Chamber calls for reform of public procurement after NAO report slams St Vincent de Paul contract

The Malta Chamber of Commerce is insisting on full transparency in public procurement and sound governance principles that provide an equal playing field for all businesses.

The chamber was reacting to the conclusions reached by the NAO report on the contract awarded to the JCL and MHC Consortium for a  €274 million tender awarded to manage four blocks at Saint Vincent de Paul, a government residence for the elderly.

The report expressed doubts about whether the deal secured value for money and found that no political authorisation to enter into a negotiated procedure with the consortium was requested and provided by the parliamentary secretaries involved. The NAO said the contract was in breach of the law.

“As public procurement accounts for a substantial portion of the taxpayers’ money, governments are expected to carry it out efficiently and with high standards of conduct to ensure high quality of service delivery and safeguard the public interest,” the chamber said.

Earlier this year, the chamber published its report on public procurement reform, listing 35 recommendations that ensure that the procurement process promotes ethical business and that the process is free from impropriety.

The chamber proposals includes mandatory publication of a procurement outlook every six months in advance, the implementation of a public contract register to minute all modifications after the award of a tender and widening the scope of PCRB’s competence to include scrutiny of all direct orders.

“The Malta Chamber will continue advocating for the implementation of its Public Procurement Reform 2021 recommendations as it ensures a sound market based on ethical standards and fair competitivity,” the business lobby group said.