Green Public Procurement Project’s research shows that of the total national budget of Nu 150 B, Bhutan spent Nu 90 B on procurement during 10th five year plan. It means the government and state-owned enterprises spent 61 percent of the national budget on procurement.
It also amounted to 21 percent of the country’s Gross Domestic Product of about Nu 110 B.
Given the exorbitant amount, Green Public Procurement Project conducted a research which urges the government to focus on sustainability of goods and services.
It is to also convince the public authorities to procure goods, services, and works with a reduced environmental impact. “We think that would be a strong value statement for ourselves, if we say that we are going to procure green and use this amount of money to be more sustainable to buy more consciously,” said Green Public Procurement’s Senior Researcher, Pem Lama.
The project submitted 10 recommendations to the government, last month, following 18 months of research.
The recommendations are to be incorporated in the existing procurement rules and regulations of the country.
Another recommendation is the reinforcement of preferential treatment to domestic suppliers in public procurement.
Pem Lama said the local procurers should use the clause in the Procurement Rules and Regulation which states preference should be given to domestic suppliers.
She said their research shows that the clause is often not used. “I think it is important for us to let procurers know that they have this right and be creative to use this provision.”
The research revealed the public sector makes significant purchases from domestic service providers but the procurement of tangible goods is almost entirely imported.
Yet another recommendation, a Senior Project Manager of Green Public Procurement Project, Yeshey Penjor, said the capacity building of public procurers.
“All our procurement system is based on the lowest bidder and they call it the lowest evaluated bidder. But, it always goes to the lowest bidder. And this is not a sustainable procurement, according to our research.” He said the government should monitor from the start till the end of a particular project.
The Project Manager also says the government should build on the momentum generated by the fiscal incentives 2010, which exempted tax for the goods and services with lower environment impact.
The project members are still waiting to hear from the government.
