এলজিইডি

Online Procurement Practices

in
Local Government Engineering Department
 Local Government Engineering Department (LGED)

One of the Largest Engineering

Agencies of Bangladesh

Mainly Responsible for the

Development & Maintenance of the
Rural Transportation System & Rural
Infrastructures

Rural Sector
 Rural Roads & Bridge/Culverts
 Growth Centers, Rural Markets
 Upazila & Union Parishad
Complex
 Multipurpose Cyclone shelter
 Ghat/Landing station
 Maintenance of Rural Road
Infrastructure
LGED Activities
Urban Sector
 Urban Road & Drainage
 Bus/Truck Terminal, Municipal
Markets
 Green Space, Park
 Governance Improvement &
Capacity Building
 Providing Technical Support to
Local Government Institutions
Small Scale Water Resources
Sector
 Water Control Infrastructures
 Irrigation Canal
 Rubber Dam
 Water Conservation
 Ponds/Canals Re-Excavation
 Monitoring Water Management
Cooperative Associations
 LGED’s Transformation & Evolution

Local Local
Works
Works Engineering Government Government
Program
Program Cell Engineering Engineering
Wing
Bureau Department

1960 1970 1982 1984 1992

At Present, Approved Total No. of Manpower is 13394

 LGED’s Organizational Structure

1 Chief Engineer

8 Additional Chief Engineers (Division) 7 Additional Chief Engineers (Wing)

20 Superintending Engineers (Region) 14 Superintending Engineers (Unit)

64 Executive Engineers (Districts) 110 Executive Engineers

495 Upazila Engineers 78 Senior Assistant Engineers

495 Upazila Assistant Engineers 225 Assistant Engineers

11877 Others
LGED’s Specialty in its Field-Level Capacity

HQ
Level =
2%

Divisional and Regional

Level = 3%

District Level = 18%

Upazila Level = 77%

 Annual Development Budget Allocation to LGED (in Million BDT)
180000
170000

160000 155130 155710

149580

140000
130760

118800
120000
108200

100000
89530
79670
80000

61070
60000 57380

43510
40000

20000

0
2011-2012 2012-2013 2013-2014 2014-2015 2015-2016 2016-2017 2017-2018 2018-2019 2019-2020 2020-2021 2021-2022 2022-2023
 Annual Development Budget Allocation to LGED (in Million USD)
1800

1622
1600
1480 1486
1427
1400
1248
1200 1134
1033
1000
854
800 760

600 583
548

415
400

200

0
2011-2012 2012-2013 2013-2014 2014-2015 2015-2016 2016-2017 2017-2018 2018-2019 2019-2020 2020-2021 2021-2022 2022-2023
 Annual Revenue Budget Allocation to LGED for Road Maintenance (in Million BDT)

35000

30250
30000

25000 24300
22760

20000
18000 17670
17300

15000
12580
10750
9750
10000
8350
7300
6250
5000

0
2011-2012 2012-2013 2013-2014 2014-2015 2015-2016 2016-2017 2017-2018 2018-2019 2019-2020 2020-2021 2021-2022 2022-2023
 Annual Revenue Budget Allocation to LGED for Road Maintenance (in Million USD)

350

300 289

250
232
217

200
172 169
165

150
120
103
100 93
80
70
60
50

0
2011-2012 2012-2013 2013-2014 2014-2015 2015-2016 2016-2017 2017-2018 2018-2019 2019-2020 2020-2021 2021-2022 2022-2023
 Summary of Rural Roads Under LGED
Road Type Total Length(KM) Earthen(KM) Paved(KM)
Upazila Road 36708.31 2687.03 34021.28 (92.68%)
Union Road 41868.01 9386.19 32481.82 (77.58%)
Village Road A 122415.87 72352.65 50063.22 (40.89%)
Village Road B 137929.71 103912.58 34017.14 (24.66%)
Total Roads 338921.90 188338.45 150583.46 (44.43%)

Summary of Other Infrastructures Developed by LGED

Infrastructure Type Quantity
Growth center 2089 nos.
Rural Hat 2705 nos.
Cyclone shelter 1810 nos.
Union Parishad Complex 3487 nos.
Upazila Parishad Complex Extension 370 nos.
Small Scale Water Sub Project (Command Area) 743049 Ha
LGED’s Cooperation with Development Partners (Ongoing Projects)

International Fund for

Asian Development Japan International
World Bank Agricultural
Bank Cooperation Agency
6 Projects Development
5 Projects 4 Projects
3 Projects

Green Climate Fund Kuwait Fund for Arab

Saudi Fund for Asian Infrastructure
& KfW Development Economic
Development Investment Bank
Bank Development
1 Project 1 Project
1 Project 1 Project

Deutsche Gesellschaft Total

Department for International Islamic Development 25 Projects
Development & Swedish für Internationale
Bank  15 Rural Sector
International Development Zusammenarbeit  7 Urban Sector
Cooperation Agency 1 Project
(GIZ)  1 Water Sector
1 Project
1 Project  2 Others
Total Value of the Implementation with Major Development Partners till Date (in Million USD)

3000
2685
2512
2500

2000

1500
1278

1000

500

0
WB ADB JICA
 এলজিইডি

For Smoothness, LGED is Using e-Government

Procurement (e-GP) System to Conduct All of its
Procurement Activities for Goods & Works
 Overview of Bangladesh’s e-GP System

It is a single web portal that can be

simultaneously accessed by the Stakeholders

The e-GP System now has two broad divisions

A. e-Tendering [Up & Running]
B. e-Contract Management [Piloting Started]
Evolution of Public Procurement Legal Framework & Digitization

Public Public Public

GFR, PWD e-GP
Procurement Procurement Procurement
Forms etc. Guidelines
Regulation Act Rules

Up to 2003 2003 2006 2008 2011

https://www.eprocure.gov.bd/
 The e-GP System Access Diagram

General
Public
Payment
Development
Partners Service
Providers

The e-GP System

has the
Tendering e-GP Procuring three sixty-degree
Community
System Agencies
accessibility
to its various
stakeholders

Evaluation O&M
Committee Partner
e-GP System
Administrator
 The e-Tendering Process Diagram

Preparation, Approval, and Publication of the APP

Preparation of the Tender Document

Publication of the Tender Notice

Preparation & Submission of the Tender

Opening of the Tenders

Evaluation of the Tenders

Approval of the Evaluation Report

Signing of the Contract

 Advantages of the e-GP System

Non-Discrimination to the Equal Access and Open

Transparency in Procurement
Participants Competition for All

Consistent Application of the Accountability of the Public

Secured Document Transmission
Policies and Rules Servants

Safe Management of Audit Increased Capability of the

Reduced Cost of Administration
Records Stakeholders
The Penetration of the e-GP System in the Public Procurement Landscape of Bangladesh*

The Net Value of the Procurement Conducted on the e-GP System of

USD 15 Billion
Bangladesh in the year 2019

The Net Percentage of Total Public Procurement Expenditure

62%
Conducted on the e-GP System of Bangladesh in the year 2019

As of 2019, the Number of e-GP Registered Public Organizations in

1325 [out of a total of 1362]
Bangladesh

As of 2019, the Number of e-GP Registered Bidders 65559

The Percentage of Publication of Procurement Notices and Contract

100%
Award Information for the procurement Conducted on the e-GP System

*
The Information is taken from the 2020 Study of the World Bank: Assessment of Bangladesh Public
Procurement System, Page No. ix
A Comparison Between the Early-e-GP Era and the Post-e-GP Era*

Figure in Figure in
Particular
2012 2019

Average Procurement Lead Time (i.e., Invitation to Contract

86.7 Days 62.2 Days
Signing) for All Tenders

Percentage Share of Awarded Bids within Original Tender

10% 90%
Validity Period

Percentage Share of Rejected Tenders 8% 3%

*
The Information is taken from the 2020 Study of the World Bank: Assessment of Bangladesh Public
Procurement System, Page No. ix
 LGED & e-GP: Highlights

LGED is One of the Four LGED was Successful

Selected Public Sector Organizations to Achieve 100% e-GP Tendering
for Implementing the e-GP for Goods & Works in 2015
from the Inception Earliest in Bangladesh

Since 2015, LGED is One of the

LGED is Processing All Its Pioneers to Pilot
Goods & Works Tenders the e-Contract Management (e-CMS)
Using the e-GP on the e-GP
 LGED’s Challenges in Implementing e-GP

Lack of Political Will at the Local Level

Tenderers’ Lack of Lack of Capacity

IT Knowledge of the LGED Officials
and to Conduct the
Proper Education e-Procurement Activities
 LGED Overcame the Challenges

LGED Officials Played a Vital Role

in Building Up Awareness in Political Level

LGED Actively Implemented A Number of

Capacity & Awareness Building Projects
for Both the Officials & Tenderers
(Now Ongoing: DIMAPPP-LGED Part)
 LGED’s Procuring Entities in the e-GP

LGED has 1260 PE Offices Registered on the e-GP System

Executive Engineer
Project Director Upazila Engineer Others
(District)
308 495 393
64

However, The Lion’s Share of Public Procurement Happens at the District & Upazila Level
 LGED’s Opening & Evaluation Committees in the e-GP

LGED has Tier Based Pre-Approved Online Opening & Evaluation

Committees at All Level

2 Member e-GP Opening Committees

3 Member e-GP Evaluation Committees

Example

e-GP Evaluation
Senior Assistant
Committee for the Works Upazila Engineer Assistant Engineer
Engineer
of Up to BDT 6 Crore at Member Member Secretary
Chairperson
the District Office
 LGED’s Approvers in the e-GP

LGED Completely Follows the Delegation of Financial Power

Issued by the Ministry of Finance During the Approval of Tenders on the e-GP

Project Project Project

Head of
Approvers Director Director Director
Minister Procuring
Development Budget Category Category Category
Cabinet Entity
A B C
Committee
on
Government
Purchase Head of Additional Superinten
Executive
Approvers Procuring Chief ding
Minister Engineer
Revenue Budget Entity Engineer Engineer
District
Division Region
 LGED’s Approvers in the e-GP

LGED Completely Follows the Delegation of Financial Power

Issued by the Ministry of Finance During the Approval of Tenders on the e-GP

Cabinet
Project Project Project
Committee Head of
Approvers Director Director Director
on Minister Procuring
Development Budget Category Category Category
Government Entity
A B C
Purchase

Maximum Value of the

Works Contract to be
∞ 95 28 19 14 9.5
Approved in Million
USD
 LGED’s Approvers in the e-GP

LGED Completely Follows the Delegation of Financial Power

Issued by the Ministry of Finance During the Approval of Tenders on the e-GP

Cabinet
Additional Superinten
Committee Head of Executive
Approvers Chief ding
on Minister Procuring Engineer
Revenue Budget Engineer Engineer
Government Entity District
Division Region
Purchase

Maximum Value of the

Works Contract to be
∞ 95 4.8 0.95 0.71 0.48
Approved in Million
USD
 LGED’s Contribution in the e-GP Implementation

Total No. of Tenders LGED

Called in e-GP till Date 27%

LGED
182070

Others Others
489020
73%
 Year-Wise Distribution of e-GP Tenders of LGED
35000

30000 29339 29484

25000 23686

20000
18240 17813
16909
16210
15408
15000

10000 9534

5331
5000

4 112
0
2011-2012 2012-2013 2013-2014 2014-2015 2015-2016 2016-2017 2017-2018 2018-2019 2019-2020 2020-2021 2021-2022 2022-
Present
 Procurement Method-Wise Distribution of e-GP Tenders of LGED
Total OTM LTM OSTETM

29484
29339

23686
22727
19598
18240

17813
17171

16909
16532

16210

15408
14488

10781
9650
9534

9482
9372
7768

5737

5401
5331

5007

4936
4834

4471
4191

2323
1766

1708

1327
1020
642
497

369

156
112
109
4

3
2
2
0

0
201 1- 20 12 201 2- 20 13 20 13 - 20 14 20 14 - 20 15 20 15 - 20 16 2 01 6- 2 01 7 2 017 - 2 018 2 01 8- 2 01 9 2 01 9- 2 02 0 202 0- 20 21 202 1- 20 22 2 02 2-
P r esent
 Procurement Nature-Wise Distribution of e-GP Tenders of LGED
Total Works Goods

29484
29390
29339
29297

23686
23632
18240
18204

17813
17787

16909
16860

16210
16123

15408
15364
9534
9524
5331
5328
112
112

87
94
42

54

49

44
36

26
10
4
4

3
0

201 1- 20 12 201 2- 20 13 20 13 - 20 14 20 14 - 20 15 20 15 - 20 16 2 01 6- 2 01 7 2 017 - 2 018 2 01 8- 2 01 9 2 01 9- 2 02 0 202 0- 20 21 202 1- 20 22 2 02 2-

P r esent
 LGED’s Readiness to Implement e-Contract Management

LGED is Listed as
Already, 3 Works Packages
One of the Pioneers in Implementing
have been Successfully Completed
the e-Contract Management (e-CMS)
Using e-CMS in the e-GP System
on the e-GP

Just Like e-Tendering,

Already, 1412 LGED Officials
LGED is Ready to
has been Trained on
Implement the e-CMS
the e-CMS Module
at the Earliest
Thank You