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Dubious payment to contractors to drag Tanzanian procuring entities in court, warns minister

The report also revealed six institutions which had been investigated and found with high corruption red flags.

Dubious payment to contractors to drag Tanzanian procuring entities in court, warns minister

The report also revealed six institutions which had been investigated and found with high corruption red flags.

16 October 2017 Monday 06:48
Dubious payment to contractors to drag Tanzanian procuring entities in court, warns minister

By Azania Post Reporter

THE Minister for Finance and Planning in Tanzania, Dr Philip Mpango has threatened to prosecute all procuring entities that effected dubious payments to contractors.

Minister for Finance and Planning in Tanzania, Dr. Philip Mpango

Speaking soon after he received the PPRA annual performance evaluation report for 2016/17, he said the government would leave no stone unturned for all culprits.

The minister said there was a need for the Public Procurement Regulatory Authority (PPRA) to keep conducting intensive procurement audits in various projects so as to determine whether value for money was achieved.

He highlighted the importance of the procurement audits, the results of which culminated in the report presented to him.

According to the report, there were three institutions that had effected dubious payments in respect of projects worth shillings 3.087 billion where a total of shillings 483.44 million was paid to contractors for non-existing or shoddy works.

“We can't tolerate these actions, he said adding that the funds wasted in this manner were taxpayers’ money which should be spent appropriately so that they get the development they deserve.

“I can assure you that anyone involved in causing loss will be made accountable as per the rule of law," Dr. Mpango said.

The report also revealed six institutions which had been investigated and found with high corruption red flags. The institutions are Tanzania Revenue Authority, Muhimbili Orthopedic Institute, National Identification Authority, National Insurance Corporation and Tanzania Communication Regulatory Authority.

PPRA Board Chairman, Amb. Matern Lumbanga, said that procurement compliance for Financial Year 2016/17 had increased from 73 percent of last year to 74 percent this year, which was however below the 80 percent target.

He noted however, that average compliance level for ministries, departments and agencies increased from 76 to 78 percent while public authorities increased from 71 to 75 percent. On the other hand, the level of compliance for local government authorities decreased from 71 to 69 percent over last year’s score.

According to the Board Chairman, the analysis indicated an average compliance level of 74 percent for 112 procuring entities compared to 73 percent for 108 entities audited in the preceding year.

However, the level was below 80 percent, which was the target for financial year 2016/17. Analysis of the results revealed that 10 entities had poor performance as they scored below 60 percent, 68 entities had fair performance which was between 60 – 77 percent and 34 entities had satisfactory performance as they scored 78 to 80 percent.

“Projects with poor performance included two for building works worth shillings 201.54 million or 3.1% of all audited building projects; one road works project worth shillings 146.92 million or 1.3 percent of all audited road projects; two for civil works projects or 15.4 percent of all audited civil works projects, worth shillings 405.63 million.

Other projects with poor performance were one consultancy worth shillings 25.46 million or 2.6 percent of all audited consultancy services and one water supply scheme project or 5.6 percent of all audited water supply projects, worth shillings 1.59 billion," said. Lumbanga.

Azania post

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