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(PPRA RULES-2004)
Q Comment on following actions in the light of PPRA Rules 2004 amended from time to time.
i In wake of COVID-19, DGDP issued tender for procurement of ventilators from local manufacturers &
gave 07 days to submit their bids.
Ans Action was in order. (Rule 13 (1) PPRA Rules-2004)
ii DGP (Army) asked prospective bidders to extend their validity period for further 02 months. Resultantly
total extension period became 04 months whereas original validity period of bids was 03 months.
Ans Action was not in order. (Rule 26 (3) PPRA Rules-2004)
iii After conclusion of fresh contract with successful bidder, Log Area Commander Rwp held discussion with
bidder about quoted rates.
Ans Action of Log Area Commander was not in order. (Rule 20 PPRA Rules-2004)
iv MAG Office purchase committee purchased office stationery for amounting to Rs.0.3m through 03
quotations procedure without advertising.
Ans Action of purchase committee was in order. (Rule 42 (b) PPRA Rules-2004.
v DGDP issued tender for procurement of bullet proof jackets for amounting to Rs.42.7m. The said tender
was advertised on PPRA website as well as appeared in Dawn News & The daily Jang.
Ans Action of DGDP was in order. (Rule 12 (2) PPRA Rules-2004)
vi PPRA Authority relaxed its rules & recommended the Federal Govt to execute Margalla Avenue Road
project on single tender basis with FWO without advertising due to certain strategic & defence
installations located in proposed project.
Ans Action was in order. (Rule 14 PPRA Rules-2004)
vii HIT Org Taxila floated a tender for procurement of certain store whereas contract concluding authority
letter of different categories is yet to be approved by MODP, Ministry of Defence Production Rwp.
Ans Action of HIT Org. was not in order. (Rule 11 PPRA Rules-2004)
viii After process of pre qualifications, only one firm was declared successful. Subsequently, DP (Navy)
awarded contract with the same firm for procurement of certain store.
Ans Action of DP (Navy) was not in order. (Rule 38 (b) PPRA Rules-2004)
ix Military vehicle research & development establishment (MVRDE) Rwp adopted negotiated tendering
with M/S Solutions (pvt) Ltd for procurement of certain store without advertisement.
Ans Action was in order. (Rule 42 (d) PPRA Rules-2004)
x An agreement between Pakistan & Turkey was materlized for manufacturing of 04 corvettes warships.
Some clauses of agreement were contrary to PPRA Rules 2004.
Ans In such case, clauses of Govt-to-Govt agreement shall prevail to extent of such conflict.
(Rule 5 PPRA Rules-2004).
Q Certain clauses of Reko Diq Copper Gold mining project concluded with Gold Barrack International Co by
Govt of Pakistan were contrary to procurement rules. What is the modus operandi in such case?
Ans In such case, clauses of project in question will prevail over procurement Rules and all stakeholders of
project are bound to abide by such clauses
Rule 5 PPRA-2004)
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Q What will the language of documentation regarding procurement made by Federal Government
“inside” the territories of Pakistan, in compliance of PPRA Rules?
Ans Urdu or English or both will be the language of documentations regarding procurement made by
Federal Government “inside” the territories of Pakistan, in compliance of PPRA Rules for the purpose
of tendering procedure to concluding of contract related to goods, services or works. All procuring
agencies are abided by aforementioned rules of PPRA.
(Rule 6 of PPRA-2004)
Q Explain the revised limits for methods of advertisement of PPRA Rules applicable from Financial Year
2021-22 onward?
Ans Revised limits for methods of advertisement of PPRA Rules applicable from F.Y 2021-22 onward are as
under:
1. All proposed procurements having financial value over & above five hundred thousand
Pakistani Rupees & up to the limit of three million shall be advertised/ uploaded on authority’s
website in such a manner specified by authority.
2. All procurement opportunities/ plans having financial character over & above three million
should be advertised on authority’s website as well as in print media having wide circulation.
Such advertisement in newspaper shall principally appear in at least two national dailies, one
English & other in Urdu.
3. If procuring agency has its own website, it may also post/upload all advertisement on that
website as well.
4. Whenever procuring agency use electronic media, it must be ensured that information posted
on website is complete in all respects & free from any ambiguity. Such information shall
remain available on website until the closing date for submission of bids.
(Rule 12 PPRA Rules 2004, amended from time to time)
Q What is the importance and procedure of open competitive bidding for technical nature of works?
Ans As per the directives of PPRA Authority, the principal method of procurement related to technical
nature of works is open competitive bidding procedure of open competitive is as under: -
i) Advertisement of procurement on appropriate forum.
ii) Appropriate method of bids submission.
iii) Submission of bids by all prospective bidders along with bid security.
iv) Opening of bids on specified date & selection of their evaluations according to criteria.
v) Acceptance of bid according to laid down procedure.
(Rule 12,20,22,25,28,29,30,36,38 PPRA Rules-2004)
Q During July 2021, a Defence Formation purchased store of Rs.105,000/- on three quotation basis
without advertisement on PPRA web-site. Comment that the action is in order or otherwise?
Ans In such case, the action of Defence Formation was in order according to PPRA Rules 2004, because
there is no need to advertise any procurement having financial value less than of five hundred
Pakistani rupees.
(Rule 12 (1), 42 (b) PPRA Rules 2004)
Q On 1st July 2021, a CMH is going to purchase an electro medical equipment having estimated cost of
Rs.3.5m. what method of advertisement shall the unit adopt to comply with PPRA Rules?
Ans Following method/procedure of advertisement will be adopted /initiated by unit concerned to
comply with PPRA Rules.
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1. The proposed procurement having financial value / cost of 3.5m shall be advertised on the
PPRA’s website as well as in at least two newspapers having wide circulation.
2. In case where the unit has own website, it may also post such advertisement on that website
as well.
3. Whenever unit concerned utilize electronic media, it shall be ensured that information posted
on website is complete in all respects for purposes for which it has been posted & such
information shall remain available until the closing date for submission of bids.
(Rule 12 (2)(3)(4) PPRA Rules-2004 amended from time to time
Q Explain the response time for national and international competitive bidding under PPRA Rules 2004.
Ans The procuring agency may decide response time regarding submission of bids. However, minimum 15
days shall be allowed by procuring agency for submission of bids in case of national bidding &
minimum 30 days be allowed for international bidding process. In case of emergency, no such
restrictions shall prevail. Where publication of advertisement has occurred in both electronic & print
media, response time shall be calculated from the day is its 1st publication in the newspaper.
(Rule 13 PPRA-2004)
Q Pakistan Air Force intends to get the major repairs of runway of Faisal Base, Karachi. The work is of
technical nature, it needs pre-qualification of contractors to carry out the work. What are essential
requirements for pre-qualification of bidders and explain the procedure?
Ans In such work, following essential requirements for pre-qualification of contractors are
necessary/mandatory: -
i) Relevant experience & past performance of same nature of work.
ii) Detailed information of staff, equipment of firm.
iii) Financial positions.
iv) Pakistan Air Force shall announce pre-qualification documents, evaluation criteria, list of
documentary evidence, etc. through advertisement.
v) All interested/prospective contractors shall submit their documents on specific date, &
their requisite documents shall be evaluated by PAF.
vi) PAF shall announce successful contractors who have pre-qualified.
(Rule 15,16 of PPRA-2004)
Q Explain the procedure of black listing of supplier and contractors as per PPRA Rules 2004.
Ans Procedure will be followed as under:
a) Supplier shall be declared blacklisted in any public procurement for the period not more than
ten years, if corrupt practice is established against him.
b) Contractor shall be blacklisted for a period of not more than three years, if contractor fails to
perform his contractual obligations during executions of contract.
c) Such action will be taken against supplier for a period of not more than six months, if bidder
fails to abide with a bid securing declaration.
(Rule 19 PPRA Rules-2004 amended from time to time)
Q Contract for supply of Army Vehicles spare parts worth Rs.200 million was let out to M/s R Enterprises
for the year 2022-23. Due to abnormal appreciation in US Dollar Rate, the firm was defaulting in
supply of its spare parts. What action is to be taken for blacklisting the firm and award of appropriate
punishment?
Ans As procurement of Army Vehicles come under the purview/domain of DGDP being Central
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Procurement authority/ agency/ department. So, in such case, DGDP is empowered to take
administrative/ legal action against the firm for blacklisting. Since firm concerned failed to perform
contractual obligations during execution of contract, procurement department initiated the process of
blacklisting against firm. After completing all formalities, firm shall be declared as blacklisted & cross
debarred for participations in any public procurement for the period of not more than three years.
(Rule 19 (b) PPRA Rules-2004 amended from time to time & Para 1 & 2 of Part iv of Chapter xviii
DPP &I-35)
Q How the procuring agency deals with extension of time for submission of bid by the contractors,
without involving any violation of PPRA Rules?
Ans When the procuring agency deems it necessary to extend of time for submission of bid by contractor,
it shall be initiated only after recording its reasons in writing and giving equal opportunity to all
bidders. Advertisement of such extension shall be done in the same manner similar to original
advertisement.
(Rule 27 PPRA Rules-2004 amended from time to time)
Q Under what circumstances CPO may quash the whole bidding process & explain the next line action for
CPO in the light of PPRA Rules-2004.
Ans In following circumstance, CPO may quash the whole bidding procedure: -
• Poor response of bidders.
• Quotations so received do not conform to relevant specifications.
• Indenter may make changes in specifications during bidding procedure.
• Rates so offered by bidders are exorbitant.
In all above situations, CPO may have power to start fresh bidding procedure.
(Rule 34 PPRA-2004, & Para 18 of Chapter III, DPP&I-35)
Q C.G.E Lahore invited tenders for work “Construction of Water O/H Tank” at Lahore Cantt. Worth Rs.15
million. He has invited tenders as per two stage and two envelope bidding procedures. Explain the
procedure.
Ans In such proposed work, two stage and two envelope bidding procedure will be adopted in two
phases as under: -
1st Phase.
i) The bid shall comprise a single package containing two separate envelopes named
technical proposal & Financial proposal.
ii) First of all, ‘technical proposal’ shall be opened & discussed with bidders regarding GCE’s
technical requirements.
iii) Those bidders willing to meet the GCE requirement shall be allowed to revise their
technical proposals.
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2 Phase
iv) Bidders shall submit revised technical proposal & supplementary financial proposal.
v) Such proposals along with original financial proposals shall be opened & evaluated
according to evaluation criteria & bid found to be most advantageous bid shall be
accepted.
(Rule 36 (d) PPRA-2004 as amended from time to time)
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Q In Financial Year 2019-20, a unit purchased parts of Rs.1 million from a supplier. In July 2021 the unit
issues repeat order of Rs. 0.2 million to the same firm. As per PPRA Rules, the action is in order or
not?
Ans As per PPRA Rules-2004, repeat order may be placed by procuring agency provided such order do not
exceed 15% of original procurement. So, the action of unit was not in order.
(Rule 42 (c)(iv) of PPRA-2004 as amended from time to time)
Q As purchasing officer of Defence Science & Technology Organization (DESTO), what points should be
kept in mind of said officer while concluding direct contract under PPRA-2004
Ans Following points should be considered by purchasing officer of (DESTO) being research based defence
organization.
a. Such supply involved purely for purpose of supporting research or an experiment purpose.
b. For technical reasons, the required store is available from single source.
c. Such procurement of store is required in extreme urgency, where time is not available to resort
other available procurement methods.
(Rule 42 (d) PPRA-2004
Q CDA Islamabad has concluded direct contract with FWO for construction of Margalla Avenue,
Islamabad in the interest of State & in pretext of Defense Installations located in such area. Comment
on the action of CDA is in order or otherwise in the light of PPRA Rules-2004
Ans In such case, action of CDA being procuring agency is in order as FWO is state owned agency & said
project is sensitive in nature due to defence installations located in project area.
(Rule 42 (f) PPRA Rules-2004, amended from time to time)
Q After due competitive process as per PPRA-2004, 0n 01st June, 2018, a unit concluded conservancy
services contract with the lowest bidders for financial year 2018-19 to 2020-21. The payment record
revealed that payment was still released to such contractor in July and August 2021. As per PPRA
Rules, comment if the action of unit is in order or not?
Ans According to PPRA-2004, all procuring agencies shall make prompt payments to suppliers against
their bills within stipulated time i.e 30 days. In such case, payments have not been made to
Contractor after expiration of contract. So, the action of unit was not in order.
(Rule 43 of PPRA-2004 as amended from time to time)
Q What is the minimum time period to maintain the record of procurement proceedings as per PPRA
Rules?
Ans All procuring agencies shall maintain a record of their procurement proceedings along with all
relevant documentation for a minimum period of five years subject to instructions issued by
Authority from time to time.
(Rule 46 PPRA Rules-2004)
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Q In case of dispute and conflict amongst the bidders, describe the procedure to redress of grievances
and settlement of disputes.
Ans In such case, following procedure shall be followed to redress of grievances & settlement of disputes:
i) Procuring agency shall constitute a committee of odd number of persons with necessary
powers to address the complaints of bidders.
ii) In case of dispute and conflict amongst the bidders, the aggrieved party may file written
complaint before grievance redressal committee (GRC).
iii) The GRC shall investigate the matter and decide upon the complaint within ten days of its
receipt.
iv) Any bidder not satisfied with the decision of the GRC may file appeal before the Authority
within thirty days of decision.
(Rule 48 PPRA Rules-2004 amended from time to time)
Q A bidder has lodged complaint on Technical Evaluation Report before GRC against procuring agency
after announcement of bid evaluation report which was rejected by GRC. Comment on action of
procuring agency is in order or otherwise.
Ans In such case, action of GRC of procuring agency is in order. However, in case of single stage single
envelope procedure such request of complainant shall be entertained.
(Rule 48 (5) PPRA Rules-2004, amended from time to time)
Q What is difference between solicited bid & un solicited bid?
Ans Any bid which is submitted in response of invitation is called solicited bid. Whereas, a bid which is
submitted/presented without response of invitation being innovative is called unsolicited bid.
Q With due consideration of nature of supplies, classify either following cases come under open frame
work agreement or closed framework agreement.
i) Supplies of meat in Log Area Rwp jurisdiction.
ii) Supplies of POL items.
iii) Supplies of vegetable in Log Area Kharian jurisdiction.
iv) Procurement of steal by DGDP on behalf of MES.
v) Procurement of cement by DGP (Army).
Ans i) Closed framework agreement.
ii) Open framework agreement.
iii) Close framework agreement.
iv) Open framework agreement.
v) Open framework agreement.
Q Define emergency how procuring agency would deal with in such situation to curtail possible losses?
Ans ‘Emergency’ means natural calamities, disasters, flood, operational emergency, war, etc. In order to
mitigate/curtail the possible losses during such situation, procuring agency as purchaser may
negotiate with supplier to streamline the supplies schedule & take appropriate measures for smooth
running of contractual obligations.
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Q i. Circumstances under which PPRA Rules are relaxed.
ii. Competent Authority to relax such rules.
iii. Rules of PPRA where relaxation has been granted.
Ans In following circumstances, PPRA Rules are relaxed.
➢ Where required store is secret or sensitive in nature & their advertisement can jeopardize the
national interest. (Para 13 (d) Chapter ii)
➢ Post tender bid/offer may be accepted in exceptional circumstance & in the interest of State.
(Para 7 (e) Chapter iii)
➢ In exceptional circumstances, response time may be reduced. (Note (2) of Para 7 (h) Ch. iii)
➢ Negotiation on prices may be resorted in unavoidable circumstances (Para 6 Ch. v)
➢ State owned entities/agencies may be exempted to furnish Bank Guarantee (BG). (Para 2 (f)
Ch. vi)
In all such cases, Sec. (DP) i.e., PAO is the Competent Authority for according approval of relaxation in
PPRA Rules. Following Rules of PPRA where relaxation has been granted by PAO.
i. Rule 13
ii. Rule 14
iii. Rule 31
iv. Rule 39
v. Rule 40
C Define repeat order
Ans Procurement of same commodity from same source through placement of order in ongoing contracts
subject to 15% of original contract value is called repeat order. AND
Repeat order may be placed through amendment during currency of contract upto value of 15% of
original procurement value. Relevant clauses may also be amended accordingly. Repeat order may
also be placed with same supplier where previous contract has been completed successfully. In this
context, fresh purchase proposal has been prepared & approved accordingly. Whenever such action
may take, proposal must get approved from senior CPO of that officer who had approved original
proposal.
Q What is the most appropriate method of procurement for DPs in the light of PPRA Rules?
Ans According to PPRA Rules, the principal method of procurement is open tender method. However,
circumstances may arise under which DPs may use alternative methods of procurement for which
complete grounds and justification are explained for taking such action & to avoid audit objections at
later stage/belated stage.
Q What is meant by “value for money” as per PPRA Rules 2004?
Ans “Value for money” means procuring agency must accrue benefits while engaging in procurement
process in terms of reliability, quality, after sale service, price, timelines, etc, when they spent money/
expenditure on procurement process. There should be no compromise on quality of contracted store.
Terms & conditions of contract regarding specification should be adhered in all respect.
(Definitions of PPRA-2004)
Solved By: - Syed Najaf Abbas Shah AAO CMA FWO Chaklala
Typed By: - Muhammad Afzal SA, MAG Office Rwp
