APPLE-C, المؤتمرات

Public Procurement Law Put to the Test

13:10 | 18 شباط 2022LIMS output
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Public Procurement Law Put to the Test

On February 18, LIMS held a 2-hour conference hosting the Director General of the Tender Board Dr. Jean Ellieh to discuss Lebanon’s new Public Procurement Law (PPL). The new law becomes effective as of July 29, 2022, and Dr. Ellieh described it as potentially good, if applied rigorously. The Tender Board will be transformed into a Public Procurement Authority (PPA), whose goal is to impose oversight, governance, auditing, transparency, integrity, and accountability on the public procurement process. It can also act as a public prosecution and sue before the courts in case the winning bidder or the buying entity violate the rules.

However, some laws in Lebanon have not been applied 20 years after their adoption as ministers prefer to avoid being subject to oversight. Even if the PPL ends up being applied, the authority to conduct tenders and open bids is transferred to the purchasing body (the ministry, public administration, etc.), expanding their powers, instead of balancing them. Another concern is that the new law does not ask bidders to provide the estimated cost for the projects. Therefore, bidders may collude and agree on prices, where the lowest is overpriced, leading to wasteful government spending. Finally, the appointment of the members of the PPA are subject to a flagrant conflict of interest.

Therefore, participants at the conference suggested: seeking to implement the new Public Procurement Law; ensuring the independence of the PPA; restoring the Technical Assistance Facilities offered by the European Union; securing the funding to launch the electronic platform; publishing the names of the beneficial owners; insisting on providing an estimated cost for the projects; and determining what information is subject to confidentiality based on international practices.

LIMS Media Coverage:

  • Public Procurement Authority Needs To Be Independent To Function Properly, February 16, 2022: RLL, Radio Interview AR
  • The 2022 General Budget Is The First Test Of The New Public Procurement Law, February 18, 2022: Annahar, Article AR
  • Public Procurement Law Faces Its First Real Test, February 19, 2022: Nidaa Al Watan, Article AR
  • Public Procurement Law Loopholes: A Tool That Fuels Corruption And Favoritism, February 19, 2022: LBCI, TV Interview AR