WCG asks President for feedback on future of Public Procurement Act
Premier Alan Winde and Western Cape Minister of Finance, Deidré Baartman, have again written to President Cyril Ramaphosa asking him to provide feedback on the status of the newly assented Public Procurement Act. The Western Cape Government (WCG) consistently expressed its significant concerns and objections with the legislation right through the process of drafting this Act.
After the Act was signed into law by the President on 31 July 2024, Premier Winde and Minister Baartman wrote a joint letter requesting that the implementation of the Act be halted due to concerns over the constitutionality of the legislation.
“The WCG urges President Ramaphosa to postpone the gazetting of the Public Procurement Act and institute a review process in consultation with provinces and municipalities. The implications of the Act on these spheres of government are too consequential to be ignored,” said Minister Baartman.
The Act in its current form gives national government the power to create a single framework that regulates public procurement which includes preferential procurement by all organs of state. It usurps the constitutionally protected powers of provincial and municipal governments to decide whether to adopt a preferential procurement policy in accordance with Section 217 of the Constitution.
Minister Baartman warned, “This Act sets a dangerous precedent for National Treasury to develop policy for provincial and municipal governments. It is not the role of the national government to write our policies as this will render the functions of provincial and municipal governments moot. It is also concerning that the legislation does this when the Constitutional Court has explicitly ruled this to be unconstitutional.”
The legislative process of the Public Procurement Act is also an area of concern. It is the view of the WCG that the National Assembly and National Council of Provinces failed to comply with their constitutionally imposed duties in relation to the public participation process. The period for public comment was too short to allow proper public scrutiny and engagement and by National Treasury’s own admission, it did not allow for adequate consideration of public input.
Minister Baartman said, “Public procurement reform is crucial and necessary, but it cannot be at the expense of local and provincial autonomy and certainly not at the expense of the residents and service delivery in the Western Cape. The WCG, therefore, calls on President Ramaphosa to do what’s right and halt the implementation of the Public Procurement Act to allow for further consultation.”
Media Enquiries: