AFGHANISTAN

Country Public Procurement Profile Survey (with E-Government Procurement Overview)
COUNTRY Afghanistan
Respondent Agency Procurement Policy Unit, Ministry of Finance
Date of First Submission Tuesday, June 14, 2011
Date of Last Update Monday, September 26, 2011
Part A.  Country Public Procurement Profile (Only those answers selected by the respondent from a multiple choice menu would appear below.)
1 Does your country have a central Public Procurement Authority (PPA) with legal authority through legislative enactment, executive decree or administrative regulation to act as functional and normative body in public procurement?
a.      Yes
2 The PPA’s mandates involve the following responsibilities (please select as many as applicable, one per line):
a.       formulation of procurement policy and regulations
c.       procurement oversight and post reviews
d.      procurement audit
e.       procurement complaint review
f.       monitoring and evaluation at country, sector and procuring entity level
g.       professional advise and guidance in public procurement
h.      procurement capacity development and training
i.        quality assurance and accreditation for procurement training
Others (please specify):
3 The PPA reports to:
c.      Ministry of Finance
Others (please specify):
4 Number of people employed by the PPA: (Please provide an organizational chart of the PPA and email address for communication, if possible)
d. 15 and more
Email address for communication with PPA:  sayed.murtaza@mof.gov.af, shamsuddin.ghayasi@mof.gov.af
5 Does PPA have a website?
a.      Yes
Link to PPA website:  www.ppu.gov.af
6 The PPA website covers the following areas (please select as many as applicable, one per line):
a.       procurement related regulations and documents
b.      news, events and policy initiatives related to public procurement
c.       interaction with users through procurement forum, Q&A, customer survey & feedback, policy dialogue & experience sharing, etc
e.       posting of  procurement plan(s)
f.       specific opportunities and notices for bidders
g.       posting of contract award with name of the winning bidder and contract value
i.        centralized online system for procurement monitoring of procuring entities
j.        centralized online system for collecting procurement data and statistics
k.      linkage to an e-procurement system with actual procurement transactions
Other functions (please specify):
7 Do you have a public procurement law or any other regulatory act with legislative power? (Please provide a link or a scanned copy of its English version.) If yes, which of following are true (please select as many as applicable, one per line)?
a.       the scope of the law covers all procurement handled by public entities including foreign funded procurements but excluding goods and services for national security purpose only
e.       the scope of the law covers concession contracts such as BTO, BOT, PPP etc the
f.       the law allows framework contracts
h.      the law establishes a decentralized system with prior review and approval procedures for large contracts
k.      the law mandates standardization of procurement practices mandating use of common procedures and standard bidding documents and forms
l.        the law currently provides principles and general procedures  that makes provision for the  use/adoption of e-procurement
o.      the law provides for an administrative review mechanism for complaint that allows bidder to challenge procuring entity’s decision before filing for judicial review to the court
Link to public procurement law, if any:  http://www.ppu.gov.af/Documents/ProcurementLaw/English/Procurment%20Law
%20incoporated%20Jan%202009.pdf
8 Do you have a strategic plan or reform agenda for developing the procurement system in your country? (Please provide a copy or link)
c.       Yes, this is an annual plan consistent with the government overall policy of that particular budget year.
Others (please specify):
9 What kind of initiatives and assistance in your view is needed to improve your public procurement system in the near future? [Please select your five most important initiatives among the choices, one per line.]
b.      Assess compliance with country’s public procurement rules and regulations by procuring entities
d.      Create a sustainable training system for procurement practitioners to ensure compliance, professionalism and career development
e.       Create a single window for procurement related information and statistics led by PPA and connect with e-procurement system
f.       Launch communication campaign to improve public awareness of country’s public procurement policy
g.       Analyze the structure and business practices of key procuring entities and support the improvement of their procurement functions
h.      Analyze the structure and business practices of PPA and support efforts to improve its capacity and performance
Others (please specify):
Additional notes, if any:
10 What is the size of the public procurement of your country? Please select the closest corresponding values based on most recent available information or your rough assessment?
I. Average annual procurement under national and local budget
d.    between US$ 200 million to 500 million
g. Other (please indicate a more specific amount, if available):  approximately $400 million
II. Average annual procurement by State Owned Enterprises (those who are subject to the procurement regulations)
g. Other (please indicate a more specific amount, if available):
III. Average annnual procurement under Official Development Assistance (Donor-funded projects)
e.    between US$500 million to 1 billion
g. Other (please indicate a more specific amount, if available):  approximately $800 million
Part B.  e-Government Procurement Planning (Only those answers selected by the respondent from a multiple choice menu would appear below.)
1 Has your government formed or implemented a concrete plan for development of e-Gp?  Please select only one answer.  (If yes, please email a copy of the plan to mkhaltarpurev@adb.org).
d.   The government is in initial stage of preparing the e-Gp development plan and roadmap
2 Which of the following best describes the functionality of your planned e-Gp initiatives? (Please select as many as applicable, one per line.)
a.       a single website that consolidates and publishes all national information and policies related to public procurement
c.       e-publication system for real time procurement notices
d.      e-publication of procurement awards and results
e.        system for bidders to download bidding documents and RFPs in response to the published procurement notices
3 Do you have plans to implement any new e-Gp system at the national level? (Please select as many as applicable, one per line.)
f.       e-bidding system for bidders to submit their bid or proposals online and observe the online public opening of the bid
g.       e-contracting system which allows award notification and contract signing through the system
h.      e-payment system which allows invoicing and payment through the system
j.        online purchasing from e-catalogs or supplier marketplace
k.      electronic evaluation of bidders technical and financial proposals
m.    Government Procurement (credit) card transaction reporting and reconciliation system
n.      System for receiving bid securities or guarantees
4 Does the scope of your e-GP plans include the following? (Please select as many as applicable, one per line, and please provide a copy of the relevant documents if possible.)
a.    improving legal architecture to facilitate e-Gp system implementation
b.   assessing e-readiness of procuring entities through surveys and feasibility studies
c.   Obtaining/searching funding support for e-Gp system enhancement
d.    creation of necessary IT infrastructure
g.    piloting e-Gp module
l.   generating public awareness and conducting consultation with suppliers to promote development of e-Gp system
Part C.  e-Government Procurement System Implementation (Only those answers selected by the respondent from a multiple choice menu would appear below.)
1 General Information about the e-GP system presently in operation
a.  System Name:  Procurement Management Information System (PMIS)
b.  Website Address:  www.ppu.gov.af
c.  Administration/Operator of the System:  Procurement Policy Unit / PMIS Component
d.  Agency(s) using the System:  Procurement Policy Unit, Line Ministries, and Government agencies
e.  Year of launch:  2010
2 Brief description of the system in terms of coverage and main functional modules
a.  e-publication/downloading:  The PMIS provides the line ministries with the facility of uploading their bidding
documents into the system. These documents become available in public website to
be downloaded by interested bidders.
b.  e-bidding:
c.  e-contracting:
d.  e-payment:
e.  e- reverse auction:
f.  e-catalog purchasing:
g.  e-Guarantee/security:
3 Other government IT systems that the e-Gp system links to (please select as many as applicable):
Others (please specify):
4 How do the bidders input and submit their proposal/tender documents into your e-Tendering  System, if any (please select as many as applicable)?
c.       send in paper documents
Other methods (please specify):
5 If bid evaluation is carried out online, briefly describe the process of online evaluation.
6 Is bid security/guarantee required on your e-procurement system? (Please explain briefly.)
7 Does the e-Gp system require specific operating system, browser?
Yes, Internet Explorer
8 Describe the security method (e.g. digital authentication) used in the e-Gp system.
PMIS we have implemented the security methods at different layers. Those include Network & Transport Security, Application Security (Encrypted Username and Password authentication), Digital Certificate and Encryption (provided by Verisign)
9 Are electronic and paper documents legally equivalent in your country?
No
10 Briefly describe the management of the e-Gp system in terms of :
a.  the business model (managed in house, outsourced etc.):  The system was initially developed by an international consultancy firm. The rest of the developments has been performed in-house by PMIS component of PPU.
b.  users fee for suppliers or procuring agencies (if any):  Users are created at no cost for procurement agencies. Suppliers will be registered by procurement agencies at no cost.
c.  training (available programs, e-learning, manuals etc):  PMIS Trainings were delivered to procurement entities and PPU.
d.  certification ( if required who issues, how):  N/A
e.  Call Center (Q&A for user requirements etc.):  The System has FAQs and online Help Desk facility in two languages.
f.  Self teaching (modules for user requirements):  N/A
g.  Service centers (physical service centers to meet user requirements):  N/A
h.  Any incentives offered to encourage adoption of this system by other procuring entities:  N/A
11 Please provide the following statistics (if available):
a. number of procuring entities legally required to use the e-Gp system: 0
b. number of procuring entities registered in the e-Gp system as of December 31 2010:  54
c. number of procuring entities that actually used the e-Gp system since its inception:  10
d.value of the contracts awarded in 2010  (in USD):   1.5 Billion
e. value of the contracts (awarded) registered in the e-Gp in 2010 (in USD):  36 Million
f. active business (contractors and suppliers) in the country as of December 31, 2010:  7500
g. contractors/suppliers registered in the System as of December 31, 2010:
12 How do you encourage procuring entities and suppliers to use the e-Gp system?
13 Do you allow individual procuring entities to customize national e-Gp systems? If yes, in what way(e.g. use a different website design with their logo)
No
14 Are individual agencies free to use different systems to those approved at the central level? If yes, is there any central approval procedure for this?
No
15 What are the key success factors you observe in introducing or implementing e- e-Gp in your public procurement system framework (please list them if any)?
a. Transparency and reduction of corruption
b. Accurate data that will contribute to the economic growth
c. Efficiency and effectiveness in government procurement
16 What are the major problems you faced in introducing or implementing e-Gp system under you public procurement framework (please list them)?
a. Capacity of civil servants and their resistance to new changes
b. Low level of interest in PMIS participation.
c. Public Internet and IT infrastructure
17 What approach to the e-Gp development is suitable for your country’s public procurement system and why? (Please briefly describe your answer.)  OPTIONAL
Decentralized approach would increase the capacity of procurement agencies.  But implementing this approach is time consuming. It has to deal with some major problems such as IT infrastructure, civil servants capacity, and perform the change management. Hiring someone with adequate capacity to help the procurement entities do the job would also increase the success.
THANK YOU!