Wednesday, 25 March

Analyst defends sole-sourcing in road contracts, backs local contractor empowerment

Politics
Kwame Governs Agbodza

A policy analyst, Dr Razak Kojo Opoku, has defended the use of sole-sourcing in the award of road contracts under the government’s “Big Push” infrastructure programme, describing the initiative as a viable strategy to empower local contractors.

In a commentary, Dr Opoku argued that the allocation of about 44 percent of the projects through sole-source procurement to indigenous firms should not be viewed as a scandal, provided due process is followed, and value for money is achieved.

His remarks come amid ongoing public debate over the use of sole-sourcing and restricted tendering in public procurement.

According to him, both methods are recognised under Ghana’s procurement laws, including the Public Procurement Act, 2003 (Act 663) and its amendment, the Public Procurement (Amendment) Act, 2016 (Act 914).

He noted that sole-sourcing and restricted tendering are also widely used internationally, particularly in sectors such as infrastructure, technology and national security.

Dr Opoku emphasised that the key concern should not be the procurement method itself, but whether contracts deliver value for money, are fairly priced, and are executed by competent contractors within agreed timelines.

He outlined critical factors for assessing such projects, including cost efficiency, quality, durability, and the capacity of contractors to deliver.

He further questioned whether there was evidence of overpricing, breaches of procurement rules, or the concentration of contracts in the hands of a single entity—issues he said should form the basis of any legitimate criticism.

The analyst argued that awarding a portion of government contracts to local companies could stimulate economic growth, create jobs and promote indigenous wealth creation.

He proposed that Ghana adopt a policy framework that allocates between 10 and 50 percent of public projects to local contractors through sole-sourcing, restricted tendering or exclusivity arrangements.

Dr Opoku also criticised what he described as the politicisation of procurement debates, accusing political actors and some civil society organisations of inconsistently supporting or opposing sole-sourcing depending on whether they are in government or opposition.

He urged stakeholders to adopt a bipartisan approach to procurement policies that prioritise national development over partisan interests.

 

 

Source: Classfmonline.com/Cecil MENSAH