Jul 28, 2024
38
PRAZ EGP System: Must-Know Takeaways for Bidders
TenderingClaris Zimbiti | Jun 16, 2024 | | | |
Ever wondered how to navigate the new EGP system? Well, on June 4th, the PRAZ ICT department held a virtual training session just for that!
The purpose of this meeting was to show bidders like you how to submit your bid responses through the newly established eGP system.
Missed the training? No worries.
I'll share with you some important points from the new EGP system training. If you’re looking for key takeaways about the EGP system without going through a tiresome 3-hour training, I’ve got you covered.
So, let’s jump in!
Table of Contents
- Basics first: What is an EGP system?
- The good news for SMES
- Payments
- Management of key pairs
- Categories
- Conclusion
Basics first: What is an EGP system?
So, what exactly is eGP? It is a national government procurement portal that uses an electronic system to streamline public procurement.
It's like a one-stop-shop for posting procurement opportunities, receiving and evaluating bids or proposals, managing contracts, and keeping the lines of communication open between government entities and suppliers.
By using a digital system for all public procurement related activities, PRAZ aims to make the process smoother, more transparent, and efficient.
No more physical barriers or time constraints – just a clear, accessible, and transparent procurement process with wider access to information and markets.
Now here is the thing. The eGP system is being rolled out in phases, and this meeting aimed to train bidders on the modules that are up and running. These include:
- E-Registration with a Secure Key Pair Management System
- Procurement Plans and Budgets
- e-Bidding/Tendering
The good news for SMES
Remember how we said the system is being rolled out in phases?
Think of it like building a massive complex with shops, offices, restaurants, hotels, and more. Each new building you complete brings its own perks.
The same goes for the EGP system—each module has its unique benefits for you. So, what can we do so far in this system?
- Registering as a supplier: Ever wanted to participate in government contracts? You can now register your company on the EGP system and start receiving notifications about relevant bids.
- Accessing procurement plans: Want to know what's coming up? You can now access annual procurement plans from government agencies, helping you prepare and respond more effectively.
- Accessing procurement opportunities: Need to find new opportunities? You can view, search and download tender documents for upcoming procurement opportunities posted on the EGP system.
- Submitting bids electronically: Tired of all that paperwork? You can now submit your bids or proposals online through the EGP system. Whether you're in Harare, Gweru, Binga, or Tsholotsho, you can now bid on tenders online. No more geographical limitations.
- Communicating with procurement officials: Have questions or need updates? You can now communicate with procurement officers as the process progresses. For example receive addenda, ask for clarifications, get pre-bid meeting minutes, tender opening minutes, and contract award details. You won’t miss any detail.
- Monitoring bid statuses: Wondering about the status of your bids? Track them, receive notifications about bid evaluation results, and view contract awards on the EGP system.
- Filing a bid challenge: Not satisfied with the evaluation process? You can file a bid challenge through the EGP system.
Payments
It is common for government procurement systems to require fees or charges to participate in procurement opportunities.
We're talking about SPOC (Special Procurement Oversight Committee) fees, tender document fees, bid security, performance bonds, and other financial guarantees. It’s all part of the game.
On this one, PRAZ has taken a “payment-first” approach on the EGP system. This means bidders must make the necessary payments before they can submit their bid responses.
This might be a bit different from the old days when you could submit your bid first and pay later. So, how does this new process work?
- Payment of fees: Interested in a procurement opportunity listed on the EGP system? First, you need to make the applicable payments. No payment, no bid submission.
- Bid preparation: Once you've made the required payments, it's time to prepare your bid responses. This includes technical proposals, commercial offers, and all the supporting documents as outlined in the procurement opportunity.
- Bid submission: After your payments are confirmed, you can submit your bid responses electronically through the EGP portal, following the specified submission procedures and deadlines.
Important Tip: It’s a good idea to make your payment at least 48 hours before the tender submission deadline, or even a week before. Banks can take time to settle these payments, so better safe than sorry!
How do I know which payments I am supposed to make?
There are various types of payments you can make depending on the bid. Here’s a quick rundown:
- Bid Establishment Fees
- SPOC Fees
- Contract Admin Fees
- Bid Bonds
- Application for Bid Challenge
First things first – go through your Standard Bidding Documents. Different tenders require different types of fees.
The best approach is to determine exactly what’s needed and generate an invoice first in the EGP system. And remember, make your payment as early as possible.
If your contract requires contract administration fees, make sure to pay those before signing the contract. Basically, clear all your invoices.
What if I am using a bank transfer?
The good thing about the EGP system? It supports both online payments (like Ecocash) and offline payments (like bank transfers).
If you are planning to use a bank transfer,make sure you deposit your funds into the correct bank account and don’t forget to use the correct reference number.
Management of key pairs
The first person to register on the EGP system becomes the primary user of that account. They get a key pair for encrypting bid responses.
The primary user can add more users to the system, but each new user will need their own separate key to encrypt their bid response.
Important Point:This year, the key pair is free for everyone while PRAZ is still setting up the system. However, starting next year, you'll need to purchase it. If you need an additional key for another user, that will cost you an extra $25.
Source:tutorialspoint.com
How are the keys stored in the database and are they secure?
The key pair is confidential to you alone. The other half of the pair is confidential to the government buyer who will open the bid document only.
Do you have to change your manage key pair password every time you are submitting a bid?
No need. You can keep that same password. However, in case you forget you can reset your password.
Categories
The procurement cycle runs from January to December, neatly divided into four quarters. The yearly payment for PRAZ is $120, valid until December 31st.
To make things easier for small businesses, PRAZ offers a quarterly payment option. This breaks down the yearly fee into manageable $30 payments per quarter.
Think of it like a payment plan.
Unlike a subscription service where you can skip payments or only pay when you use the system, the PRAZ system works a bit differently. You’ve got to pay for all quarters.
Unlike a subscription service where you can skip payments or only pay when you use the system, the PRAZ system works a bit differently. You’ve got to pay for all quarters.
Let’s say you’ve paid for Q1 and Q2 and now you want to cover Q4. Guess what? You’ll need to settle the outstanding Q3 amount to reach the total $120.
So, by the end of the year, make sure all your invoices are cleared.
What if it says I am not registered for the required Category for the tender?
Yes you can register for that category. Since you are already registered, it is only your payment which needs to be approved. So, it won’t take much time.
How can I skip lots that I’m not interested in?
Just write “not participating”.
Conclusion
There you have it- key takeaways about the new EGP system. This includes key issues like payments, categories and management of key pairs you need to keep in mind.
The new EGP system works a little bit differently from the old system. Make your payments as early as possible to avoid missing out on opportunities.
Know how the procurement cycle works to better appreciate how the EGP supplier registration works.
Just like any new system that is being rolled out, it is expected that it comes with it’s own challenges and system glitches.
For example, many bidders are facing a challenge with RFQs that are “limited”. But be patient. Everything will stabilise after some time.
Are you facing any challenge with the EGP system right now?
Share This Post
Related Blogs
Jul 09, 2024
69
May 29, 2024
39
Apr 20, 2024
40
Blog Comments [ ]
