E-Government Procurement in India: Asia-Pacific e-GP Conference

e-Government Procurement in India
Asia-Pacific e-GP Conference J.S. Deepak, JS, MoC &
K. Srinivasa Raghavan, NIC

22nd Nov 2011 Denpasar Bali, Indonesia
Agenda
Government Procurement in India
Public Procurement at a Glance

Implementation Models of e-GP
History and State of Play

Lessons Learnt Next Steps Implementation Strategy Way Forward in e-GP Use of e-Auction
Government Procurement In India

Govt. of India (GoI), State Governments and their agencies including DGS&D are principal procuring agencies. Defined by the Principles of General Financial Rules (GFR) of the Govt. of India Other Stake holders include
Central Vigilance Commission (CVC),

Comptroller & Auditor General (CAG), Standards, Testing, Certification and Quality Control bodies. Vendors & suppliers
Public Procurement at a Glance

Major Procuring Entities in India
Procurement Break-up in States State Government tenders:
Central Government Departments,

State Governments, Public Sector units, Defence Establishments Railways and Banks
85 % - Civil Works 10 % - Goods 5 % - Services Directorate General of Supplies Disposals (DGS&D) A Central Procurement agency under Dept. of Commerce, has rate contracts with vendors.
e-Procurement Business Models

Developed, implemented and owned by the Government (GePNIC) Indigenously developed application Public private partnership (PPP)
Government Owned System

NIC under Dept of Information Technology has developed a generic, open source application which is being implemented in many State Governments and GoI Departments.
Funded under Mission Mode Project Implementation support agencies support from empanelled
Most State Governments & DGS&D covered under this Model. Central Government and PSUs progressively being covered. are also
GePNIC Status & Plans

GoI to use eProcurement System of National Informatics Centre More than 15 States and (GePNIC) as National many Central eProcurement Portal and for rollout in 23 states. Government departments have started implementing Ten States would be GePNIC system. covered in 2011-12 and remaining thirteen States More than 77,000 tenders in 2012-13. worth US$ 24 billion have been processed Implementation carried out since Nov 2007
Indigenous Applications
Indian Railways uses e-Tendering system since 2005, which was developed internally by Centre for Railway Information Systems (CRIS), an IT Arm of Indian Railways. The application is deployed throughout the country. Intellectual Property Rights (IPR) owned by Indian Railways More than 200,000 tenders have been processed using this system till date. Many other organizations are using self developed applications
https://www.ireps.gov.in
Third Party Managed Software

Many organizations have deployed third party applications
Include Governments of Andhra Pradesh, Karnataka etc.,

The entire tendering module is implemented under PPP model. Vision of making all systems inter operable
e-GP History & State of Play
Lessons Learnt
e-GP models being implemented in isolation on the basis of individual initiative Issues of inter-operability not addressed. Large share of procurement still outside the e-GP foot print Most models provide for basic e-tendering and not an end to end solution Many important aspects like use of e-GP as MIS and for grievance redressal neglected. IT skills & mindsets in Government. Universalization of e-GP requires top level commitment.
Next Steps
Committee on Public Procurement (CoPP) has suggested far reaching reforms including a national public procurement law, review of GFRs and
accelerating implementation of e-Proc.

Recommendations of CoPP being implemented in a time-bound manner.
Implementation Strategy
Expanding e-GP as part of overall procurement reforms. e-GP an important component of proposed new national public procurement law. Identified implementation of Mission Mode Project (MMP) eProcurement as
MMP implementation is being monitored at the highest level by the Prime Minister.
Way Forward in e-GP

All tenders above US$ 50,000 to be e-published on a central portal. Government has mandated all departments to migrate to electronic bidding in a phased manner. Procurement decentralized but websites to be linked to ensure easy availability of bid documents Portal to be used for MIS, delay tracking, complaint registration and monitoring grievance redressal Time bound switch over to an end to end e-Procurement solution Central Procurement Portal to be commissioned in 2011 and end to end eProcurement by 2012
Use of e-Auctions
Successful 3G spectrum auctions raised US$ 24.5 billion revenue in June, 2010
Government has decided to encourage use of auctions for obtaining market determined price for sale of assets and reverse auctions for procurement of goods and projects
Road map for implementation across government departments and public sector enterprises being rolled out
THANK
Y OU
js1tpd-doc@nic.in
ks.raghavan@nic.in
Building Blocks
Establishment of State Data Centre (SDC) National Data Centre (NDC)
State Wide Area Network (SWAN)

Mission Mode Project on eProcurement as part of National eGov Plan Various service providers of e-GP Readiness of Banks to provide Online Payment Integration
Standards Bodies
General Financial Rules (GFR) Central Vigilance Commission (CVC)
Comptroller Auditor General of India (CAG)

Standardization, Testing, Quality & Certification (STQC) Controller of Certification Authority & Certification Authorities
DGS&D - Rate Contracts

Implemented e-Tendering in DGS&D was 2002-2003 to handle the established as process for concluding rate central procurement contracts. agency in 1951 under the Developed an end to end Department of e-GP platform, wherein the Commerce, e-Tendering component was Government of implemented in PPP mode India. and the remaining components were developed by NIC. Recently migrated to GePNIC
Government eProcurement System of National Informatics Centre (GePNIC)

Government eProcurement System of NIC, a generic product of Government of India for adoption in various Government organizations. Developed and implemented by Government of India under open source platform. Servers hosted in the State / Central Govt. Data Centre ensuring safety of data. Capacity building and hand-holding support through third parties
DGS&D

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e-Government Procurement in India

Asia-Pacific e-GP Conference J.S. Deepak, JS, MoC &

K. Srinivasa Raghavan, NIC

Public Procurement at a Glance

History and State of Play

Government Procurement In India

Central Vigilance Commission (CVC),

Public Procurement at a Glance

Central Government Departments,

e-Procurement Business Models

Government Owned System

GePNIC Status & Plans

Third Party Managed Software

Include Governments of Andhra Pradesh, Karnataka etc.,

e-GP History & State of Play

accelerating implementation of e-Proc.

Way Forward in e-GP

State Wide Area Network (SWAN)

Comptroller Auditor General of India (CAG)

DGS&D - Rate Contracts

Government eProcurement System of National Informatics Centre (GePNIC)

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