scholarly journals The Political Economy of Public Procurement Reform and Democratic Decentralisation in Indonesia

2021 ◽  
Vol 1 (1) ◽  
pp. 1-21
Author(s):  
Mochamad Mustafa

Procurement has been one of the most important areas of reform at both national and local levels since the fall of the New Order. This article provides an overview of procurement reform in Indonesia. This paper explains that following the implementation of democratic decentralization in 1999, the Indonesian government has embarked on efforts to ensure that Indonesian procurement procedures comply with international standards, particularly with regards to good governance and the competitiveness of public procurement. However, there is no substantial evidence that the implementation of procurement reform has resulted in more democratic procurement practices. Rather, the process of democratic decentralization has provided a political environment whereby the public procurement budget has become vulnerable to capture by predatory elites for their private interests, a process involving local politicians, local leaders, bureaucrats and business actors.

2016 ◽  
Vol 1 ◽  
pp. 24-35
Author(s):  
Saefudin A Safi'i

The downfall of the New Order Regime in 1998 brought about significant change to Indonesia’s public sector.  Law number 22 of 1999, further refined by Law 32 of 2004, provide legal bases for district governments to administer the public sector. The central government also introduces the notion of good governance through the promulgation of various regulations. For Madrasah however, decentralization policy failed to provide clear legal bases as to how it relates to district government. Law 32 of 2004 verse 10 article 3 retains the centralized management by the Ministry of Religious Affairs. This however does not exclude Madrasah from public demand of implementing the principle of good governance. This study analyses the dynamics of principal-ship both in the Sekolah and the Madrasah in the era of decentralization. By comparing two research sites, this study sought to create better understanding about the context by which the organization climate of two different schools are shaped, and how principals and teachers perceives the notion of school leadership in the light of most recent policy development. To do this, interviews were undertaken and questionnaire-based data collection was also conducted. The study found that in the ground level implementation of decentralization policy, Sekolah developed more rigorous leadership compared to that in the Madrasah. This research recommends the adoption of stronger regulation regarding principal-ship of Madrasahs in order to create an environment that is more in tune with the spirit of public service reforms.


2018 ◽  
Vol 1 (2(14)) ◽  
pp. 78-82
Author(s):  
Iryna Kyzmivna Drozd ◽  
Mariia Serhiivna Pysmenna ◽  
Nataliia Volodymyrivna Pohribna

Urgency of the research. Ensuring the proper level of controllability of procurement contributes to effective action of legislated procedures of financial control, and increases the level of responsibility of participants of the public procurement process. Target setting. Putting forward the provisions of international standards ISSAI, which provide for the implementation of results of financial control in society, is the relevant issue of increasing the effectiveness of control measures. Actual scientific researches and issues analysis. Evolution of the views of scientists on the tasks of financial control in the field of procurement creates the framework for its further development in terms of increasing effectiveness. Uninvestigated parts of general matters defining. The study of the instruments for control actions to assess the implementation of the principle of responsibility in the field of procurement requires theoretical and practical justification. The research objective. The article aims to develop instruments for financial control of public procurement in order to implement the principle of responsibility in this area in accordance with the international standards of financial control ISSAI. The statement of basic materials. On the basis of the implementation of the ISSAI standards, the instruments for control actions to verify compliance with the principle of responsibility under the public procurement is proposed. Assessment of compliance with procurement criteria will provide evidence for substantiated findings and the effectiveness of control measures. Conclusions. As a result of the study, it was concluded that the combination of ISSAI norms and public procurement criteria at the level of financial control instruments will ensure its effectiveness.


Author(s):  
Simeon Wanyama

This chapter is about corrupt practices in the public procurement cycle. Taking the example of Uganda, it identifies what takes place at each of the stages of public procurement and examines the perspectives of stakeholders regarding alleged corruption, misappropriation, and fraudulent practices during the public procurement process. It also reviews the governance systems that have been put in place to try and stem out these malpractices and ensure proper governance in the administration of public procurement. The research followed a qualitative approach aimed at getting the views of stakeholders and understanding whether what is in place is adhering to the principles of public procurement which foster good governance and value for money. The findings of the study indicate that the perception of the majority of the respondents is that corruption is pervasive in public procurement in Uganda despite good laws, regulations, and guidelines that have been put in place and that it manifests itself at all the stages of public procurement.


2020 ◽  
Vol 24 (4) ◽  
pp. 1039-1062
Author(s):  
Vitaly V. Kikavets

The basis of legal relations in public procurement are private and public interests. The purpose of the study is a substantive assessment of the authors hypothesis that the purpose of legal regulation and financial support of public procurement is to satisfy the public interest expressed in the form of a public need for goods, works, and services. The methodological basis of the study rests on historical and systematic approach, analysis, synthesis and comparative-legal methods. The results of the analysis of normative legal acts regulating public procurement, doctrinal literature and practice showed that public interest denounced in the form of public need is realized through public procurement. Public and private interests can be realized exclusively jointly since these needs cannot objectively be met individually. In general, ensuring public as well as private interests boils down to defining and legally securing the rights and obligations of the customer and their officials, which safeguards them in the process of meeting public needs through public procurement. The study revealed the dependence of the essence of public interest on the political regime, which determines the ratio of public and private interests. Public interest in public procurement is suggested to understand as the value-significant selective position of an official or another person authorized by the government, which is expressed in the form of the public need for the necessary benefit; gaining such benefit involves both legal regulation and financial security. The purpose of legal regulation of public procurement is to satisfy public interest. These concepts should be legally enshrined in Law No. 44-FZ.


Author(s):  
Nataliya ZDYRKO

The independent legislative agency of Ukraine according to the international standards ISSAI in private carrying out of the state audit (including the published purchases) is made. It is established that international practice has identified three components of public audit: performance audit, financial audit and compliance audit. The necessity of standardization of the state audit of public procurements through legislative fixing of audit of conformity is proved. The main objects of compliance audit are proposed: the activities of the customer (participant), public resources and the activities of responsible government agencies. Recommended main directions and procedures for compliance audit for each object and by stages of the life cycle of procurement items. Features of the audit of compliance of redistribution by the customer of various receipts for public procurement are considered. Features of audit procedures for different types of public procurement are identified. The recommended procedure and algorithm for auditing the correctness of determining the subject of procurement from the customer. The main mistakes and violations of the participants, which take place during the audit of compliance with public procurement, have been identified. The peculiarities of compliance audit at the stage of public procurement planning, pre-contractual and contractual relations in the electronic procurement system, as well as at the stage of use of procurement items are highlighted. It was emphasized that the responsible body should regulate issues related to the functioning of the electronic information system, platforms and web portal in the field of public procurement. The key elements of the Public Procurement Compliance Audit Standard (purpose, objectives, subject, objects, subjects, stages, methods, principles) are proposed.


2015 ◽  
Vol 15 (4) ◽  
pp. 439-457 ◽  
Author(s):  
William Earle Klay

Enlightenment philosophers profoundly influenced the emergence of democracy. Enlightenment ideas underlie much of the theory and practice of public procurement today. Economic theory, dating from the writings of Adam Smith and his mentor Frances Hutcheson, assumes that suppliers will act in their own self interest. Knowing this, public buyers seek to fashion incentives to align the private interests of suppliers with public needs. But Hutcheson and others argued that civic duty and benevolence should guide public servants in seeking value for their fellow citizens. That argument is the basis of our codes of ethics. The clams of public procurement to being a profession will be greatly bolstered when it is recognized that our knowledge base is rooted in the same Enlightenment thinking that undergirds other professions and academic disciplines.


2021 ◽  
Vol 8 (11) ◽  
pp. 63-77
Author(s):  
Hamidi . ◽  
Sabela Gayo ◽  
Ariman Sitompul

The objectives of this research are to know how setup law on public procurement on goods/ services, how the implementation of public procurement o and what are the barriers factors and alternative solutions in public procurement. The writing methods are normative and empirical methods. The result of this study has shown that Presidential Decree Number 16 Years 2018 as the legal arrangements for public procurement can be used as complete guidelines in the public procurement on goods/services; the implementation of the legal arrangements are not optimal yet; there is an overlap of job function and human resources competencies is not complied yet. The recommendation of this study are the implementation of Presidential Decree Number 16 Years 2018 will be effective since there is local regulations/Mayor Decree as a technical guidance to things that are still not regulated, so that the legal arrangements for the public procurement on goods/services can be used as complete guidelines in the public procurement; must develop the level of compliance in implementing or implementing the Presidential Decree and several other technical regulations; make a clear of job description and human resources competencies need to be improved. Keywords: Legal Arrangements, Implementation, Barrier Factors.


2021 ◽  
Vol 39 (6) ◽  
Author(s):  
Oksana Vaitsekhovska ◽  
Nataliia Iakymchuk ◽  
Yuri Shchokin ◽  
Nataliia V. Vorotina ◽  
Nataliia M. Korchak

Nowadays, one of the reasons for the ineffective fight against corruption in the budget system is certain discrepancies and inconsistencies between the legal components of the mechanism for countering this anti-social phenomenon. The lack of a clear definition of the limits of competence of participants in the budget process, discretionary powers in the distribution and expenditure of budget funds, conflicts in budget legislation, and the lack of real competition in the field of public procurement clearly form the main corruption risks for all participants in these legal relations. The purpose of the study was to analyse the international legal mechanisms for combating corruption and find ways to implement them in Ukrainian legislation. The development of the national anti-corruption policy of Ukraine in the public sector as a subject of international anti-corruption law is determined by a number of the following national and external factors: 1) Ukraine's accession to the universal and regional conventions on combating corruption, compliance with which constitutes the main prerequisite for Ukraine's entry into the global space; 2) Ukraine's implementation in national legislation of anti-corruption international standards developed by international intergovernmental and non-governmental organisations; 3) adaptation of national legislation to European standards within the framework of the signed association agreement between Ukraine and the EU of 2014; 4) cooperation of Ukraine with international organisations, within which the international anti-corruption policy is developed and formed; 5) activities in the field of combating corruption of international non-governmental organisations, among which Transparency International constitutes an important element of the legal mechanism of the international anti-corruption legal order; 6) Ukraine’s international anti-corruption obligations to international financial institutions; 7) Ukraine's participation in international conferences and summits on anti-corruption issues; 8) Ukraine's cooperation with other states in providing relevant bodies of foreign states and receiving information on preventing and combating corruption; 9) national historical and political factors.


2019 ◽  
Vol 65 (1) ◽  
pp. 45-52
Author(s):  
Bulbul Sen

Public procurement is one area needing governmental reforms. It is largely governed by dated rules that businesses feel are not able to encompass the complex needs of a modernising Indian economy. They also feel that there is a plethora of public contract rules often not in harmony with each other creating confusion and giving opportunity for corruption. However, the Modi regime’s anti-corruption mandate should not stifle business initiative that is the main critique against the Public Procurement Bill (2012). An amended public procurement law should inter alia be comprehensive in its coverage. It should incorporate new forms of tendering to cover complex procurement situations, maintain balance between the cost and the quality in tender awards, check abuse of monopoly in single-source procurement, prevent ‘digital divide’ in transparency provisions, maintain balance between external openness and promotion of domestic economy in market access provisions, encourage sustainable public procurement, incorporate effective mechanisms for redressing grievances of bidders and avoid penal provisions punishing offences covered by existing laws. Regulatory reform in public procurement will have substantial economic impact, as government contracts annually average approximately 30 per cent of India’s GDP and cover almost every sphere of government activity. Hence, such a reform will improve India’s anti-corruption/ease of doing business global rankings.


Sign in / Sign up

Export Citation Format

Share Document