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Rule 160 - E-Procurement | KartavyaDesk

GFR 2017

Original Rule Text

Rule 160 E -Procurement (i) It is mandatory for Ministries/ Departments to receive all bids through e-procurement portals in respect of all procurements. (ii) Ministries/ Departments which do not have a large volume of procurement or carry out procurements required only for day-to-day running of offices and also have not initiated eprocurement through any other

What This Means

Rule 160 of the General Financial Rules (GFR), 2017, is all about making government procurement more transparent and efficient through electronic procurement (e-procurement). Simply put, it mandates that all Ministries and Departments must receive bids for their purchases through online e-procurement portals. This means no more physical tenders for most government purchases! The goal is to ensure a fair and open process where all interested vendors have an equal opportunity to participate. This rule promotes transparency, reduces the chances of corruption, and streamlines the entire procurement process.

However, there's a small exception. Departments with very low procurement volumes or those only making day-to-day office supply purchases, and haven't already started using e-procurement, might be exempt. But generally, if you're involved in buying goods or services for the government, you'll be using an e-procurement portal to receive bids. This rule directly impacts all government employees involved in procurement, as well as vendors who wish to do business with the government.

This rule is crucial for ensuring accountability and value for taxpayer money. By moving the bidding process online, the government can track spending more effectively, identify potential cost savings, and ensure that contracts are awarded fairly.

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Key Points

  • •Mandates e-procurement for all Ministries/Departments for receiving bids.
  • •Aims to increase transparency and efficiency in government procurement.
  • •Reduces the scope for corruption and promotes fair competition.
  • •Exemptions exist for departments with low procurement volume and day-to-day office needs, if they haven't already adopted e-procurement.
  • •Impacts all government employees involved in procurement and vendors bidding for government contracts.

Practical Example

The Ministry of Rural Development needs to purchase 500 water pumps for a new irrigation project. According to Rule 160, the Ministry must use an e-procurement portal to receive bids from potential suppliers. Mr. Sharma, the Under Secretary in charge of procurement, uploads the tender document to the Central Public Procurement Portal (CPPP). Several companies, including 'AquaPumps Ltd.' and 'JalSanchay Enterprises,' submit their bids electronically through the portal. Mr. Sharma and his team evaluate the bids based on pre-defined criteria, ensuring transparency and fairness. The contract is awarded to 'AquaPumps Ltd.' as they offered the most competitive price and met all the technical specifications. If the Ministry was only purchasing stationery for the office, and hadn't already started using e-procurement, they might be exempt.

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Frequently Asked Questions

What is an e-procurement portal?▼
An e-procurement portal is a web-based platform used for conducting procurement activities electronically, including publishing tenders, receiving bids, and awarding contracts.
Are there any exceptions to Rule 160?▼
Yes, departments with very low procurement volumes or those only making day-to-day office supply purchases, and haven't already started using e-procurement, may be exempt.
What are the benefits of e-procurement?▼
E-procurement increases transparency, reduces corruption, promotes fair competition, streamlines the procurement process, and improves efficiency.
Where can I find a list of approved e-procurement portals?▼
The Central Public Procurement Portal (CPPP) is a primary portal. Consult your department's procurement guidelines for a list of approved portals.
What happens if a department violates Rule 160?▼
Violations can lead to audit objections, disciplinary action against responsible officials, and potential cancellation of the procurement process.

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Test Your Knowledge

Question 1 of 3

According to Rule 160 of the General Financial Rules, 2017, what is the mandatory method for Ministries/Departments to receive bids for procurements?

Related Rules

Rule 271General Financial Rules 2017 (amended July 2024) - Rule 271 - Chapter 10Rule 109General Financial Rules 2017 (amended July 2024) - Rule 109Rule 146General Financial Rules 2017 (amended July 2024) - Rule 146 - Chapter 6Rule 169General Financial Rules 2017 (amended July 2024) - Rule 169 - Chapter 6Rule 215General Financial Rules 2017 (amended July 2024) - Rule 215 - Chapter 6

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