All processes for contract awards by federal ministries and government departments must now be completed within 17 weeks.
This is part of efforts to improve budget implementation and reduce the quantum of unspent funds each fiscal year, the Federal Executive Council (FEC) ruled on Wednesday.
The decision was taken based on the report of the Bureau of Public Procurement (BPP) that had on Tuesday met with federal permanent secretaries and fine-tuned the lengthier budget implementation plans presented by the various ministries.
The FEC meeting was chaired by President Umaru Yar’Adua, the first since resuming work from a two-week vacation.
The outcome of the meeting was disclosed to newsmen by Information and Communications Minister, Dora Akunyili.
According to the minister, the 17-week time-frame is for contracts that involve bids from local firms while for contracts involving international bidding, a time frame of 23 weeks (six months) was approved in line with BPP recommendations.
Another measure introduced to fast-track project implementation is the design and execute provision by which the contractor designs and executes the projects with his own funding with attendant risks before government effects payment.
In doing all these, Akunyili assured that due process would still be the watchword while September deadline for award of contracts each year will still be in force.
She clarified, though, that the September deadline would not affect ongoing projects which monies have been released.
According to her, "when contracts have been started they are ongoing and cannot be stopped because of return of money.
"It is just that the aspect of that that is carried over to the following year is appropriated for the next year’s budget; so contracts already started must be completed as this government does not believe in abandoned projects".
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