Senate raises mobilisation fee for local contractors to 30%

Date:

By Ikechukwu Okaforadi and Musa Adamu

Senate on Wednesday passed the 2007 Public Procurement Amendment Act Bill.
Part of the amendment to the bill was that mobilisation fee for local contractors will not be more than 30 per cent of the contract fee.
The passage, followed the clause by clause consideration and adoption of the recommendations of the Senate Committee on Procurement following various legislative inputs to the bill by the committee.
The bill passed had sought to amend the National Council on Public Procurement and the Bureau of Public Procurement Establishment.
It had also sought to review the mobilisation fee paid to contractors, institute, E-Procurement and ultimately provide time frame for the procurement process.
President of Senate, Ahmad Lawan at the Committee of the Whole said the senate approved the recommendation on the bill in the following order.
“Senate approves as follows: Clause one as amended, clauses two to five as recommended,clause six as amended,clause seven to 15 as recommended, clause 16 as amended, clause 17 to 34 as recommended.
“Clause 35 as amended and clause 36 to 60 as recommended. Exclamatory memorandum,short title and long title were approved as recommended.”
Lawan congratulated the senators for passing the bill.
He also thanked the three senators that sponsored the bill.
He said what the senate has done by passing the bill was in line with the intension of senate to pass the 2020 budget.
He sid the senate had passed the Finance Bill to ensure the generation of the required revenue to implement the 2020 budget.
Lawan said the public procurement process in Nigeria had been a big bottleneck for some time.
He said he believes that with the passing of the amended act, the procurement process would be faster.
He said the passing of the bill would also facilitate the faster and better implementation process of the budget.
Lawan said the passed bill would have to be sent to the House of Representatives for them to concur before the National Assembly proceed on Christmas break.
He said the National Assembly would give to the executive everything require for them to implement the 2020 budget.”

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