Para 160 - E-Procurement Rules | KartavyaDesk
Original Rule Text
Rule 160 of GFR 2017 makes it mandatory for Ministries/ Departments to receive all bids through e-procurement portals in respect of all procurements. Ministries/ Departments which do not have a large volume of procurement or carry out procurements required only for dayto-day running of offices and al so have not initiated e-procurement through any other solution provided so far, may use e-procurement solution developed by NIC i.e. Central Public Procurement Portal (CPPP).F Other Ministries/ Departments may either use CPPP or engage any other service provider following due process. There are other service providers in Public Sector (e.g. MSTC) and Private sector which can be utilized for e-Procurement. In individual case where national security and strategic considerations demands confidentiality, Ministries/ Departments may exempt such cases from e-procurement after seeking approval of concerned Secretary and with concurrence of Financial Advisers. In case of tenders floated by Indian Missions Abroad, Competent Authority to decide the tender may exempt such case
What This Means
Para 160 of the General Financial Rules (GFR) 2017 basically says that all government departments and ministries *must* use e-procurement portals for all their purchases. This means that instead of traditional paper-based tendering, everything should be done online through a designated portal. The goal is to make the procurement process more transparent, efficient, and less prone to corruption. Think of it as moving all government shopping online.
However, there are a few exceptions. If a department doesn't do a lot of purchasing or only needs to buy things for daily office needs, and hasn't already started using another e-procurement system, they can use the Central Public Procurement Portal (CPPP) developed by NIC. Other departments can choose between CPPP or other approved service providers, like MSTC or private companies, as long as they follow the proper procedures for selecting them. Finally, if a purchase involves national security or strategic interests that require secrecy, the department can get an exemption from e-procurement, but only with the approval of the Secretary and the Financial Advisor. Indian Missions abroad also have the authority to decide on exemptions for their tenders.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- •Mandatory e-procurement for all Ministries/Departments as per GFR 2017.
- •CPPP (developed by NIC) can be used, especially by departments with low procurement volume.
- •Departments can use other service providers (Public or Private) following due process.
- •Exemptions possible for national security/strategic considerations with Secretary and Financial Advisor approval.
- •Indian Missions Abroad have authority to decide on exemptions for their tenders.
Practical Example
The Ministry of Culture needs to purchase 100 new computers for its regional offices. According to Para 160, they must use an e-procurement portal. They decide to use the CPPP since they haven't used any other e-procurement solution before. They float a tender for the computers on CPPP, specifying the required specifications and budget of ₹50,00,000. Several vendors submit their bids online. After evaluation, the Ministry selects the lowest bidder, M/s Tech Solutions, and awards them the contract through the CPPP system.
In another scenario, the Ministry of Defence needs to procure specialized surveillance equipment. Due to the sensitive nature of the equipment and national security concerns, the Secretary of Defence, with the concurrence of the Financial Advisor, approves an exemption from e-procurement. They then proceed with a confidential procurement process, bypassing the CPPP or any other e-procurement portal.
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 the main purpose of Para 160 of GFR 2017?▼
Can a department choose any e-procurement portal they want?▼
Under what circumstances can a department be exempted from e-procurement?▼
What is CPPP and who can use it?▼
Who is the competent authority to decide on exemptions for tenders floated by Indian Missions Abroad?▼
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 Para 160 of GFR 2017, which of the following is generally mandated for Ministries/Departments regarding procurement?
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