MICRO PROCUREMENT

i think, since it is procurement plan, then has to be prepared by PMU in collaboration with users and shared to the budget approving authority.
I think it can be presented in a separate document.
More importantly the accounts sections of the PE's has to be prepared for the use of petty cash, imprest.
Buying on cash will also reduce price.
Thanks

Dear ECM,
Thank for your clarifications.
We seem to be sharing the same opinion on planning. It is true; procurement under Sixth Schedule do not require to be included in Annual Procurement Plan. Such procurements are authorized by Accounting Officers or Heads of Departments. My concern remains on the one stated in Seventh Schedule. On top of that no limit of application per annum is indicated.

Freddy, Let me address some of the issues:

My view is that Micro Value Procurement cannot be reflected in the Annual  Procurement Plan. Although I dont find both PPA and PPR addressing that concern explicitly, my interpretation on Section 49 of the PPA 2011 is that planning is emphasised for aggregating the annual requirements for the purpose of utilizing competitve procurement methods, as much as possible. The reason here is that it is more likely to achieve value for money when there is market competition.

Now, coming back to the main issue, I think that micro value procurement method is intended for very small and probably occasional requirements which Minor Value Procurement procedures may not even be economical.

You may note also that Regulation 166(6) provides that a procuring entity may delegate authority to a user department to undertake micro procurement of not exceeding the value specified in the Seventh Schedule to
these Regulations or not less than the limit set in the guidelines issued by the Authority.

From this point of view, I find it extraneous to demand each User Department to foresee and prepare a procurement plan for micro values.

Lastly, regarding the annual limits: the Annual limite for Micro Valkue Procurements is combined Minor value procurement, Shopping/Competitive quotations, and the limits depend on the Category of the PE under the 6th Schedule to the PPR 2013.

Regulation 166 of 2013 has prescribed how to go about micro procurement which is very clear. My concerns are:
- How such procurements will be reflected in Annual Procurement Plan?
- What will be the ceiling per annum in Seventh Schedule?
- Can we obtain annotated receipts in supermarkets or shops which issue electronic receipts / TRA receipts

In my opinion such procurement would be better handled by Accounting Officers as shown in Sixth Schedule with uplifted maximum limit as per volume of procurement