In accordance with the provisions of Circular 16/13: Revision of arrangements concerning the use of Central Contracts, all public bodies are mindful of the importance of maximising the value for money achievable when procuring any commonly acquired goods or services. Central procurement frameworks and contracts established by the Office of Government Procurement (OGP) are designed to optimise benefits to the public service through the strategic aggregation of its buying power.
The Office of Government Procurement (OGP), a Division within my Department, operates as a Central Purchasing Body (CPB) and is responsible for fully leveraging the benefits of central procurement, including aggregation of the State’s expenditure, by establishing central procurement solutions. Such central procurement frameworks are targeted at securing best value for money and facilitating contracting authorities to deliver services within their budgetary constraints. It is Government policy that public bodies, where possible, should make use of all such central arrangements.
The OGP has established central procurement solutions (primarily Framework Agreements) for commonly required goods and services across 11 master categories of expenditure (Professional Services, Banking and Insurance, Consultancy and Advisory, Electricity and Gas, ICT, Facilities Management, Office Supplies, Travel Management, HR Services, Fleet, and Corporate Office Support Service). The OGP has established 83 such solutions. These central solutions are available for use by all other Departments and Agencies.
These solutions aggregate the State’s expenditure, deliver value for money, and provide process efficiencies for Public Services Bodies (PSBs) and Economic Operators (EOs) as well as managing risk. Central procurement solutions also provide for the inclusion of Government horizontal policy considerations, including green procurement, supports for the Circular Economy, the inclusion of social considerations (where appropriate and proportionate and linked to the subject matter at hand) and SME access to procurement.
Active supplier participation and increased competitiveness is key to ensuring that supply markets develop and quality procurement solutions can be established.
Central solutions for consultancy services include a large number of suppliers. There are currently in the order of 130 members as suppliers on the central solutions for consultancy related services, across different disciplines and practice areas providing the broad range of services typically required by public sector bodies.
These suppliers include SMEs, all of whom meet the financial and technical capacity requirements that are set appropriately and proportionately for each individual central solution. These requirements are set in line with the provisions of Circular 05/2023: Initiatives to assist SMEs in Public Procurement. This Circular is designed to enable SMEs in competing for public contracts. It is important that public procurement opportunities are available and attractive to SMEs.
In relation to Departments and Offices availing of these central solutions, it is the role of Accounting Officers and Accountable Persons to ensure that systems of internal control within their public service bodies support compliance with the requirements of Circular 16/13. Procurement practices are subject to audit and scrutiny under the Comptroller and Auditor General (Amendment) Act 1993 and Accounting Officers are publicly accountable for expenditure incurred. Management in Government Departments and Offices should also ensure that there is an appropriate focus on good practice in purchasing and that procedures are in place to ensure compliance with all relevant guidelines.