Session 4 India Final 231111

8/3/2019 Session 4 India Final 231111

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e-Government Procurement in India

Asia-Pacific e-GP Conference

J.S. Deepak, JS, MoC &

K. Srinivasa Raghavan, NIC

22nd Nov 2011Denpasar 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 andtheir agencies including DGS&D are principalprocuring 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 QualityControl bodies.

•

Vendors & suppliers



Public Procurement at a Glance

Procurement Break-up in States

State Government tenders:

85 % - Civil Works

10 % - Goods5 % - Services

Directorate General ofSupplies Disposals

(DGS&D)• A Central Procurement

agency under Dept. ofCommerce, has ratecontracts with vendors.

Major Procuring Entitiesin India

• Central GovernmentDepartments,

• State Governments,Public Sector units,

• Defence Establishments

• Railways and Banks



e-Procurement Business Models

• Developed, implemented and owned by theGovernment (GePNIC)

• Indigenously developed application

• Public private partnership (PPP)



Government Owned System

• NIC under Dept of Information Technology has

developed a generic, open source applicationwhich is being implemented in many StateGovernments and GoI Departments.

• Funded under Mission Mode Project

• Implementation support from empanelledsupport agencies

• Most State Governments & DGS&D covered

under this Model.• Central Government and PSUs are also

progressively being covered.



GePNIC Status & Plans

• Implementation carried

out since Nov 2007

• More than 15 States and

many CentralGovernment departments

have started implementing

GePNIC system.

• More than 77,000 tenders

worth US$ 24 billion have

been processed

• GoI to use eProcurementSystem of NationalInformatics Centre(GePNIC) as National

eProcurement Portal andfor rollout in 23 states.

• Ten States would becovered in 2011-12 and

remaining thirteen Statesin 2012-13.



Indigenous Applications

• Indian Railways uses e-Tendering system since 2005,which was developed internally by Centre for RailwayInformation Systems (CRIS), an IT Arm of IndianRailways.

• The application is deployed throughout the country.

• Intellectual Property Rights (IPR) owned by IndianRailways

• More than 200,000 tenders have been processed usingthis system till date.

• Many other organizations are using self developedapplications



https://www.ireps.gov.in



Third Party Managed Software

• Many organizations have deployed thirdparty 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 thebasis 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 levelcommitment.

N S



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 implementedin a time-bound manner.





Way Forward in e-GP

•

All tenders above US$ 50,000 to be e-published ona central portal.

• Government has mandated all departments tomigrate to electronic bidding in a phased manner.

•

Procurement decentralized but websites to belinked to ensure easy availability of bid documents

• Portal to be used for MIS, delay tracking, complaintregistration and monitoring grievance redressal

• Time bound switch over to an end to ende-Procurement solution

• Central Procurement Portal to be commissioned in2011 and end to end eProcurement by 2012



Use of e-Auctions

• Successful 3G spectrum auctions raised US$ 24.5billion revenue in June, 2010

• Government has decided to encourage use of

auctions for obtaining market determined pricefor sale of assets and reverse auctions forprocurement of goods and projects

• Road map for implementation across governmentdepartments and public sector enterprises beingrolled out



T H A N K Y O U

[email protected]@nic.in



Building Blocks

• Establishment of State Data Centre (SDC)

• National Data Centre (NDC)

• State Wide Area Network (SWAN)

• Mission Mode Project on eProcurement aspart of National eGov Plan

• Various service providers of e-GP

• Readiness of Banks to provide OnlinePayment 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

• DGS&D wasestablished ascentral procurementagency in 1951

under theDepartment ofCommerce,Government ofIndia.

• Implemented e-Tendering in2002-2003 to handle theprocess for concluding ratecontracts.

• Developed an end to ende-GP platform, wherein thee-Tendering component wasimplemented in PPP mode

and the remainingcomponents were developedby NIC.

• Recently migrated to GePNIC



Government eProcurement System ofNational 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 Indiaunder open source platform.

• Servers hosted in the State / Central Govt. Data Centre

ensuring safety of data.

• Capacity building and hand-holding support through thirdparties

DGS&D



DGS&D

Documents

Session 4 India Final 231111