Namibian entities clinched 80% of N$1.2 billion worth of tenders awarded by the Central Procurement Board of Namibia (CPBN) during the period 1 April to 30 September 2024.
CPBN Acting Executive for Public Procurement Management, Immanuel Kambinda, said the tenders valued at N$849 million, were granted to Namibian entities, aligning with the Board’s commitment to local empowerment and job creation.
The remaining 20% involved joint ventures between Namibian companies and foreign entities, showcasing a balance between local development and international collaboration.
“The breakdown of procurement awards, categorised into competitive and direct procurements, reveals that direct procurement ranks highest, primarily due to the Ministry of Health and Social Services (MoHSS) securing services from the Namibia Institute of Pathology (NIP) with a contract valued at N$2 billion,” said Kambinda.
He said this procurement was conducted without competition, as NIP could provide the required services, in line with Section 34(g) read together with Section 36 of the Public Procurement Act.
Following this, the Open National Bidding process comes in second place, with nine awards valued at N$1.09 billion.
“The Open National Bidding process comes in second place, reinforcing the Board’s efforts to promote job creation and economic empowerment through competitive procurement methods,” he said.
Additionally, one award was made through Restricted Bidding, valued at N$202 million and there were no awards made through the Open International Bidding process during this period.
In total, 14 procurement awards were made, valued at N$3.96 billion.
Meanwhile, in terms of Individual Procurement Plans (IPPS) and Bidding Documents (BDS), a total of 13 IPPs and BDs were approved by the Board to the value of N$3.2 billion.
Moreover, a total of 13 contract extensions to the value of N$176 million were approved by the Board, of which six were in Q1 to the value of N$ 75 million and seven to the value of N$100 million in Q2 of the same FY.
In Q2 of the 2024/25 FY, the Board approved five price variations totalling N$46 million, including N$8 million from Q1 and N$38 million from Q2.
“The surge in Q2 of 80% is attributable to price increases, escalations and extension of time with costs in works projects currently underway in various regions of the country,” said Kambinda.
In the first two quarters, the Board approved the cancellation of three bids valued at N$1.1 billion.
“Bid cancellations are kept to a minimum, as they are considered a last resort to avoid disrupting service delivery and ensuring the benefits of procurement processes reach the intended end users,” he noted.
