The finance ministry has directed all the ministries to strictly adhere to the Pakistan Procurement Regulatory Authority rules, 2004 after the World Bank smelled a rat in the bidding process of power transformers, official sources told Business Recorder.
The World Bank has also sought interpretation and application of the Statutory Regulatory Order (SRO) 827(1) 2001, along with amendment of September 28, 2002, in which all the ministries and divisions were directed to prefer procurement of components from local companies as compared to foreign companies.
"The bank is seeking some clarifications in the Commerce Ministry''''s SRO, as well as a review and investigation of wrongdoings committed by the power distribution companies in procurement of components funded by the bank," the sources added.
The sources said the WB country director Yusupha Crookes met the secretary finance on December 13 and raised his serious concerns over violation of procurement rules by the government departments, especially power sector companies. The finance ministry has taken up the matter with the ministry of water and power once again reminding them of the WB''''s concern.
"The bank has sought report on Discos procurement," the sources quoted Joint Secretary Corporate Finance, Tahawwar Ahmad as saying in a letter, seeking details of actions taken so far to implement the directives of the finance ministry. All other ministries and divisions have been asked to observe transparency in procurement and adherence to the PPRA Rules 2004, the sources added.