Rule 193 - Single Source Selection | KartavyaDesk
Original Rule Text
194 Single Source Selection/Consultancy by nomination. The selection by direct negotiation/nomination, on the lines of Single Tender mode of procurement of goods, is considered appropriate only under exceptional circumstance such as: (i) tasks that represent a natural continuation of previous work carried out by the firm; (ii) in case of an emergency situation, situations arising after natural disasters, situations where timely completion of the assignment is of utmost importance; and (iii) situations where execution of the assignment may involve use of proprietary techniques or only one consultant has requisite expertise. (iv) Under some special circumstances, it may become necessary to select a particular consultant where adequate justification is available for such single-source selection in the context of the overall interest of the Ministry or Department. Full justification for single source selection should be recorded in the file and approval of the competent authority obtained before resorting to such singlesource selection. (v) It shall ensure fairness and equity, and shall have a procedure in place to ensure that the prices are reasonable and consistent with market rates for tasks of a similar nature; and the required consultancy services are not split into smaller sized procurement.
What This Means
Rule 193 of the General Financial Rules (GFR), 2017, deals with situations where a government department needs to hire a consultant or expert without going through a full competitive bidding process. This is called 'Single Source Selection' or 'Consultancy by Nomination'. Think of it as directly choosing a specific consultant instead of inviting multiple proposals. It's like hiring your favorite mechanic because you know they're the best for your car, instead of getting quotes from several shops. However, this is only allowed in very specific and justifiable circumstances.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- •Single Source Selection is only permitted in exceptional circumstances.
- •Justification for selecting a single source must be thoroughly documented and approved by the competent authority.
- •Examples of acceptable circumstances include continuation of previous work, emergency situations, proprietary techniques, or unique expertise.
- •Fairness and equity must be ensured, and prices should be reasonable and consistent with market rates.
- •Splitting consultancy services into smaller procurements to avoid competitive bidding is prohibited.
Practical Example
The Ministry of Agriculture needs to quickly assess the damage caused by unexpected flooding to crops in Bihar. They previously worked with 'AgriSolutions Pvt. Ltd.' on a similar project and are confident in their expertise and ability to deliver a rapid assessment. Given the urgency and AgriSolutions' prior knowledge of the region and crops, the Ministry decides to use Single Source Selection. They document the justification, including the emergency situation, the need for a quick turnaround, and AgriSolutions' previous experience. The competent authority approves the selection after reviewing the justification. The Ministry negotiates a fair price of ₹50 lakhs with AgriSolutions, ensuring it aligns with market rates for similar assessments.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
When is Single Source Selection allowed under Rule 193?▼
What documentation is required for Single Source Selection?▼
How do we ensure fairness and reasonable pricing in Single Source Selection?▼
Can we split a large consultancy project into smaller parts to avoid competitive bidding?▼
What constitutes an 'emergency situation' under Rule 193?▼
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
Under Rule 193 of GFR 2017, which of the following is NOT a valid justification for Single Source Selection/Consultancy by nomination?
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