Query: Roads Authority, I wonder if people are paying someone to award them tenders. Where can an SME get bank guarantees? We are already suffering in our own land while some other people are enjoying life to the fullest. We are running like hungry dogs to make ends meet.
Response: In response to an SMS complaint published in the Namibian Newspaper, “Have your say” page published on the 6th of February 2018, about the Roads Authority (RA) Tender Procedures and allegations of corruption, the RA hereby dismisses such allegations and at the same time wishes to provide clarity on its Tender Procedures and requirements for bank guarantees to eliminate any future misunderstandings on its Tender Procedures and awarding of tenders.
The Roads Authority’s procurement procedures are guided by the Public Procurement Act, Act No. 15 of 2015.
The Public Procurement Act was implemented on 01 April 2017. As a public entity, Roads Authority must procure goods and services under the provisions of the said Act.
In terms of the Public Procurement Act and Regulations, a bid security is required under the following circumstances:
Sub Regulation 37. (1) A public entity –
a) must include in a bidding document the requirements for a bid security where:
i. the value of the procurement contract exceeds N$500,000; or
ii. time is of the essence and failure of the successful bidder to sign the procurement contract would result in delay; or
b) may include in a bidding document the requirements for a bid securing declaration where the value of the procurement contract is below N$500,000.
Sub Regulation 33 (1)
(l) where a bid security is required, a requirement that –
(i) a bid security in the form of a bank guarantee must be issued by a commercial bank in order to be acceptable by a public entity;
The Roads Authority strictly adheres to the guiding principles stipulated in the Act. Therefore, it is rather unfortunate that some of the bidders are of the opinion that this is a requirement of Roads Authority and not the fact that RA must comply with the provisions of the Act.
Roads Authority also understands the concerns of SMEs not having bank guarantees, Unfortunately, as stated earlier, a bank guarantee is a requirement only in certain instances. Whenever a bank guarantee is required as part of the bidding document, this requirement will be indicated in the bidding document and the bidders are then required to take that form to the bank for signing and the completed form to be submitted together with the bidding document. Failure to submit a completed bidding document with a bank guarantee (when required) leads to automatic disqualification of that bidding document.
It must also be stated clearly here that the RA holds its procurement process in accordance with the rules and regulations that govern it and that successful bidders are awarded on the basis of meeting the requirements and all due process is done in a fair and transparent manner.
In conclusion, SMEs are encouraged to contact the Procurement Policy Unit of the Ministry of Finance to request training on how the bidding process works.
Query: The Roads Authority responds to a newspaper article on the findings of the Citizen Satisfaction Survey Report
Response: The Roads Authority (RA) has taken note of the article published in The Namibian newspaper dated 20 February 2018 under the heading “Govt fails delivery test.” This article contained findings of a survey commissioned by the Office of the Prime Minister to carry out a Citizen Satisfaction Survey for business. It is rather unfortunate that the newspaper article focused squarely on the weakness areas, whereas there were many areas of strength that were also highlighted in the actual report.
Having said that, we at RA appreciate the areas of strength highlighted in the report of which all were rated with a score of 73% and above. These were just to mention a few – communication, safe financial transactions, confidentiality, adequate information materials, clear signage giving indications/directions of where to go for specific services and general client safety on NaTIS premises. The RA values citizen feedback on its services and appreciates the finding of the report and most importantly for bringing the concerns of our customers to our attention. We have taken note of the areas such as recovery, access and responsiveness where we performed poorly according to the report (rating of 54%).
As a public entity we are committed to the goals of improved service delivery as outlined in the Harambee Prosperity Plan (HPP) and as such, we take due cognisance of the challenges highlighted in the report and give our commitment to working hard on improving on our shortcomings. The HPP calls for Effective Governance and Service Delivery, citizen satisfaction ratings of government performance to be increased to 70% by 2020. This is a visionary direction we concur with at RA and all entities under our umbrella. It is therefore re-emphasized that the RA is fully dedicated to upholding the highest aspirations of our national agenda, including exceptional service delivery.
The RA remains committed to service excellence and strives to work hard on improving our areas of weakness and in the same vein continues to strengthen the areas of strength where we performed well.
Issued by: RA Corporate Communication Office of the CEO, tel: 061-2847059, email: email@example.com Windhoek