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PPA cracks down on non-compliant state institutions

PPA cracks down on non-compliant state institutions
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By Amoako Kwame

The Public Procurement Authority (PPA) has issued a final caution to public institutions that continue to disregard statutory transparency requirements under the Public Procurement Act, indicating that stricter enforcement measures will soon be implemented in the administration of public contracts.

The warning comes after a compliance assessment of the Ghana Electronic Procurement System (GHANEPS) revealed that a number of institutions had failed to publish their procurement plans and contract award information, contrary to legal requirements.

The PPA warned that institutions that continue to ignore the requirements risk being publicly identified, subjected to administrative sanctions, and denied approval for requests involving single-source and restricted tendering procedures.

In line with Sections 21 and 31 of the Public Procurement Act, procurement entities are mandated to publish their procurement plans and contract award details on the Ghana Electronic Procurement System (GHANEPS) and ensure the information is regularly updated.

According to the Authority, failure to meet these obligations undermines transparency, weakens the integrity of competitive procurement processes, and reduces public scrutiny of government expenditure.

The PPA further reminded heads of procurement entities that Section 18 of the Act places the responsibility for compliance directly on them.

It stressed that breaches of procurement regulations should not be viewed merely as administrative shortcomings but as matters of leadership accountability, for which institutional heads and controlling officers bear ultimate responsibility.

The latest caution from the PPA comes at a time of heightened public interest in procurement governance, a sector that has frequently been criticised over the use of sole-sourcing and restricted tendering methods, as well as concerns about value for money in public spending.

Debate around procurement practices has intensified in recent weeks following a petition submitted by IMANI Africa to President John Dramani Mahama, alleging irregularities in the award of certain state insurance contracts, while the Authority’s latest directive is not connected to any particular case, it underscores growing calls for stricter compliance, enhanced oversight, and greater transparency in the award and management of public contracts.

The Ghana Electronic Procurement System (GHANEPS) was introduced as part of efforts to digitise public procurement, strengthen transparency, and provide a verifiable audit trail for government contracting activities.

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