2013-06-17

NPM 047-2013

Requesting Entity: Commission on Audit (COA) - Regional Office (RO) VIII

Issues Concern: Accreditation of Bidders and Conduct of Pre-Bid Conference

 

Details

Whether the procuring entity may establish an accreditation system, through an ordinance, for the accreditation of contractors, suppliers, service providers, and any entities who wish to participate as bidders for any of its programs, projects, or activities.

[T]he establishment of an accreditation system within the agency would limit the participation of bidders only to those accredited suppliers, to the exclusion and prejudice of other bidders in the market. Consequently, the creation of an accreditation system is not in accordance with the mandate of the present procurement law because it in fact contravenes the very basic principles of competitive bidding.

What is the effect of the failure to conduct a pre-bid conference, when such is required, i.e., for projects costing at least PhP 1 Million?

Section 22.1 of the IRR of RA 9184 requires that at least one (1) pre-bid conference should be conducted by the procuring entity for projects costing at least PhP1 Million x x x.

As such, failure to conduct a pre-bid conference for the Project amounts to a violation of a mandatory provision of law, which will render the procurement activity void under Article 5 of the Civil Code of the Philippines.