ADP implementation plan
Monday, 18 June 2007
GOVERNMENT'S development activities in this country often suffered badly in terms of delay in implementation or escalation of costs. These also more than occasionally suffered even in quality for a variety of reasons. While ill intentions of those who were in charge could be one of the contributing factors, an unhealthy tendency among a group of bidders in official tenders to form cartel through mutual arrangement to dictate prices for supply of various items and construction works did also usually work as a limiting, retarding or negatively influencing factor. Whether or not such manipulative activities can be contained through a well thought-out competition policy is a matter that now demands urgent official attention as the government is contemplating to introduce a time-bound work plan for implementing the Annual Development Programme (ADP) from the next fiscal.
A report in this paper last Thursday said the ministries and other executing agencies have meanwhile been asked by the appropriate authority in the government to work out the aforesaid plan of action. It further said Chief Adviser Dr Fakhruddin Ahmed would sit with the top bureaucrats in the third week of next month to review and finalise it. Theoretically, a time-bound plan for project implementation is ideal. So it will be for next fiscal's Tk 265 billion ADP. Practically, the compulsion of having a work, like procurement or a construction, done strictly within a specified time, could be seen by local cartels as an opportunity for making a huge profit at one-go. The prospect of re-tendering being remote under such an arrangement, they might virtually quote any big figure of their liking in a quotation or tender as prices of their proposed supplies or services.
Market forces under the free economy have to operate with a great sense of enlightened self-interest. The proponents of the free economy largely invalidate the assumption that such forces would act so on their own in an atmosphere of unrestricted competition when they talk about the need for neutralising the unethical cartels by the state with a competition policy and an elaborate regulatory arrangement. The government should seriously think over and examine this issue while working for introduction of the proposed time-bound ADP implementation plan. Else, the time-bound plan may create more problems than it would solve, as indicated above. When there will be the compulsion for competing with time in matter of project implementation, the project heads and other relevant officials may even excuse themselves for procuring goods and services from the first or, in the worst cases, from the second group of bidders in a re-tender, on a competitive basis at whatever prices quoted. Their choice will be restricted by the requirement for being in a race with time as far as project implementation is concerned.
Can the government rule out the possibility of unspoken arrangements and underhand dealings that may occur in some cases due to circumstances accentuating opportunities for such deals? Wartime contracts, requiring both sides to them to compete with time, were hardly ever executed anywhere at non-inflated prices. The constraint against delay in project implementation under a time-bound framework will also passively exclude the project heads and other related officials from the accountability process for any financially questionable procurement. The authorities ought to ponder over what the proposed plan may give rise to and apply their mind simultaneously on what ought to be done to preclude it while finalising the time-bound project implementation plan. The move for introducing the plan to secure promptitude in ADP implementation is good. But it may be no good unless the issues raised above are squarely settled prior to putting the new plan into effect. A local think-tank has meanwhile proposed for forming a high-powered committee for project implementation. That may be one of the options for acquiring speed in project implementation. But the cost factor needs to be duly considered.
A report in this paper last Thursday said the ministries and other executing agencies have meanwhile been asked by the appropriate authority in the government to work out the aforesaid plan of action. It further said Chief Adviser Dr Fakhruddin Ahmed would sit with the top bureaucrats in the third week of next month to review and finalise it. Theoretically, a time-bound plan for project implementation is ideal. So it will be for next fiscal's Tk 265 billion ADP. Practically, the compulsion of having a work, like procurement or a construction, done strictly within a specified time, could be seen by local cartels as an opportunity for making a huge profit at one-go. The prospect of re-tendering being remote under such an arrangement, they might virtually quote any big figure of their liking in a quotation or tender as prices of their proposed supplies or services.
Market forces under the free economy have to operate with a great sense of enlightened self-interest. The proponents of the free economy largely invalidate the assumption that such forces would act so on their own in an atmosphere of unrestricted competition when they talk about the need for neutralising the unethical cartels by the state with a competition policy and an elaborate regulatory arrangement. The government should seriously think over and examine this issue while working for introduction of the proposed time-bound ADP implementation plan. Else, the time-bound plan may create more problems than it would solve, as indicated above. When there will be the compulsion for competing with time in matter of project implementation, the project heads and other relevant officials may even excuse themselves for procuring goods and services from the first or, in the worst cases, from the second group of bidders in a re-tender, on a competitive basis at whatever prices quoted. Their choice will be restricted by the requirement for being in a race with time as far as project implementation is concerned.
Can the government rule out the possibility of unspoken arrangements and underhand dealings that may occur in some cases due to circumstances accentuating opportunities for such deals? Wartime contracts, requiring both sides to them to compete with time, were hardly ever executed anywhere at non-inflated prices. The constraint against delay in project implementation under a time-bound framework will also passively exclude the project heads and other related officials from the accountability process for any financially questionable procurement. The authorities ought to ponder over what the proposed plan may give rise to and apply their mind simultaneously on what ought to be done to preclude it while finalising the time-bound project implementation plan. The move for introducing the plan to secure promptitude in ADP implementation is good. But it may be no good unless the issues raised above are squarely settled prior to putting the new plan into effect. A local think-tank has meanwhile proposed for forming a high-powered committee for project implementation. That may be one of the options for acquiring speed in project implementation. But the cost factor needs to be duly considered.