited auction or local auction, an invitation is addressed to the largest number of the registered bidders and prequalified bidders.

N.B. In certain cases the public bodies advertise for the required pre-qualifications through a widely circulated daily newspaper.

Links to relevant websites:

  • Government Procurement Portal (Link not active)

Environment & Green Opportunities

It is worth noting that any bidder (whether under the Procurement Law or the PPP Law) must adhere to the environmental policies set out by the cabinet of ministers.  Furthermore, at the moment , the public sector advertises tenders for green projects on the New and Renewable Energy Authority’s (“NREA”) website.

Are there any requirements for bidders to be established in the jurisdiction in order to bid or execute a contract with the procuring entity?

The PPP Law provides that the winning bidder must incorporate an SPV for the project.  The structure and condition of such SPV are set out under the executive regulations of the PPP Law.

The key requirements are as follows:

  • the SPV must be a joint stock company in accordance with the Egyptian Companies Law;
  • the SPV’s main and sole purpose must be the establishment of the project;
  • the SPV’s incorporation contract and articles of association must not contradict the PPP contract;
  • the SPV’s term cannot be less than the project’s term; and
  • the SPV’s shareholders and board of directors must be of good reputation and have not been convicted in a misdemeanor or insolvency/bankruptcy charge.

As for the Procurement Law, the requirement of having an SPV or legal existence in Egypt would depend on the contracting model and the nature of the work. Normally, in large projects, the client (i.e. the public body) would require the bidder to have a legal existence, SPV or a registered agent.

Is there any requirement for ‘local content’?

With regard to employment:

  • All sectors must adhere to a 10% foreign workers quota. This rule is subject to the discretionary power of the Minister of Labor and Work.
  • Furthermore, the executive regulation of the Investment Law no. 72 of 2017 provides that a company incorporated under the said law shall have the right to appoint foreign workers with a cap of 10% of the total number of workers. However, such cap is subject to increase to 20% under particular conditions.

With regard to local components:

  • Law no. 5 of 2015 related to Preference of Egyptian Products in Governmental Contracts provides that in any of the tenders announced by governmental or administrative authority, a standard specification that the Egyptian components must represent at least 40% of the projects total value. Such restriction may be reduced or exempted by virtue of a decision from the prime minister.
  • Under the Procurement Law, a product, service, or artwork fulfilling the minimum local component is classified as having the lowest price if it did not exceed a foreign bid by 15%, save for the contracts concluded by the Ministry of Defence, Ministry of Interior Security and the Security Intelligence in addition to contracts related to national security and contracts falling within PPP Law scope.

The Legal Procurement Framework

What is the applicable procurement legislation?

The general procurement legislation in Egypt are the Procurement Law and the PPP Law.

Legislation Links:

  • PPP Law (1 and 2)

The links provide access to the Arabic versions of the laws as issued in the official gazettes, without showing the latest amendments of the law, where applicable.

Other legislation:

  • Law Number 204 for the Year 1957 Exempting Defences Arms Contracts from Taxes, Fees and Other Related Financial Rules including Procurement Law and PPP.
  • Law Number 129 for the Year 1947 titled Public Utility Obligations.

Has your country ratified the WTO Government Procurement Agreement (GPA), or any bilateral trade agreement with Government Procurement commitments?

Egypt has not ratified the WTO Government Procurement Agreement (GPA) to date.

Nevertheless, Egypt has ratified bilateral agreements including:

  • Egypt-EU Association Agreement
  • Egypt-Turkey Free Trade Agreement
  • Egypt-EFTA Free Trade Agreement.

If so, how do these international trade agreements interact with the domestic procurement legislation?

Where applicable, pursuant to the Egyptian Law, generally, treaties, conventions, and international agreements whether bilateral or multilateral have a superior rank over local legislation. Therefore, whenever there is a conflicting provision between a local legislation and in international instrument, the international instrument  prevails.

What types of procuring entity need to comply with the procurement legislation?

The procuring entities include:

  • the public bodies included in the State budget;
  • administrative authorities undertaking a special budget including ministries, organizations and agencies;
  • local administrative authorities; and
  • public service and economic authorities, units of special character and private funds affiliated with such units (unless related to the social welfare funds established by them) are subject to the procurement legislation.

Which types of contracts are covered?

The Procurement Law governs the contracts concluded by the public bodies included in the State budget; contracts concluded by administrative authorities undertaking a special budget including ministries, organizations and agencies; local administrative authorities; public service and economic authorities and units of special character and private funds affiliated with such units unless it was related to the social welfare funds established at them.

The PPP Law governs partnership contracts concluded between administrative units and private entities as well as contracts of special consultations, for the purpose of executing an infrastructure project; public utility projects and its services. Moreover, it provides a financial threshold of the PPP contract, which is not less than one hundred million Egyptian Pounds. 

Are there any exemptions to competitive bidding?

Under the Procurement Law, there are certain exceptions which allow the administrative authority to directly contract with a sole bidder without going through the competitive bidding process.

This mechanism (direct agreement) may be implemented in the following cases:

  • Emergencies arising from circumstances that could not have been expected or predicted, or which require to be handled immediately with no room for following the tender procedures;
  • if only one supplier has the technical capacity or ability to meet the requirements of the contract or has the exclusive or sole right over the subject;
  • when the subject of the contract is not covered by an existing contract, but technical necessity requires its execution by the same executing contractor;
  • in urgent cases where the contract must be concluded within a limited timeframe that does not allow initiating a tender procedure, in order to ensure the safe and smooth workflow at the administrative authority, provided that such situation is not the result of misjudgment or delay in taking action;
  • in cases of promoting social or economic policies adopted by the State;
  • in case of standardization with the existing items.

However, such exceptions require certain permissions from the head of the administrative authority or the cabinet in some cases. The approval of the head of the administrative authority or the competent minister will be required depending on the value of the contract, while the approval of the cabinet of ministers will be required for transactions with value of more than EGP 10 million and in construction works of more than EGP 20 million.

As for the PPP Law, there are certain exceptions, which are as follows:

  • Direct agreement, in which the government would be allowed to negotiate directly with a sole bidder without needing to take the project through the competitive bidding process. This mechanism may be implemented in the following cases:
  • where there is an economic or social necessity that requires to accelerate the process;
  • if any of the project companies has implemented a project in accordance with the PPP model in a satisfactory manner and the Supreme Committee for PPP affairs has estimated in light of the economic and social conditions of the state and the special nature of such project, and based on the recommendations of the Public Private Partnership Central Unit, that re-assigning such entity to carry out any related works to such project has economic and social benefits.
  • Conducting a limited auction or limited tender, if the government perceives that a particular project requires technical and financial capacities unavailable in the market without reference to certain private entities.
  • Contracting for a project based on the initiative of the private sector, if such project is innovative, its relevant studies and funding methods were completed, it accomplishes economic and social benefits to the state and it was not planned by the competent Administrative Authority at the time of its submission.

Are there any proposals to amend the applicable procurement legislation?

The PPP Law issued in 2018, was recently amended on the 18th of December 2021 by Law no. 153 of 2021. No further public proposal for amendments has been made.

In relation to the Procurement Law, it was amended in 2018 and no further public proposal for amendments has been made.

Key procurement resources

See above.

Country Contacts

Mehrteab Leul
Partner, Mehrteab & Getu Advocates LLP
DLA Piper Africa, Ethiopia

Government Procurement

Where are government tenders advertised? Are there any different sources for government announcements of 'green' contracting opportunities?

Government tenders in Ethiopia are advertised on information boards, national newspapers of general circulation as well as electronically at: Tenders On Time

There are no different sources for government announcements of "green" contracting opportunities. 

Are there any requirements for bidders to be established in the jurisdiction in order to bid or execute a contract with the procuring entity? 

In principle, there is no requirement for establishment or registration to participate in international bids in Ethiopia. 

The Revised Procurement Directive states that International Open Procurements are allowed for the procurement of goods or services beyond ETB 15,000,000 for construction works, ETB 50,000,000 for goods, ETB 7,500,000 for advisory services and ETB 21,000,000 for others. Any bidder intending to supply government agencies below these thresholds needs to be registered and have a renewed trade licence, and have a bank account in Ethiopia. 

To execute a contract with the procuring entity, however, registration may be required. This will  depend on:

  • the terms of the contract: the contract may require the physical registration of the contractor in Ethiopia; and

  • the nature of the contract: applicable tax laws of the country may have Permanent Establishment (PE) requirements if  the contract period is longer that 180 days in a year. 

International Bidders competing within the permitted threshold need to have, as appropriate, a business organization registration certificate or a trade licence issued by the country of establishment. 

Is there any requirement for 'local content'?

With regard to employment, depending on the availability of local professionals, the complexity of the investment and the need for high skilled professionals, there is no limitation on the number of expatriates that can be employed. 

Ethiopian laws allow a foreign national to be employed in Ethiopia, provided that they acquire a work permit. Work permits are issued by the Ministry of Labour. A work permit is given to a foreign employee in a specific role for three years and must be renewed every year.

A foreign contractor is allowed to employ qualified expatriate experts for the operation of his business, but it is required that such expatriate personnel must be replaced within a specified period of time by Ethiopians, by arranging the necessary training.

Where, in the evaluation of bids for procurement of goods, services or works, equal percentage points are given to bidders offering similar price and quality, preferences are given to local goods, services or companies.

The Legal Procurement Framework

What is the applicable procurement legislation? 

Has your country ratified the WTO Government Procurement Agreement (GPA), or any bilateral trade agreement with Government Procurement commitments?

Ethiopia is not yet a member of the WTO, and has not ratified the WTO Government Procurement Agreement (GPA).

Furthermore, to the best of our knowledge, it has not ratified any bilateral trade agreements with any Government Procurement commitments.

If so, how do these international trade agreements interact with the domestic procurement legislation?

Not applicable.

What types of procuring entity need to comply with the procurement legislation?

Public Procurement, as per the Proclamation, means procurement by a public body using public funds. As such, it is government agencies (public bodies) which need to comply with the procurement legislation in relation to their contracts/ procurements with non- government bodies.  

Please note that contracts which a public body enters into with another public body for the provision of goods, works, consultancy or other services at cost are explicitly excluded from application of procurement legislation. 

Which types of contracts are covered? 

Contracts for the procurement of goods and services, as well as contracts for refurbishment works, are covered by the government tender rules in Ethiopia. 

Government agencies can procure goods and services the value of which do not exceed ETB 5,000 without complying with the procurement legislation provided that the annual cumulated value of the procurements does not exceed ETB 75,000. Besides this, there are different thresholds for other types of contract. For example, construction works with a value equal to or exceeding ETB 20,000,000; goods ETB 6,000,000, advisory services ETB 4,000,000 and other services ETB 2,000,000 need to be posted on the website of the Agency in addition to being published in a newspaper. 

Are there any exemptions to competitive bidding? 

In principle, government procurements and related administrative contracts are concluded through competitive bidding procedures. 

However, there are circumstances where direct awards are permissible as per the Proclamation:

  • When the goods and services can only be supplied by one supplier and are not available from other suppliers;

  • Emergency situations and the need to have additional services which were not covered by previous contracts;

  • The need for additional works which are completely identical to the previous works, after completion of the initial project;

  • The need for continuation of consultancy services, where the previous consultancy service was satisfactory and brings gains;

  • The head of the public body has determined that the need is a pressing emergency in which delay would create serious problems for the public body;

  • When it is necessary to purchase materials and deliverables for the purpose of the services from the original supplier;

  • In situations where a purchase becomes necessary to meet the special procurement needs of the public body; and

  • For the purchase of goods made under exceptionally advantageous conditions which only arise in the very short term.

Are there any proposals to amend the applicable procurement legislation?

No, we are not aware of any such proposal.

Key procurement resources 

 

Country Contact

Kizzita Mensah
Partner, Reindorf Chambers
DLA Piper Africa, Ghana

Government Procurement

Where are government tenders advertised? Are there any different sources for government announcements of ‘green’ contracting opportunities?

Government tenders are advertised in:

  • The principal newspapers
  • Daily Graphic
  • The Ghanaian Times
  • Donor sites, where applicable

There is no separate source for announcements of green contracting opportunities

Are there any requirements for bidders to be established in the jurisdiction in order to bid or execute a contract with the procuring entity?

No, not necessarily. Where applicable, such requirements would be included in the bidding criteria.

Is there any requirement for ‘local content’?

We are seeing a move towards local content in a number of sectors, however, there is a recognition that there are limits to financial and technical capabilities among local players

The Legal Procurement Framework

What is the applicable procurement legislation?

Has your country ratified the WTO Government Procurement Agreement (GPA), or any bilateral trade agreement with Government Procurement commitments?

Ghana has not ratified nor is it an observer to the WTO Plurilateral Agreement on Government Procurement.

If so, how do these international trade agreements interact with the domestic procurement legislation?

Ghana is not a member of the Agreement on Government Procurement or any other bilateral trade agreements. Thus, the government does not have any international commitments nor is it bound to comply with the directives of the WTO or contained in any international agreement.

However, fundamental principles of transparency and non-discrimination captured in these international agreements as well as the UN Commission on International Trade Law’s Model Law on Procurement are reflected in the Procurement Act and its amendments.

What types of procuring entity need to comply with the procurement legislation?

The Procurement Act requires compliance by the following entities,

  • central management agencies;
  • government ministries, departments and agencies;
  • subverted agencies;
  • government institutions;
  • state-owned enterprises to the extent that they utilise public funds;
  • public universities, public schools, colleges and hospitals;
  • the Bank of Ghana and financial institutions such as public trusts, pension funds, insurance companies and building societies that are wholly owned by the state or in which the state has a majority interest;
  • institutions established by the government for the general welfare of the public or community;
  • statutory funds, commissions and other bodies established by the government for a special purpose; and
  • phases of contract administration.

In addition, any other institution as far as it is engaged in the procurement of goods, works and services financed in whole or in part from public funds must comply with the Act. By implication, any institution that does not fall into any of the categories above, and whose procurement is not financed in whole or in part from public funds is not required to comply with the Act.

Which types of contracts are covered?

The Act applies to all goods, works and services financed in whole or in part from public funds and does not exclude contracts based on the value. It does, however, provide different threshold limits above which the procurement process must be carried out by a higher authority and approved by the appropriate entity tender committee. The Act also provides thresholds beyond which specific procurement methods must be used. The Amendment Act has amended these thresholds and the respective ETCs.

Are there any exemptions to competitive bidding?

The Act provides for exceptional circumstances where single source procurement may be allowed over competitive bidding with the approval of the Procurement Board. They are:

  • where goods, works or services are only available from a particular supplier or contractor, or if a particular supplier or contractor has exclusive rights in respect of the goods, works or services, and no reasonable alternative or substitute exists;
  • where there is an urgent need for the goods, works or services and engaging in tender proceedings or any other method of procurement is impractical due to unforeseeable circumstances giving rise to the urgency which is not the result of dilatory conduct on the part of the procurement entity;
  • where owing to a catastrophic event, there is an urgent need for the goods, works or technical services, making it impractical to use other methods of procurement because of the time involved in using those methods;
  • where a procurement entity having procured goods, equipment, technology or services from a supplier, contractor or consultant, determines that additional supplies must be procured from the supplier, contractor or consultant because of standardisation or compatibility with existing goods, equipment, technology or services taking into account.
  • the effectiveness of the original procurement in meeting the needs of the procurement entity;
  • the limited size of the proposed procurement in relation to the original procurement;
  • the reasonableness of the price; and
  • the unsuitability of alternatives to the goods or services in question.
  • where the procurement entity seeks to enter into a contract with the supplier or contractor for research, experiment, study or development, except where the contract includes the production of goods in quantities to establish commercial viability or recover research and development costs; or
  • where the procurement entity applies this Act for procurement that concerns national security, and determines that single-source procurement is the most appropriate method of procurement.

A procurement entity may engage in single-source procurement with the approval of the Board after public notice and time for comment.

Are there any proposals to amend the applicable procurement legislation?

The recent amendment to the Public Procurement Act in 2016 (Act 914) addressed the shortcomings in the Public Procurement Act, 2014 (Act 663). There are currently no  proposals for further amendments of the PPA Act.

However, it must be noted that the PPA has initiated the process for the preparation of subsidiary legislation to implement, interpret and enforce the Public Procurement (Amendment) Act, 2016 (Act 914)

Key procurement resources

Country Contacts 

Beatrice Nyabira
Partner, IKM 
DLA Piper Africa, Kenya

Cynthia Olotch
Partner, IKM
DLA Piper Africa, Kenya

Government Procurement

Where are government tenders advertised? Are there any different sources for government announcements of 'green' contracting opportunities?

Government tenders are advertised:

  • on the procuring entity's website; or
  • in a daily newspaper of national circulation.

There is no different source for announcements relating to ‘green’ contracting opportunities.

Are there any requirements for bidders to be established in the jurisdiction in order to bid or execute a contract with the procuring entity?

With respect to public private partnership (PPP) arrangements procured under the Public Private Partnerships Act, 2021 (PPP Act), there is no requirement for bidders to be established in Kenya. A successful bidder is, however, required to establish an SPV for the purposes of undertaking a PPP project.

With respect to traditional procurements under the Public Procurement and Assets Disposal Act (PPAD), there are certain procurements that are reserved for bidders registered in Kenya and having Kenyan shareholders e.g. low value procurements. Any requirement for a bidder to be registered in Kenya or to have Kenyan shareholding would ordinarily be clearly set out in the respective tender document.

Is there any requirement for 'local content'?

There are local content requirements both under the PPP regime and under traditional forms of procurement.

Some of the local content requirements would ordinarily include provisions aimed at promoting local industry, technology transfer, employment of locals and, in some instances, there could be a requirement for Kenyan shareholding.

The local content requirements are usually set out in the tender documents and bidders would, therefore, be aware of any such requirements up front.

The Legal Procurement Framework

What is the applicable procurement legislation?

There are two main laws governing public procurement in Kenya, namely:

Has your country ratified the WTO Government Procurement Agreement (GPA), or any bilateral trade agreement with Government Procurement commitments?

Kenya has not ratified the WTO GPA.

Based on information that is publicly available, it appears that Kenya has so far not entered into any bilateral trade agreements with public procurement commitments.

If so, how do these international trade agreements interact with the domestic procurement legislation?

As above.

What types of procuring entities need to comply with the procurement legislation?

All public entities are required to comply with procurement legislation. Public entities in Kenya include the National Government, the County Governments, State Corporations and County Corporations.

Which types of contracts are covered?

All contracts for public procurement as well as those for asset disposal are covered by the procurement legislation.

Are there any exemptions to competitive bidding?

While competitive bidding is preferred, there are certain exemptions:

  • under the Public Procurement and Assets Disposal Act, for instance, direct procurement may be used in limited circumstances such as where the goods and services are available from only a particular supplier, and no alternative exists; and
  • with respect to PPP arrangements procured under the PPP Act, direct procurement is also permitted in limited circumstances such as where the works or services are available only from a limited number of private parties.

Are there any proposals to amend the applicable procurement legislation?

There are currently no proposals to amend the procurement legislation. There are however draft regulations under the PPP Act, which are currently under consideration and are aimed at operationalising the Act, which came into effect in December 2021.

Key procurement resources

Country Contacts

Mohamed Tumi
Partner, Tumi Law Firm

Mazen Tumi
Partner, Tumi Law Firm

Government Procurement

Where are government tenders advertised? Are there any different sources for government announcements of 'green' contracting opportunities?

Are there any requirements for bidders to be established in the jurisdiction in order to bid or execute a contract with the procuring entity?

Yes, a company branch must be established in the Libyan jurisdiction in order to bid or execute a contract with the procuring entity. There is a separate process for the establishment of a branch for a foreign company.

Is there any requirement for 'local content'?

The local content requirement is such that at least 75% of a foreign company’s workers must be Libyan nationals. Further, the foreign company must provide training to at least 20% of those local employees starting from the second year of its establishment.

The Legal Procurement Framework

What is the applicable procurement legislation?

Has your country ratified the WTO Government Procurement Agreement (GPA), or any bilateral trade agreement with Government Procurement commitments?

Libya has not ratified the WTO GPA.

Libya has signed numerous International Investment Agreements; however, they have no impact on the stated laws.

If so, how do these international trade agreements interact with the domestic procurement legislation?

Not applicable.

What types of procuring entity need to comply with the procurement legislation?

All procuring entities must comply with the procuring legislation.

Which types of contracts are covered?

There is only one type of contract covered, that being administrative contracts covered under Law No.563 of the Administrative Contracts Regulations (ACR 2007).

Are there any exemptions to competitive bidding?

Direct Order Tenders are the exception to competitive bidding.

The conditions under which Direct Order Tenders are awarded are:

  • Cases involving national security requirements or emergency circumstances as decided by the General People’s Council (GPC).
  • Contracting with foreign or state entities to execute effective agreements.
  • Cases where there are no offers for general tenders, limited tenders or bargaining.
  • Cases where urgent maintenance work, reparation or purchasing of necessary materials is required.
  • Consultant services for urgent cases costing more then 1000,000 Libyan Dinar (LYD).

Are there any proposals to amend the applicable procurement legislation?

To the fullest extent of our knowledge, there are no current proposals to amend the current applicable procurement legislation. The latest amendment has been enforced since its publication in 2023.

Key procurement resources

See above.

Country Contacts

Raphael Jakoba
Associate Manager, Madagascar Conseil international

Nirina Andrianarimanana
Senior Legal Adviser, Madagascar Conseil international

Natacha Ramanamisata
Senior Legal and Tax Adviser, Madagascar Conseil international

Government Procurement

Where are government tenders advertised?  Are there any different sources for government announcements of ‘green’ contracting opportunities?

The Malagasy government’s calls for tenders are made in the following ways: 

  • posted in public places (e.g. headquarters or social media of the contracting authority and at the office of the chamber of commerce and industry);
  • published in newspaper on a weekly basis with the related criteria; and
  • published regularly in the Regulatory Authority for Public Procurement’s websites (ARMP).

There is no specific source for “green” contracting opportunities.

Are there any requirements for bidders to be established in the jurisdiction in order to bid or execute a contract with the procuring entity? 

Apart from PPP contracts, which are governed by a specific law which provides that licensees must be commercial companies based in Madagascar, there is no obligation which requires bidders to be established in the Malagasy jurisdiction.

Is there any requirement for ‘local content’?

No, there is no requirement for local content.

However, in the case of a tender, any contracting authority may apply a margin of preference, at a rate not exceeding 15 %, to a bid submitted by an international bidder who intends to subcontract at least 25 % of the total value of the contract concerned to a local small and medium-sized enterprise.

The Legal Procurement Framework

What is the applicable procurement legislation? 

The law no. 2016-055 of January 25, 2017 on the Public Procurement Code specifies the rules, procedures and modalities for awarding public contracts. 

Also, the law no 2015-039 on public-private partnership sets out the provisions that lay down the rules and relations of public-private partnership.

Has your country ratified the WTO Government Procurement Agreement (GPA), or any bilateral trade agreement with Government Procurement commitments?

No, Madagascar has not ratified the WTO Government Procurement Agreement.

If so, how do these international trade agreements interact with the domestic procurement legislation?

Not applicable.

What types of procuring entity need to comply with the procurement legislation?

The following entities need to comply with the procurement legislation:

  • The State and its public establishments, and decentralized local authorities and their public establishments;
  • Any public or private entity benefiting from or managing a State or public authority budget or any other public funding; and
  • Any company with a majority public shareholding.

Which types of contracts are covered? 

The public procurement legislation covers the following type of contracts :

  • Construction contracts;
  • Supply contracts; and
  • Intellectual services contracts.

The Public Procurement Code does not apply to contracts with a value of less than:

  • For road construction: 50,000,000 Ariary for central authorities and 25,000,000 Ariary for decentralized authorities;
  • For road maintenance: 30.000.000 Ariary for central authorities and 15.000.000 Ariary for decentralized authorities;
  • For non-road construction: 20,000,000 Ariary for central authorities and 10,000,000 Ariary for decentralized bodies; and
  • For supplies and services: 2,500,000 Ariary for central authorities and 1,500,000 Ariary for decentralized authorities.

 Are there any exemptions to competitive bidding? 

Yes, waiver of the formal competitive bidding procedure or direct award is permitted under the following conditions: 

  • the amount of the contract is below the above-mentioned thresholds; or
  • the contract concerns miscellaneous expenditure necessary for the normal functioning of the authority concerned; or
  • the contract concerns services which must be kept secret; or
  • contracts for which there is an urgent need resulting from unforeseeable circumstances for the procuring authority and for which the conditions for award are not compatible with the time limits required by the tendering procedures; or
  • the contract is intended to meet needs that can be met only by a specific supplier; or
  • the contract is complementary to an initial contract awarded to the same contractor; or
  • the contract relates to intellectual services requiring a particular candidate because of his qualifications or the need to continue with the same service provider.

Are there any proposals to amend the applicable procurement legislation?

No amendments to the procurement legislation have been officially proposed.

Key procurement resources

Key procurement resources are the following:

  • Instructions to Applicants (Instructions aux Candidats);
  • Bid Data Sheet (Données Particulières de l'Appel d'Offres);
  • Bid Form (Formulaire de Soumission);
  • Contract Agreement (Acte d'Engagement);
  • Special Conditions of Contract (Cahier de Prescriptions Spéciales); and
  • General Conditions of Contract (Cahier des Clauses Administratives Générales).

Country Contacts

Shalinee Dreepaul-Halkhoree
Partner, Juristconsult Chambers
DLA Piper Africa, Mauritius

Annabelle Ribet
Associate-Barrister, Juristconsult Chambers
DLA Piper Africa, Mauritius

Government Procurement

Where are government tenders advertised? 

Government tenders are advertised on the e-Procurement System (e-PS), introduced in 2015.  It is  mandatory for suppliers/bidders to register on the E-Procurement System in order to submit their bids online.

Are there any different sources for government announcements of ‘green’ contracting opportunities?

There is no specific source for ‘green’ contracting opportunities.

Are there any requirements for bidders to be established in the jurisdiction in order to bid or execute a contract with the procuring entity?

No, the Public Procurement Act 2006 (PPA) generally defines a “bidder” as a participant or potential participant in procurement proceedings. Companies which do not carry on business in Mauritius are, however, required to set-up a subsidiary/domestic company or branch.

The PPA nonetheless provides that a public body may limit participation in open advertised bidding proceedings to citizens of Mauritius or entities incorporated in Mauritius only where such limitation is stated in the invitation to bid or, for prequalification, in the bidding documents and is otherwise in accordance with such criteria as may be prescribed (s. 17).

Is there any requirement for ‘local content’?

There is no legislative requirement on contractors for the implementation of ‘local content’.

The Legal Procurement Framework

What is the applicable procurement legislation?

The PPA supported by secondary legislation including:

  • Public Procurement Regulations 2008;
  • Public Procurement (Suspension and Debarment) Regulations 2008;
  • Public Procurement (Disqualification) Regulations 2009;
  • Public Procurement (Framework Agreement) Regulations 2013;
  • Public Procurement (Electronic Bidding System) Regulations 2015.

Has your country ratified the WTO Government Procurement Agreement (GPA), or any bilateral trade agreement with Government Procurement commitments?

Mauritius is not a party to the WTO Government Procurement Agreement (GPA).

In August 2009, Mauritius (together with the Seychelles, Madagascar and Zimbabwe) signed an interim Economic Partnership Agreement (iEPA) with the EU.

In 2017, five Eastern and Southern Africa partners (so-called ESA: the Comoros, Madagascar, Mauritius, the Seychelles and Zimbabwe) agreed to deepen the iEPA, including key factors such as transparency in Government procurement.

If so, how do these international trade agreements interact with the domestic procurement legislation?

The general rule is that international trade agreements only become part of our domestic law to the extent they are passed by our National Assembly. It is only then that they are incorporated into our local laws.

What types of procuring entity need to comply with the procurement legislation?

All public bodies, as defined in the PPA, are required to comply with procurement legislation.

Which types of contracts are covered?

The contracts and prescribed amounts specified in the First Schedule of the PPA are covered by the procurement legislation.

Are there any exemptions to competitive bidding?

The PPA provides that:

  • Subject to section 15(2), the choice of procurement methods available to a public body shall be, for the procurement of goods, other services and works, by competitive negotiations (s.15 (1) (a) (vii));
  • A public official involved in planning or conducting public procurement proceedings or contract administration, shall discharge his duties impartially so as to ensure fair competitive access to procurement by suppliers (s.51 (1) (a)).

In terms of exceptions, section 25B (1) provides that a public body may engage in competitive negotiations where:

  • there is an urgent need for the subject matter of the procurement and engaging in open advertised bidding or any other competitive method of procurement would be impractical and time-consuming, provided that the circumstances giving rise to the urgency were not foreseeable by the public body or was not the result of any dilatory conduct on the part of the public body;
  • due to a catastrophe, there is an urgent need for the subject matter of the procurement and open advertised bidding or any other competitive method of procurement would be impractical and time-consuming;
  • where all the bids received for an open advertised bidding or restricted bidding are classed as irregular or unacceptable;
  • a public body determines that the use of any other competitive method of procurement is not appropriate for the protection of the essential security interests of Mauritius; or
  • it is required as a complementary procedure, because:
  • there is a tie in the lowest evaluated price by two or more bidders;
  • there is a tie in the highest combined points score; or
  • the lowest evaluated price substantially exceeds the estimated cost.

Are there any proposals to amend the applicable procurement legislation?

The PPA, the Public Procurement Regulations 2008 and the Public Procurement (Electronic Bidding System) Regulation 2015 were amended in 2022, with some of the amendments detailed below.

In the PPA:

  • Section 2 has been amended to define or redefine the following terms: “Directives”; “Goods” and “Major Contract”;

  • A new sub-section (1C), in section 11 has been added to require the Board to share such information as may be prescribed with the public body when a bidding exercise is completed.
  • Section 36(4A) has been added to enable appropriate setup for the opening of bids received electronically.
  • Section 39(1)(e) has been amended to allow a public body to cancel a procurement proceeding where mistakes have been detected in the bidding document after the publication of an invitation for bids.

In the Public Procurement Regulations 2008:

  • Regulation 3A has been added to ensure sharing of information is being done by the Board to the public body concerned upon completion of a bidding exercise.
  • Regulation 3B has been added to allow the Procurement Policy Office to monitor the status of bidding exercises in respect of major contracts.
  • Regulation 47C has been added to reserve works contracts up to Rs 20 million to small contractors, subject to the conditions stipulated therein.

In the Public Procurement (Electronic Bidding System) Regulations 2015, Regulation 14 has been amended to align it to the electronic opening process whereby bidders shall have prompt access to the bid opening report on the website of the public body without having to attend the opening at the public body or the Central Procurement Board.

Key procurement resources

Country  Contacts

Eduardo da Costa Calú
Partner, SAL & Caldeira Advogados, Lda.
DLA Piper Africa, Mozambique 

Gisela Manhiça Sitoe
Manager, SAL & Caldeira Advogados, Lda.
DLA Piper Africa, Mozambique

Victória Rumbidzai Sande
Associate, SAL & Caldeira Advogados, Lda
DLA Piper Africa, Mozambique

Sebastião Malisani Pangaya 
Associate, SAL & Caldeira Advogados, Lda
DLA Piper Africa, Mozambique
 
Government Procurement

Where are government tenders advertised? Are there any different sources for government announcements of 'green' contracting opportunities?

Tenders are advertised on the UFSA website, press (radio, newspaper or other means adequate for achieving the target audience (suppliers)), usually through the most widely circulated newspaper (Jornal Notícias).

The same sources apply to government announcements of 'green' contracting opportunities. 

Environmental benefits given by a bidder can be considered as an advantage when combined criteria is applied to the tender. 

Are there any requirements for bidders to be established in the jurisdiction in order to bid or execute a contract with the procuring entity? 

No. It is only mandatory that all national and foreign bidders have the requisite legal, economic‑financial and technical qualifications, as well tax regularity and other requirements provided in the tender documents.

To submit a bid, a foreign bidder is required to appoint a representative resident in Mozambique, prove compliance with the qualifications above in their country of origin, prove the lack of insolvency proceedings in their country of origin and should present all documents in Portuguese. However, if successful, the bidder will be required to set up a company, subsidiary or branch to carry on business in Mozambique as required.

Bidders may participate through consortia or associations. 

Is there any requirement for 'local content'?

A proposal for a local content law is under review but has not yet been approved. The Procurement Law itself does not have any provisions relating to local content. However, it is possible that the tender documents provide such requirements.

Employment legislation makes reference to quotas for the employment of foreign nationals in Mozambican companies, based on the number of national employees. It is possible to hire employees outside of the quota provided that the procedural requirements have been met.

The bearer of the certificate and seal "Pride of Mozambique. Proudly Mozambican" can be an advantage to a bidder in case of a tie in a tender, as the recipient of such seal is required to make use of local content when providing its services. 

The Legal Procurement Framework

What is the applicable procurement legislation? 

  • Decree no. 5/2016, of 8 March, which approves the Regulations for the Hiring of Contractors for Public Works, Supply of Goods and Rendering of Services to the State and revokes Decree no. 15/2010, of 24 May (includes concessions), as amended by Decree no. 71/2021, of 13 August and Decree no. 89/2021, of 29 October (referred to as the "Public Procurement Regulations").
  • Law no. 15/2011, of 10 August, which approves the Law of Public Private Partnerships "PPP" (includes concessions) and Decree no. 16/2012, of 4 June, which approves the PPP Law Regulations.
  • Ministerial Diploma no. 78/2019, of 06 August, which approves the administrative procedures and complementary orientations for implementation of tender by segments.
  • Defence and utilities are also included in the Procurement Regulations with exceptions. For defence and security matters, the general rule is direct award. 

Has your country ratified the WTO Government Procurement Agreement (GPA), or any bilateral trade agreement with Government Procurement commitments?

No. Mozambique has not ratified the WTO Government Procurement Agreement (GPA).

If so, how do these international trade agreements interact with the domestic procurement legislation?

No trade agreements with Government procurement commitments exist. 

(Generally, international trade agreements are only part of domestic law to the extent they are ratified and incorporated into the relevant local legislation. According to our Constitution, after ratification of any international treaty, if not directly absorbed by the Constitution, it should be incorporated under the domestic legislation).

What types of procuring entity need to comply with the procurement legislation?

The procurement legislation is applicable to all Public Administration bodies and institutions, including direct and indirect administration of State, the State's representation abroad, municipalities and other public legal persons. 

The procurement legislation does not apply to state‑owned companies and private companies in which the government has a shareholding.

Which types of contracts are covered? 

Public procurement legislation covers all contracts for construction of public works, supply of goods and provision of services, including leasing, consultancy and concessions, regardless of the value.

Are there any exemptions to competitive bidding? 

Yes, there is a process of direct award, which is applicable in certain circumstances, namely:

  • where the contracting party is the Presidency of the Republic and the State Information and Security Services;
  • the object can only be supplied by one supplier or, if the contracting entity had previously contracted from a supplier and justifies this procurement to keep uniformity of standards; 
  • in situations of emergency and only to satisfy the object of emergency for its duration;
  • in periods of war or serious disturbance of order; 
  • if in prior tenders, the tender was deserted due to the lack of attendance and cannot be repeated without prejudice to public interest; 
  • if the object is related to national defence and security, specifically execution of military secret buildings and others exclusive to Armed Forces and Police; and, 
  • if the object is to fuel military units and equipment, during a short stay in a port, airport or other locality, by a party which is not based in Mozambique.

Are there any proposals to amend the applicable procurement legislation?

There were two recent specific amendments to the Procurement Regulations. Decree no. 71/2021, of 13 August introduced an amendment to the entities to which the direct award applies to, extending it to cases in which the contracting party is the Presidency of the Republic and the State Information and Security Services.

Decree no. 89/2021, of 29 October amends the Procurement Regulations in relation to the Provisional Guarantee to be provided by bidders as a requirement for their admissibility in tenders.

Currently, the format of the Guarantee is under discussion, following approval of Decree no. 89/2021 of 29 October.

There are possible additional amendments to the Procurement Regulations in the works but there is no public information available on the draft of the intended new regulations.

Key procurement resources

For suppliers: UFSA is the central entity responsible for the supervision of public procurement across the country with a centralized and online database.

Usually announcements of tenders are published in the newspaper "Notícias"; the most widely circulated newspaper in the country.

Country Contacts

Jurie Badenhorst
Partner, Ellis Shilengudwa Incorporated
DLA Piper Africa, Namibia 

Hugo Meyer van den Berg
Consultant, Ellis Shilengudwa Incorporated
DLA Piper Africa, Namibia 

Government Procurement

Where are government tenders advertised? Are there any different sources for government announcements of 'green' contracting opportunities?

National Newspapers; and online here

There are no different sources for government announcements of 'green' contracting opportunities.

Are there any requirements for bidders to be established in the jurisdiction in order to bid or execute a contract with the procuring entity? 

No, but a bid awarded may require a successful bidder to register in the jurisdiction.

Is there any requirement for 'local content'?

Where bidding documents provide for a margin of preference to local suppliers or to categories of local suppliers, the applicable margin of preference is at the rate determined by the Minister.

The Minister may prescribe any nature of procurement supporting Government programmes to be reserved exclusively for categories of local suppliers and which is to be complied with by the Procurement Board and every public entity in the procurement of goods or services that has a value not exceeding that amount.

The Legal Procurement Framework

What is the applicable procurement legislation? 

  • Public Procurement Act 15 of 2015; and
  • Public Private Partnership Act 4 of 2017

Has your country ratified the WTO Government Procurement Agreement (GPA), or any bilateral trade agreement with Government Procurement commitments?

No.

If so, how do these international trade agreements interact with the domestic procurement legislation?

Not applicable.

What types of procuring entity need to comply with the procurement legislation?

Government or state owned entities procuring goods and services.

Which types of contracts are covered? 

  • Goods contract – Estimated value of procurement not exceeding N$ 25 000 000.00.
  • Works contract – Estimated value of procurement not exceeding N$ 35 000 000.00.
  • Consultancy contract – Estimated value of procurement not exceeding N$ 20 000 000.00.
  • Non consultancy contract – Estimated value of procurement not exceeding N$ 15 000 000.00.

Are there any exemptions to competitive bidding? 

The Minister may, with or without condition, as the Minister may determine, grant a general or specific exemption by way of a directive for specific types of procurement or disposal from the application of certain provisions of this Act that are not practical or appropriate for the purpose for which such goods are let, hired or disposed of, including goods, works and services being procured.

Are there any proposals to amend the applicable procurement legislation?

No.

Key procurement resources

  • Public Procurement Act 15 of 2015; and
  • Public Private Partnership Act 4 of 2017

A link to the main resources is here

Country Contacts

Dayo Idowu
Partner, Olajide Oyewole LLP
DLA Piper Africa, Nigeria

Oluyemi Oyewole
Senior Associate, Olajide Oyewole LLP
DLA Piper Africa, Nigeria

Saheed Alao
Associate, Olajide Oyewole LLP
DLA Piper Africa, Nigeria

Government Procurement

Where are government tenders advertised? Are there any different sources for government announcements of 'green' contracting opportunities?

Government tenders are advertised in Tender Journals, Procuring entities' websites, notice boards and national dailies.

Relevant websites include:

The Public Procurement Act (PPA) is the principal law regulating procurement of goods, works and services by the Federal Government and applicable Federal Government owned entities (please see answer below). Notably, the PPA stipulates that tenders are to be advertised on Tenders Journals, two national dailies and the website of any procuring entity.

There is no specific source for green contracting opportunities in Nigeria.

However, we note that certain laws have environmental implications for public procurement. S13 of the Environmental Impact Assessment (EIA) Act obligates the conduct of an EIA for all projects being sponsored by Federal, State and Local Governments. The projects exempted from EIA are those with minimal environment impact or carried out in the period of emergency.

Are there any requirements for bidders to be established in the jurisdiction in order to bid or execute a contract with the procuring entity?

No, to the extent that their activities do not amount to carrying on business under Nigerian law.

Please note that 'carrying on business' is a question of fact, which the Courts have held to mean 'to conduct, prosecute or continue a particular vocation or business as a continuous operation or permanent occupation or to hold one's self out to others as engaged in the selling of goods or services.' (See: Edicomsa International Inc. and Associates vs. Citec International Estates Limited

Accordingly to the extent the procurement activity is not a continuous operation but a one-off activity, then there is no requirement for registration. However, where the activity involves ongoing operations then a bidder would require to register in Nigeria.

Also, it should be noted that procuring entities are mandated to give preferential treatment to Nigerian companies and firms pursuant to the Presidential Executive Order Executive Order 005 for Planning and Execution of Projects, Promotion of Nigerian Content in Contracts, and Science, Engineering and Technology (Executive Order 005). (See further below).

Is there any requirement for 'local content'?

Yes, there are statutory and regulatory requirements for local content in some industries.

Oil and Gas Industry

The primary local content legislation is the Nigerian Oil and Gas Industry Content Development Act, 2010 (Local Content Act). The Local Content Act requires '…all regulatory authorities, operators, contractors, subcontractors, alliance partners and other entities involved in any project, operation, activity or transaction in the Nigerian oil and gas industry…[to]… consider Nigerian content as an important element of their overall project development…’.

Section 3 of the Local Content Act provides that Nigerian independent operators shall be given first consideration in all projects for which a contract is awarded in the oil and gas industry.

Notably, the Schedule to the Local Content Act sets out minimum content requirement for all contracts in the oil and gas industry.

Information and Communication Technology

The National Information Technology and Development Agency (NITDA) has issued the Guidelines for Nigeria Content Development in Information and Communication Technology (as amended, August 2019) (NITDA Guidelines).

NITDA Guidelines apply to Federal Government Owned Companies (either fully or partly owned), federal institutions, public corporations etc. Essentially, these entities are required to factor in local content in their procurement activities in the acquisition of ICT hardware, software development, networking services and data and information management.

Key procurement requirements for government-owned entities include, but are not limited to:

  • ensuring that all software development projects valued at N5,000,000,000 (Five Billion Naira) or below are procured solely from indigenous companies or (where capacity does not exist in Nigeria) JV companies with indigenous companies. Indigenous partners are to be entitled to not less than 40% of the total value of the development project
  • sourcing and procuring 40% of computer hardware and associated devices only from NITDA approved original equipment manufacturers (ODMs) and original design manufacturers (OEMs). As a condition for their license, OEMs and ODMs are expected to maintain at least 40% and 70% local content by value and volume in any segment of the product value chain respectively. They are also expected to recruit and train Nigerian work force.

Service and Manufacturing

On 24 May 2017, the Federal Government issued the Executive Order  003 (On support for Local Content in Public Procurement by Ministries, Department and Agencies (MDAs)of the Federal Government of Nigeria) of 2007 (Executive Order).

Under the Executive Order, MDAs of the Federal Government are to grant preference to local manufacturers of goods and service providers in their procurement of goods and services. Particularly, 40% of procurement expenditures of MDAs shall be locally sourced for the following:

  • Uniforms and footwear;
  • Food and beverages;
  • Furniture and fittings;
  • Stationery;
  • Motor vehicles;
  • Pharmaceuticals;
  • Construction materials; and
  • Information and communication technology.

Consultancy and Other activities

Similarly, the Federal Government issued an Executive Order 005 for Planning and Execution of Projects, Promotion of Nigerian Content in Contracts, and Science, Engineering and Technology (Executive Order 005). Key highlights of Executive Order 005 include, but are not limited to, mandating MDAs to:

  • engage indigenous professionals in the planning, design and execution of national security projects and consideration shall only be given to a foreign professional where it is certified by the appropriate authority that such expertise is not available in Nigeria;
  • ensure that duly registered firms with current practising firms are to lead in any consultancy services involving joint venture relationships and agreements relating to law engineering, ICT, architecture, procurement, quantity surveying etc;
  • ensure that before the award of any contract, Nigerian counterpart staff are engaged from the conception stage to the end of the project

In addition to this, the Federal Government is to introduce a margin of preference in favour of domestic suppliers of goods and services when bidding with foreign counterparts. The margin of preference is set at 7.5% for Goods and 15% for works. 

The Legal Procurement Framework

What is the applicable procurement legislation?

The applicable public procurement legislation is ; the Public Procurement Act 2007, the Infrastructure Concession Regulatory Commission (Establishment, etc.) Act 2005 and other applicable State Laws.

Please note that procurement legislation in Nigeria is tiered, reflecting the federal nature of the country.

Federal Level

At the Federal level, the overarching procurement legislation is the Public Procurement Act 2007 (PPA).

The PPA applies to the procurement of goods, works and services by:

  • The Federal Government of Nigeria and all procurement entities (please see  below); and
  • all entities which derive at least 35% of the funds from the federal government's share of the consolidated revenue fund.

However, S 15 (2) of the PPA excludes military procurement from the ambit of the Act unless the President's express approval has been first sought and obtained. The Bureau of Public Procurement (BPP) is the regulatory agency charged with the function of overseeing compliance with the PPA.Further, the PPA establishes the:

  • Parastatals Tender Boards as the approving authority for procurement in government agencies, parastatals and corporations; and
  • Ministerial Tender Board as the approving authoring for procurement by a ministry or extra-ministerial entity.

Similarly, the Infrastructure Concession Regulatory Commission (Establishment, etc.) Act 2005 (ICRC Act) lays the legal framework for private-public partnership and concessions sponsored by the federal government or its MDAs.

Some of the key provisions of the ICRC Act include:

  • All projects pursuant to the ICRC Act are to be approved by the Federal Executive Council (FEC);
  • Award of projects or concessions shall be by competitive public bidding. However, this is subject to the exception that where only one contractor applied or submitted a bid/proposal or met pre-qualification requirements, the MDA may undertake direct negotiation without competitive bidding;
  • Duration of concession is subject to parties' agreement; and
  • All project costs are to be duly authenticated by the relevant MDA and concessionaires are given right of way.

State Level

Many States have their procurement legislation which sets-out the legal framework for public procurement by the State Government and its MDAs.

For example, Public Procurement Law 2021 (PPL) is the applicable legislation for public procurement in Lagos State. Key provisions of the PPL includes:

  • Establishing the Lagos State Public Procurement Agency while charging it with the mandate of overseeing compliance with procurement policies of the Lagos State;
  • Establishing a Tender Board for each MDA. The Tender Board has the power to award and is responsible for procurement of goods, works and services within the benchmark set pursuant to the law.
  • Setting out the procurement procedures for procuring entities.

Similarly, the Public Partnership Law 2011 of Lagos State governs the grant of concession by the Lagos State Government. The provisions of the PPL is similar to ICRC Act discussed above.

Has your country ratified the WTO Government Procurement Agreement (GPA), or any bilateral trade agreement with Government Procurement commitments?

No, and we are unaware of any bilateral trade agreement with any Government procurement commitments.

If so, how do these international trade agreements interact with the domestic procurement legislation?

Not applicable.

What types of procuring entity need to comply with the procurement legislation?

The following are entities required to comply with the PPA:

  • any public body (of the federal government) engaged in procurement and includes a Ministry, Extra-Ministerial office, government agency, parastatal and corporation;
  • all entities which derive at least 35% of the funds from the federal government's share of the consolidated revenue fund.

Under the Lagos State PPL, the procuring entity is any public body of Lagos State engaged in procurement and includes Ministries, Departments, Bureaus, Offices and Agencies, Extra-Ministerial offices, parastatals, corporations, Lagos State University and Colleges, government institutions, local government areas and their derivative units.

Which types of contracts are covered?

As noted in above, Tender Boards (both Ministerial and Parastatals) are the approving authority for public procurement. However, their power to approve a contract is subject to any monetary threshold published by the BPP.

Accordingly, the extant monetary threshold is set in the BPP Approved Revised Thresholds for Service-Wide Application 2012. The applicable contracts are contracts for goods, works, non-consultant services and consultant services.

See below for the applicable thresholds:

Approving Authority

Goods

Works

Consultant Services

Non-consultant

BPP issues 'No objection to award' while FEC approves

N100 million and above

N500 million and above

N100 million and above

N100 million and above

Ministerial Tender Board

N5 million and above but less than N100 million

N10 million and above but less than N500 million

N5 million and above but less than N100 million

N5 million and above but less than N100 million

Parastatal Tender Board

N2.50 million and above but less than N50 million

N5 million and above but less than N250 million

N2.50 million and above but less than N50 million

N2.50 million and above but less than N50 million

Accounting Officer: Permanent Secretary

Less than N5 million

Less than N10 million

Less than N5 million

Less than N5 million

Accounting Officer: Director General/CEO

Less than N2.50 million

Less than N5 million

Less than N2.50 million

Less than N2.50 million

 

Please note that  separate thresholds apply to procurement by the Nigerian National Petroleum Corporation Limited

Are there any exemptions to competitive bidding?

Yes.

Procuring entities are exempted from open competitive bidding under special circumstances as spelled out under Part VII of the PPA. Where applicable, alternative procurement procedures include:

  • two-stage tendering;
  • restricted tendering;
  • request for quotation;
  • direct procurement.

Two Stage Tendering

Under the PPA, a procuring entity may engage in a two-stage tendering process where:

  • It is not feasible to formulate detailed specifications for the goods or works or, in the case of services, to identify their characteristics;
  • the character of the goods or works are subject to rapid technological advances; where the procuring entity seeks to enter into a contract for research, experiment, study or development; and
  • tender proceedings have been utilized but were not successful or the tenders were rejected by the procuring entity under an open competitive bid procedure and the procuring entity considers that engaging in new tendering proceedings will not result in a procurement contract.

Restricted Tendering

Upon approval of the BPP, a procuring entity may for reasons of economy and efficiency engage in procurement by means of restricted tendering if:

  • the goods, works or services are available only from a limited number of suppliers or contractors;
  • the time and cost required to examine and evaluate a large number of tenders is disproportionate to the value of the goods, works or services to be procured; or
  • the procedure is used as an exception rather than norm.

Request for Quotation

A request for quotation may be used for procurement where the value of the goods or work to be done does not exceed a sum stipulated in the Public Procurement (Goods and Works) Regulations 2007.

Direct Procurement

This is used to carry out emergency procurement, particularly where:

  • goods, works or services are only available from a particular supplier or contractor, or if a particular supplier or contractor has exclusive rights in respect of the goods, works or services, and no reasonable alternative or substitute exit;
  • there is an urgent need for the goods, works or services and engaging in tender proceedings or any other method of procurement is impractical due to unforeseeable circumstances giving rise to the urgency which is not the result of dilatory conduct on the part of the procuring entity;
  • owing to a catastrophic event, there is an urgent need for the goods, works or services, making it impractical to use other methods of procurement because of the time involved in using those methods; and
  • the procurement concerns national security and the procuring entity determines that a single-source procurement is the most appropriate.

Are there any proposals to amend the applicable procurement legislation?

Yes, proposals include the Public Procurement Act 2007 (Amendment) Bill 2019, sponsored by Senator Shaibu Isa Lau, and Public Procurement Act 2007 (Amendment) Bill 2019, sponsored by Senator Uche Lilian Ekwunife.

Key procurement resources

Country Contact

Calvin Mitali
Partner, Equity Juris Chambers
DLA Piper Africa, Rwanda

Government Procurement

Where are government tenders advertised? Are there any different sources for government announcements of 'green' contracting opportunities?

Government tenders are advertised on UMUCYO

Advertisements are also published in widely circulated local newspapers such as the NewTimes and Igihe.

Are there any requirements for bidders to be established in the jurisdiction in order to bid or execute a contract with the procuring entity?

This is dependent on the terms of the tender.

Is there any requirement for 'local content'?

This is also dependent on the terms of the tender.

The Legal Procurement Framework

What is the applicable procurement legislation?

 Law N° 031/2022 of 21/11/2022 governing public procurement 

Has your country ratified the WTO Government Procurement Agreement (GPA), or any bilateral trade agreement with Government Procurement commitments?

No.

If so, how do these international trade agreements interact with the domestic procurement legislation?

Not Applicable.  However the law governing public procurement provides that in case where it conflicts with provisions of a bilateral or multilateral treaty or other form of agreement related to public procurement to which the Government of Rwanda is a party, the provisions of those agreements prevail.

What types of procuring entity need to comply with the procurement legislation?

Government entities and the related service providers.

Which types of contracts are covered?

Generally, all contracts are covered subject to the thresholds, except for contracts related to procuring classified goods and services related to national defence and security.

Thresholds are provided for under Ministerial Order n° 002/20/10/TC OF 19/05/2020 establishing regulations on public procurement.

Are there any exemptions to competitive bidding?

Pursuant to Article 50 of the Ministerial Order N° 002/20/10/TC of 19/05/2020 establishing regulations on public procurement:

  • A tender whose value does not exceed five hundred thousand Rwandan francs (500,000 RWF) is awarded without resorting to any competitive method.
  • A tender whose value exceeds two hundred thousand Rwandan francs (200,000 RWF) but not exceeding five hundred thousand Rwandan francs (500,000 RWF) is awarded through the public procurement committee.
  • A tender whose value does not exceed two hundred thousand Rwandan francs (200,000 RWF) is awarded through the procurement officer. This officer proposes the tender award to the head in charge of finance and to the chief budget manager for approval at the first and the second level, respectively.

In any case, the procuring entity is not allowed to split tenders in a manner aimed at avoiding the competitive procurement methods provided for by law.

Are there any proposals to amend the applicable procurement legislation?

Yes, we understand that the Ministerial Order N° 002/20/10/TC of 19/05/2020 establishing regulations on public procurement is under review and will provide for revised modalities for the use of public procurement methods and their criteria.

Key procurement resources

Country Contacts

Libasse Dia
Tax Advisor, Geni and Kebe Law Firm
DLA Piper Africa, Senegal

Mouhamadou Bassirou Balde
Attorney, Geni and Kebe Law Firm
DLA Piper Africa, Senegal

Government Procurement

Where are government tenders advertised? Are there any different sources for government announcements of ‘green’ contracting opportunities?

Invitations to tender are published on the website of the ministries according to the nature of the project or on the website of the Autorité de Régulation des Marchés publics.

There are no particular websites for green contracts.

For renewable energies, the calls for tender are published on the website of the Ministry of Oil and Energy.

Are there any requirements for bidders to be established in the jurisdiction in order to bid or execute a contract with the procuring entity?

No in-jurisdiction registration in Senegal is required to participate in a public tender.

Is there any requirement for ‘local content’?

Yes, there is a local content requirement, especially for outsourcing.

Indeed, according to the provisions of Article 48 of the Public Procurement Code, the holder of a public works contract or a service contract may subcontract the execution of certain parts of the contract up to 40% of its amount, giving priority to small and medium-sized enterprises governed by Senegalese or Community law.

The same principle applies to the preferences referred to in Article 50 of the Public Procurement Code. For contracts awarded on the basis of international calls for tenders, preference is given to candidates under Senegalese law or from WAEMU member countries and to candidates whose bids include only products of Senegalese origin or from WAEMU member countries over candidates under non-Community law, provided that their bids are not more than 15% higher than the lowest bidder. 

Local content is also required in the oil, gas and mining sectors. Companies operating in this sector are required to employ local personnel, depending on their skills. 

The Legal Procurement Framework

What is the applicable procurement legislation?

For public procurement, utilities, concessions and defence, reference is made to:

  • Decree 2014-1212 of September 22, 2014, establishing the Public Contracts Code;

For Public Private Partnership (PPP) contracts (may include concessions also in some cases), reference is made to:

Has your country ratified the WTO Government Procurement Agreement (GPA), or any bilateral trade agreement with Government Procurement commitments?

Senegal has not signed the WTO bilateral trade agreement on government procurement.

However, since Senegal is a member of WAEMU, it should be noted that Directive 04/2005 of December 9, 2005, on the procedure for awarding, executing, and settling public contracts and delegations of public services applies.

If so, how do these international trade agreements interact with the domestic procurement legislation?

For WAEMU, the relevant provisions of the Directive have been incorporated into the Public Procurement Code.

What types of procuring entity need to comply with the procurement legislation?

Any entity that may be awarded government contracts whether it is a local authority, a public government entity or a private entity, local or foreign company as long as the entity meets the bidding conditions set out in the requirements specifications.

Which types of contracts are covered?

The tendering procedure is an open procedure for tenders by:

  • The State, local authorities and public establishments, when the amount of the contract is more than XOF 70 million for works, XOF 50 million for services and current supplies and 50 million for intellectual services.
  • National companies, corporations with a majority public shareholding whose activity is financed mainly by the State or a local authority, and agencies or other agencies when the amount of the contract is more than XOF 100 million for works, XOF 60 million for services and routine supplies and XOF 60 million for intellectual services.

Are there any exemptions to competitive bidding?

A direct award is when the contracting authority engages directly in discussions with one or more candidates it deems suitable and awards the contract to the candidate it has selected (Article 76).

A direct award can only be made to contractors, suppliers or service providers who agree to be subject to specific price controls during the performance of the services.

However, direct awards may only be made after authorization and approval by the Directorate for Public Procurement Control (Article 76).

The following procurements may be awarded by direct agreement, in particular :

  • procurements intended to meet needs that, for reasons relating to the holding of an exclusive right, can only be met by a specific co-contractor;
  • procurements for works, supplies or services considered to be secret or whose execution must be accompanied by special security measures or for which the protection of the essential interests of the State so requires;
  • procurements for which, the imperative urgency resulting from unforeseeable and irresistible circumstances outside the authority is not compatible with the time limits and rules of form required by the open or restricted tender procedure;
  • procurements under the general mobilization and warning measures.

Are there any proposals to amend the applicable procurement legislation?

No, not currently.

Key procurement resources

Country Contact

Sadock Dotto Magai 

Managing Partner, IMMMA Advocates

DLA Piper Africa, Tanzania

Government Procurement

Where are government tenders advertised? Are there any different sources for government announcements of ‘green’ contracting opportunities?

Government tenders are advertised through domestic newspapers.

Also, the Zabuni online platform advertises all the latest tenders from different sectors.

Pursuant to Regulation 332 of the Public Procurement Act, all tenders must be advertised as follows:

International competitive tenders:

  • in the Journal and Tender Portal;
  • in the procuring entity’s website and/or Notice Board; and
  • in at least one local newspaper and one international newspaper.

National competitive tenders:

  • in the Journal and Tender portal;
  • in the procuring entity’s website and/or Notice Board; and
  • in one local newspaper.

Relevant links are:

There is no specific source for the announcement of ‘green’ contracting opportunities.  However, all procuring entities must assess the impact on the environment of any project at the planning stage of that project before procurement commences.

Are there any requirements for bidders to be established in the jurisdiction in order to bid or execute a contract with the procuring entity?

The requirement for bidders to register an entity in Tanzania and have a local presence is sector-based.

Sectors such as mining, oil and gas, insurance and construction have restrictions on bidding and operating under relevant laws. In those sectors, it is mandatory to have a local presence to bid and operate.

However, there are other sectors which do not contain any restrictions.  Foreign bidders are permitted to bid and operate in Tanzania.

Is there any requirement for ‘local content’?

There are local content requirements in place. The local content concept is addressed in the procurement laws as well as sector-specific laws. Further, the immigration laws provide restrictions on the employment of expatriates in Tanzania.

The Legal Procurement Framework

What is the applicable procurement legislation?

  • the Public Procurement Act 2011;
  • the Public Procurement Regulations 2013;
  • the Public Procurement (Amendments) Regulations 2016;
  • the Public Private Partnership Act 2018; and
  • the Public Private Partnership Regulations 2011.

Has your country ratified the WTO Government Procurement Agreement (GPA), or any bilateral trade agreement with Government Procurement commitments?

Tanzania was not a signatory to the GPA nor has it imported the GPA into public procurement laws.

If so, how do these international trade agreements interact with the domestic procurement legislation?

Not applicable.

What types of procuring entity need to comply with the procurement legislation?

  • All public entities which are required to procure goods and services from private bodies operating in Tanzania.

  • All private entities which wish to provide services to the public bodies established by law in their relevant sectors.
  • Defence and National Security entities, subject to certain exceptions.
  • Public Private Partnership projects, in their relevant stages.

Which types of contracts are covered?

The thresholds (published in 2019) are as follows.  The values are revised from time to time.

 

Goods

Works

Non-Consultancy Services

Disposal of public assets

International competitive tendering

No limit

No limit

No limit

No limit

National competitive tendering

Up to 5 billion TZS

Up to 15 billion TZS

Up to 5 billion TZS

Up to 5 billion TZS

 

Are there any exemptions to competitive bidding?

Procurement bodies may use single sourcing procurement. Pursuant to Regulation 159 of the Public Procurement Regulations 2013 the conditions for single sourcing are as follows:

  • the goods or services are available only from a particular tenderer who has exclusive rights in respect of such goods or services, and no reasonable alternative or substitute exists;
  • there is an urgent need for the goods or services, and engaging in tendering proceedings would be impractical, provided that the circumstances giving rise to the urgency were not foreseeable by the procuring entity;
  • a procuring entity, having procured goods, equipment, technology, services or spare parts from a supplier in accordance with a national or international competitive tendering process which complied with the Regulations, determines that additional supplies of the same type as those purchased under an existing contract are required;
  • a procuring entity seeks to enter into a contract with a tenderer for the purpose of research, experiment, study or development;
  • procurement involving national defence or national security;
  • where critical items need to be purchased from a specified supplier to ensure that the output of a process plant will be guaranteed by the contractor responsible for the process design;
  • where standardization of equipment is essential for economic and technical reasons, and it has been proven to the tender board’s satisfaction that compatibility of the existing equipment with another make of equipment cannot be established and that there is no advantage in having an alternative supplier;
  • where standardization of spare parts is required so that they may be compatible with existing equipment or spare parts, or stock items related to specific and specialized equipment or machinery; and
  • in the context of an on-going project, additional items need to be purchased for the completion of implementation of that project.

Are there any proposals to amend the applicable procurement legislation?

No

Key procurement resources

United Republic of Tanzania Government Portal

TANePS

Public Procurement Regulatory Authority

 

Country Contacts

Nicholas Ecimu
Partner, S & L Advocates
DLA Piper Africa, Uganda

Paul Mbuga
Partner, S & L Advocates
DLA Piper Africa, Uganda

Francis Kalanda
Associate, S & L Advocates
DLA Piper Africa, Uganda

Government Procurement

Where are government tenders advertised? Are there any different sources for government announcements of "green" contracting opportunities?

Government tenders (those subject to open competition) are advertised on the Government of Uganda Procurement Portal here and occasionally in local newspapers of national circulation.

There is no specific source for "green" contracting opportunities. However, procurement and disposal entities are legally required to take into account environmental protection, social inclusion and stimulating innovation.

Environmental considerations must also be taken into account during disposal of public assets.

Are there any requirements for bidders to be established in the jurisdiction in order to bid or execute a contract with the procuring entity?

No. However, companies which carry on business in Uganda are required to set up a subsidiary or branch, and preference schemes exist for bidders incorporated or registered in Uganda.

Is there any requirement for "local content"?

There is no general legislative requirement on contractors for the implementation of local content.

However, preference is given to domestically manufactured goods, Ugandan contractors and Ugandan consultants, who enjoy a competitive advantage when competing for public procurement contracts.

Additionally, according to the Guidelines on Reservation Schemes to Promote Local Content in Public Procurement  issued by the Procurement Authority as part of the Buy Uganda Build Uganda Policy:

  • contracts below set thresholds are reserved for national and resident contractors;
  • at least 30% of the value of works through subcontracting of sub works, supplies, equipment and services is reserved for national and resident providers for procurement of road and other works contracts where the bidder is a foreign bidder;
  • procurements for the supply of uniforms and related clothing material are reserved for providers that have manufacturing facilities in Uganda;
  • procurements for the supply of electric cables, conductors and bundle cables are reserved for providers that have manufacturing facilities in Uganda;
  • procurements for medicines and medical supplies manufactured in Uganda are reserved for providers that have production facilities in Uganda.

National and resident providers are classified according to four criteria:

  • their size as deduced from physical and financial capacity;
  • their core operational area indicating the disciplines or codes;
  • the records of current or past contracts and performance; and
  • their ownership or control.

The Legal Procurement Framework

What is the applicable procurement legislation?

The principal procurement legislation in Uganda is the Public Procurement and Disposal of Public Assets Act (PPDA Act) (2003) as amended in 2011 and 2021.

The subsidiary legislation exists at two levels:

  • The Central Government Regulations that govern national procurement:

Has your country ratified the WTO Government Procurement Agreement (GPA), or any bilateral trade agreement with Government Procurement commitments?

No. Uganda is committed to a number of bilateral, multilateral, regional and preferential trade arrangements under which it is obliged to accord partner states the most favoured special treatment in all matters relating to mutual trade relations. However, none of these impose direct government procurement commitments.

If so, how do these international trade agreements interact with the domestic procurement legislation?

Generally, international trade agreements operate subject to existing domestic legislation.

There is currently no interaction between Uganda's international trade agreements and the domestic procurement legislation, except a policy position to harmonise procurement policies to the requirements of international treaties and to incorporate regional thresholds below which only regional companies can compete.

What types of procuring entities need to comply with the procurement legislation?

The procurement legislation applies to the following procuring and disposing entities:

  • a ministry of government;
  • a district council or a municipal council;
  • a statutory body which receives public finances;
  • a company in which Government or a procurement and disposing entity:
  • controls the composition of the board of directors of the company;
  • is entitled to cast, or controls the casting of more than fifty percent of the maximum number of votes that may be cast at a general meeting of the company; or
  • controls more than fifty percent of the issued share capital of the company, excluding any part of the issued share capital that does not carry a right to participate beyond a specified amount in the distribution of profits or capital.
  • non-government entities procuring from public funds including:a constitutional or statutory commission;
  • a public university or tertiary institution;
  • Bank of Uganda.

Which types of contracts are covered?

The law provides for the following types of contracts:

  • a lump sum contract with a fixed price for clearly specified outputs or deliverables;
  • a time-based contract for nominated personnel and reimbursable items;
  • an admeasurement contract where works are split into various items and each work item is priced at a unit rate;
  • framework contracts indicating the unit rate for each item and the arrangements for obtaining specific requirements during the period of the contract;
  • a percentage-based contract which must define the total cost from which the percentage shall be calculated and indicates the fee rate as a percentage of the total cost of the procurement requirement;
  • a cost reimbursable contract;
  • a target price contract which allows for payment of a fee, profit, or agreed percentage of any cost savings below the target price in addition to payment for the actual cost of the works;
  • a retainer contract; and
  • a success fee contract.

The applicable contracts depend on whether the procurement is for works, supplies or services.

 Are there any exemptions to competitive bidding?

Open and competitive bidding is the primary and preferred mode of procurement. Direct procurement is used where exceptional circumstances prevent the use of competition including where:

  • there is insufficient time for a competitive process for example in an emergency situation. Emergency is defined as urgent and unforeseeable circumstances not caused by dilatory conduct such as natural or manmade disasters and health, environmental, economic or political emergencies;
  • the works, services or supplies are available from only one provider;
  • an existing contract could be extended for additional works, services or supplies of a similar nature and no advantage could be obtained by further competition; or
  • additional works, services or supplies are required to be compatible with the existing ones and it is advantageous or necessary to purchase from the original supplier.

Are there any proposals to amend the applicable procurement legislation?

The PPDA Act was amended in 2021 by the PPDA (Amendment Act) No. 15/2021 which commenced on 2 July 2021. The major amendment was to remove the PPDA Authority from the grievance-handling procedure such that decisions of the accounting officers are appealed directly to the PPDA Appeals Tribunal instead.

The Authority is undertaking a review of the Regulations issued under the original Act so as to make proposals for amendments that are necessary to align them with the amended Act.

Key procurement resources

Country Contacts

Mutale Kasonde
Partner, Chibesakunda and Company
DLA Piper Africa, Zambia

Robin Durairajah
Head of Corporate Advisory, Chibesakunda and Company
DLA Piper Africa, Zambia

Government Procurement

Where are government tenders advertised?  Are there any different sources for government announcements of 'green' contracting opportunities?

Government Tenders are advertised in newspapers, online websites, social media, and on the Zambia Public Procurement Authority (ZPPA) website.

Regulation 17 of the Public Procurement Regulations Statutory Instrument no. 30 of 2022 (the ZPPA Regulations) provides that a procuring entity shall publish any notice inviting potential bidders to participate in a procurement proceeding and any contract award as follows:

  • in the Gazette;
  • in a daily newspaper of general circulation in the Republic;
  • in any media of wide regional or international circulation or on widely read internet sites, where the method of procurement is open international bidding or open international selection;
  • on the e‑procurement portal;
  • to the extent feasible, on the internet, including any regional website or website established by the Authority or procuring entity; or
  • a prominent place on the notice board at the procuring entity's office.

There are no different sources for government announcements of green contracting opportunities. All tenders are advertised on the same platform.

Are there any requirements for bidders to be established in the jurisdiction in order to bid or execute a contract with the procuring entity?

Section 89 (1)(h) of the Public Procurement Act no.8 of 2020 (ZPPA Act) provides that a bidder is eligible to participate in a procurement if, in the case of a foreign bidder or local bidders, that bidder partners with a citizen supplier.  Therefore, a foreign bidder is required to partner with a citizen supplier in order to participate in a procurement.

Further, the ZPPA Regulations provide that the procuring entity shall promote competition among bidders by ensuring that bidders are not discriminated against on the basis of inter alia nationality.

The ZPPA Act also provides that a foreign bidder is not eligible to participate where the method of procurement is open national bidding, or open national selection, or the procurement is subject to a reservation scheme.

Is there any requirement for 'local content'?

Section 93 of the ZPPA Act provides that a procuring entity shall for all procurements of goods, works and services require a foreign bidder or supplier to subcontract a percentage of the total value of the procurement exceeding the prescribed thresholds to citizen bidders and suppliers.

The ZPPA Regulations prescribe the subcontracting percentage as 20% of the total value of the procurement for procurements exceeding the simplified bidding and simplified selection thresholds.

The simplified selection thresholds are up to ZMW 600,000 for consulting services and the simplified bidding thresholds are up to ZMW 1,000,000 for goods and non‑consulting services, and works, respectively.

The Legal Procurement Framework

What is the applicable procurement legislation?

Has your country ratified the WTO Government Procurement Agreement (GPA), or any bilateral trade agreement with Government Procurement commitments?

Zambia has not ratified the GPA.

Zambia has the following trade agreements:

  • Bilateral Trade Agreement between the Government of the Republic of Zambia and the Government of the Republic of Angola.
  • Bilateral Trade Agreement between the Government of the Republic of Zambia and the Government of the Republic of Democratic Republic of Congo.
  • Trade agreement between the Government of the Republic of Zambia and the Government of the People's Democratic Republic of Algeria.
  • Agreement on Trade and Economic Cooperation between the Government of the Republic of Zambia and the Government Republic of Turkey.
  • Bilateral Trade Agreement between the Government of the Republic of Zambia and the Government of the United Republic of Tanzania for the Establishment and Implementation of a One‑Stop Border Post at Tunduma/Nakonde.
  • Bilateral Trade Agreement between the Government of the Republic of Zambia and the Government Republic of Malawi for the Establishment and Implementation of a One‑Stop Border Post at Mwami/Mchinji Border.

If so, how do these international trade agreements interact with the domestic procurement legislation?

Generally, international trade agreements are only part of domestic law to the extent they are incorporated into relevant legislation.

What types of procuring entity need to comply with the procurement legislation?

The ZPPA Act defines a procuring entity as:

  • a Government Agency or parastatal body carrying out procurement using public funds or any other funds;
  • any other body or unit established or mandated by Government to carry out procurement using public funds;

A ‘parastatal body’ means a statutory corporation or body, a local authority or a company in which the Government has a majority or controlling interest.

A ‘Government Agency’ means an unincorporated person or body of persons to which functions exercisable on behalf of Zambia involving the use or collection of public moneys or stores are delegated by or under any law.

An entity that falls within the definition of procuring entity needs to comply with the procurement legislation.

Which types of contracts are covered?

The ZPPA Act provides that approval of the ZPPA is required for international procurement agreements.

Further see table here (at the Second Schedule) for the relevant financial thresholds.

Are there any exemptions to competitive bidding?

Yes. Competitive bidding is not required where the requirements for direct bidding or direct selection are met.

Direct bidding or direct selection may be used in the following cases:

  • the goods, works or non‑consulting services are only available from a single source and no reasonable alternative or substitute exists;
  • due to an emergency, there is urgent need for the goods, works or non‑consulting services making it impractical to use other methods of procurement because of the time involved in using those methods;
  • additional goods, works or non‑consulting services must be procured from the same source because of the need for compatibility, standardisation or continuity;
  • an existing contract could be extended for additional goods, works or non‑consulting services of a similar nature and no advantage could be obtained by further competition; or
  • the estimated value of the goods, works or non‑consulting services does not exceed the prescribed threshold.

Are there any proposals to amend the applicable procurement legislation?

Not at present. The law was recently amended.

Key procurement resources

Country Contacts

Ronald Mutasa
Partner, Manokore Attorneys
DLA Piper Africa, Zimbabwe

Farai Nyabereka
Partner, Manokore Attorneys
DLA Piper Africa, Zimbabwe

Government Procurement

Where are government tenders advertised? Are there any different sources for government announcements of ‘green’ contracting opportunities?

Government tenders are advertised through different media. These are:

  • Government Gazettes;
  • Traditional media (television, radio or newspapers).

There are no different sources for "green" contracting opportunities. All opportunities are advertised through the same platforms as listed above.

Are there any requirements for bidders to be established in the jurisdiction in order to bid or execute a contract with the procuring entity?

With respect to bidding

  • In terms of section 28(1) of Public Procurement and Disposal of Public Assets Act (“Procurement Act”), a bidder does not necessarily have to be established in the Zimbabwean jurisdiction or be Zimbabwean.
  • Where the estimated value of a procurement contract exceeds the prescribed financial threshold for international procurement, the procuring entity is required to either post the tender at its diplomatic and consular missions or publish the bid in at least two publications widely used for international trade or in other printed media with adequate circulation to attract foreign competitive bidders. Therefore, a foreign entity need not be established within the Zimbabwean jurisdiction.

Execution of the contract

  • Where the tender relates to the supply of goods/products, a foreign entity is not required to establish a local unit in the Zimbabwean jurisdiction (most of these are one-off transactions).
  • However, where the bid relates to service-related projects, for example, infrastructure development projects or other services which require the successful bidder to be physically present, establishment of a local SPV may be required.

Is there any requirement for 'local content'?

There are no prescribed requirements in that respect. However, for projects which require an Environmental and Social Impact Assessment (“ESIA”), the outcome of such a study may “push” the successful bidder to consider employing from the local community in which they will be operating from.

However, in terms of Section 29 of the Procurement Act, when evaluating bids, a procuring entity may give preference to bids from Zimbabwe or local suppliers and manufacturers eg universities where applicable, and shall also take into account the extent to which suppliers and manufacturers are women or entities controlled predominantly by women so that they participate in bidding.

The Legal Procurement Framework

What is the applicable procurement legislation?

  • Public Procurement Legislation

Public Procurement and Disposal of Public Assets Act [Chapter 22:23]; and

Public Procurement and Disposal of Public Assets (General) Regulations

Public Debt Management Act [Chapter 22:21].

Public Finance Management (Treasury Instructions), 2019

  • Utilities: All utilities’ procurement procedures are subject to the legislation listed above.
  • Public Private Partnerships and Concessions

Zimbabwe Investment Development Agency Act [Chapter 14:37]. (“ZIDA Act”)

  • Defence

Defence Procurement Act [Chapter 11:03]

Procurement relating to defence is highly restricted. Section 3 (6) of the Procurement Act also empowers the President to cause a Gazette to be published in which he may declare any defence procurement to be conducted without being publicly disclosed.

The President may cite “public security or national interest” concerns as grounds for such restricted bidding.

Has your country ratified the WTO Government Procurement Agreement (GPA), or any bilateral trade agreement with Government Procurement commitments?

Zimbabwe is not a Party to the WTO GPA and neither has it ratified any bilateral trade agreements with Government Procurement commitments.

If so, how do these international trade agreements interact with the domestic procurement legislation?

Not applicable.

What types of procuring entity need to comply with the procurement legislation?

The following entities are considered to be procuring entities which are required to comply with the procurement legislation.

  • a Ministry, department or other division of the Government; or
  • a corporate body established by or in terms of any Act for special purposes laid down in that Act; or
  • any company in which the State has a controlling interest, whether by virtue of holding or controlling its shares or by virtue of a right of appointment of members to its controlling body or otherwise, and includes any company which is a subsidiary, as determined in accordance the Companies and other Business Entities Act [Chapter 24:31], of such a company; or
  • a provincial or metropolitan council or a local authority; or
  • any partnership or PPP between the State and any person, which is prescribed in terms of the ZIDA Act.

See the definition of “procuring entity” in the Procurement Act.

Which types of contracts are covered?

In terms of the Public Procurement and Disposal of Public Assets (General) (Amendment) Regulations, 2020 (No.2), the following are the types of contracts and their prescribed thresholds:

  • Construction Works – USD$200 000;
  • Goods Supply – USD$100 000; and
  • Consultancy and non-consultancy – USD$50 000.

These thresholds are also calculated in their Zimbabwean Dollar equivalent should it be the case that the costs will be denominated in Zimbabwean Dollars.

Are there any exemptions to competitive bidding?

  • Defence procurement is exempt from the competitive bidding process.
  • In terms of the Procurement Act, where technical, financial and specialist skills which can be proven by the procuring entity to be non-acquirable in Zimbabwe – a direct award is permissible.
  • A contracting authority (“a State-owned institution”) may directly approach an identified partner for the purposes of entering into a PPP arrangement. This is governed by the ZIDA Act and does not require any form of competitive bidding unless Cabinet directs so, in which case section 100 of the Procurement Act will be applicable.
  • The urgency of the transaction may also warrant for the elimination of the competitive bidding process. Public interest may be cited in this regard. For example, during the peak Covid-19 era, most state-owned health institutions were exempted from complying with traditional procurement requirements as the associated red-tape could have delayed acquisition of essential medication to the detriment of public health in general.

See Section 33 of the Procurement Act.

Are there any proposals to amend the applicable procurement legislation?

No. The Procurement Act and Regulations were promulgated fairly recently (2018), whilst the Zimbabwe Investment and Development Agency Act (ZIDA) was also promulgated in 2019. To date, no proposals have been tabled to amend the procurement legislation.

Key procurement resources