NRS, BPP push amendment of 2007 procurement act, seek technical committee

The Nigerian Revenue Service (NRS), and the Bureau of Public Procurement (BPP) have begun moves to amend the Public Procurement Act 2007, with a proposal to establish a technical committee to fast-track the review and align procurement practices with modern governance and economic realities.

The proposed amendment is expected to provide a stronger legal framework for electronic procurement, sector specific procurement procedures, improved contractor classification and measures to ensure value for money in government projects.

The Executive Chairman of the NRS, Mr. Zacch Adedeji, disclosed this at the first engagement meeting between the two agencies in Abuja, where he called for a structured technical process to advance the proposed reforms.

Adedeji said the NRS had successfully undertaken tax reforms under the leadership of President Bola Tinubu and was prepared to bring its experience in stakeholder engagement and policy implementation to the review of the procurement law.

He explained that the engagement was aimed at reassessing the existing legislation in the light of changing circumstances, noting that some provisions were introduced under conditions that might no longer reflect present day realities.

“This is just the beginning of the engagement. As I promised the BPP Director General, we will draw on our experience in stakeholder management and the lessons from our tax reforms to contribute to the process,” he said.

The NRS chairman stressed that efficient procurement was essential to ensuring that government revenue translated into completed projects and tangible benefits for Nigerians.

According to him, successful procurement reforms could strengthen public confidence in taxation by demonstrating that government funds were being spent responsibly and delivering value to citizens.

“If the procurement reforms succeed, they will help motivate people to pay taxes because they will see value for money,” Adedeji said.

He warned that abandoned projects represented a waste of public resources, whether funded through taxes already collected or borrowing that would ultimately be repaid from future government revenue.

Adedeji assured the BPP of the NRS’s commitment to supporting reforms that would minimise waste, improve project delivery and ensure the proper use of public funds.

He also acknowledged the Bureau’s technical training and capacity building support for NRS personnel, saying the agency had submitted recommendations on the Procurement Act and valued the BPP’s guidance.

The NRS Group Director of Support Services, Kule Ogidi, also commended the Bureau for assisting the revenue agency in navigating procurement procedures, particularly in documentation, compliance and ethical standards.

Ogidi said the BPP had repeatedly deployed officers to train NRS staff, helping them understand procurement requirements and avoid administrative errors while promoting cost savings and efficient project execution.

He attributed part of the progress made on the NRS headquarters project to the Bureau’s technical support and leadership, expressing appreciation for its intervention.

According to him, the meeting followed discussions with the BPP Director General on the ongoing review of the procurement law and the need to examine the challenges confronting the NRS in implementing procurement processes.

Responding, the Director General of the BPP, Dr. Adebowale Adedokun, said the Bureau was committed to helping government institutions achieve their objectives rather than creating administrative obstacles.

“We are not a bottleneck agency. We do not create problems. We are a problem solving agency. We are an enabler, and we want you to succeed,” Adedokun said.

He explained that the Bureau’s priority was to ensure that government agencies obtained value for money and delivered services effectively, adding that it was prepared to explore innovative solutions within the limits of the law.

Adedokun, however, said the existing Public Procurement Act could not adequately accommodate the range of reforms being pursued, making legislative amendments necessary to support the proposed changes.

Among the reforms outlined by the BPP chief is the introduction of end to end electronic procurement, covering the entire process from needs assessment to payment.

He also identified community based procurement, affirmative procurement targeting young people, persons with disabilities and veterans, as well as sector specific procurement frameworks as key areas requiring attention.

Adedokun argued that applying identical procurement procedures across all sectors could undermine efficiency, stressing that projects in road construction and healthcare, for instance, require different approaches to address their distinct operational needs.

He further clarified that procurement decisions should not be driven solely by the lowest bid but by the overall value and quality of the outcome.

“Let me repeat, for the avoidance of doubt: we are not after the lowest cost. We are after value for money,” he said, explaining that a cheaper option might fail to deliver the required results.

The BPP Director General also highlighted the role of technology in improving contractor categorisation and classification, as well as establishing a comprehensive national database of businesses operating in Nigeria.

He said the proposed database could support revenue generation, strengthen procurement oversight and improve the government’s capacity to deliver infrastructure and public services.

Adedokun expressed the Bureau’s readiness to establish a technical committee with the NRS to work on the proposed amendment and advance the broader procurement reform agenda.