ISSN 0856 – 01001X 

 

THE UNITED REPUBLIC OF TANZANIA 

 

ACT SUPPLEMENT 

No. 9 30 December, 2011 

 

to the Gazette of the United Republic of Tanzania No. 52 Vol. 92 dated 30th December, 2011 

 

Printed by the Government Printer, Dar es Salaam by Order of Government 

 

 

 

THE PUBLIC PROCUREMENT ACT, 2011 

__________ 

 

ARRANGEMENT OF SECTIONS 

 

PART I 

PRELIMINARY PROVISIONS 

 

Section Title 

 

1. Short title and commencement. 

2. Application. 


3. Interpretation. 


4. International obligation. 




 

PART II 

PUBLIC PROCUREMENT POLICY DIVISION 

 

5. Establishment of Public Procurement Policy Division. 


6. Functions of the Public Procurement Policy Division. 




 

PART III 

THE PUBLIC PROCUREMENT REGULATORY AUTHORITY 

 

7. Establishment of the Authority. 


8. Objectives of the Authority. 


9. Functions of the Authority. 


10. Scope of investigations by the Authority. 






No. 7 Public Procurement 2011 

 

11. Initiation of investigation. 


12. Procedure in respect of investigation. 


13. Evidence. 


14. Restriction of disclosure of certain matters. 


15. Procedure after investigation. 




 

16. Disciplinary action against public officers. 


17. Proceedings of the Authority. 


18. Powers of the Authority. 


19. Cancellation of procurement proceedings. 


20. Action on recommendation of the Authority. 


21. Establishment and Composition of the Board of Directors. 


22. Committees of the Board of Directors. 


23. Appointment of Chief Executive. 


24. Directors, consultants and other staff of the Authority. 


25. Funds of the Authority. 


26. Books of account. 


27. Audit of Accounts. 


28. Annual Management Plan and budget. 


29. Annual Report. 


30. Internal Audits and Periodic Audit Reports. 




 

PART IV 

INSTITUTIONAL ARRANGEMENTS 

 

31. Tender boards. 


32. Notification to the Authority of composition of tender board. 


33. Functions of tender boards and budget approving authority. 


34. Powers of tender board. 


35. Award of contracts. 


36. Functions and Powers of Accounting officer. 


37. Establishment and composition of Procurement Management Unit. 


38. Functions of a Procurement Management Unit. 


39. User Department. 


40. Evaluation Committee. 


41. Independence of functions and powers. 





No. 7 Public Procurement 2011 

 

42. Delegation of powers by the Accounting officer. 


43. Third party procurement. 


44. Procurement procedures for the Authority and the Appeals Authority. 


45. Disagreements in decisions. 


46. Confidentiality of documents. 




 

PART V 

PUBLIC PROCUREMENT PRINCIPLES 

 

47. Standards of equity. 


48. Duties of procuring entities. 


49. Approval of the Annual Procurement plan. 


50. Procurement of common use items and services. 


51. Qualifications of suppliers, contractors and consultants. 


52. Pre-qualification proceedings. 


53. Post-qualification. 


54. National preferences. 


55. Exclusive preference to local persons or firms. 


56. Procurement from the Agency. 


57. Language. 


58. Tender securities. 


59. Rejection of tenders or proposals. 


60. Acceptance of tender and entry into force of a procurement contract. 


61. Records, information and notices. 


62. Blacklisting. 




 

PART VI 

METHODS OF PROCUREMENT AND PROCESSES 

 

63. Application of the basic principles of procurement and disposal. 


64. Selection of methods of procurement. 


65. Emergency procurement. 


66. Procurement of used railway machinery, aircrafts and ships. 


67. Competitive tendering. 


68. Invitation to tender and advertising. 


69. Issue of tender documents. 





 

No. 7 Public Procurement 2011 

 

70. Content of tender document. 


71. Validity of tenders and tender security. 


72. Evaluation criteria. 


73. Receipt of tenders and tender opening. 


74. Evaluation and comparison of tenders. 


75. Approval of award of contract. 


76. Negotiation and award of contracts. 


77. Alteration and amendments. 


78. Selection of consultants. 




 

PART VII 

PUBLIC PROCUREMENT UNDER PUBLIC PRIVATE PARTNERSHIP 

 

79. Scope applicability and approval. 


80. Unsolicited public Private Partnership proposal. 


81. Selection of Transaction Advisor or Manager. 


82. Selection of a Private Party and choice of procurement. 




 

PART VIII 

PROHIBITIONS 

 

83. Fraud and corruption. 


84. Conducts influencing Public Officers. 


85. Disclosure of payment made by way of commission etc. 


86. Conduct of directors, servants or agents. 


87. Institution of criminal proceedings. 




 

PART IX 

DISPUTES SETTLEMENT 

 

88. Establishment of the Appeals Authority. 


89. Appointment of Executive Secretary. 


90. Employees of the Appeals Authority. 


91. Funds of the Appeals Authority. 


92. Audit of Accounts. 





No. 7 Public Procurement 2011 

 

93. Management Plan and Budget. 


94. Annual statement and report.. 


95. Right to review. 


96. Settlement of complaints or disputes by accounting officers. 


97. Review by the Appeals Authority 


98. Extension of time for submission of complaints or appeals. 


99. Certain rules applicable to review proceedings. 


100. Suspension of procurement proceedings. 


101. Judicial review 




 

PART X 

GENERAL PROVISIONS 

 

102. Codes of Conduct. 


103. Protection from personal liability. 


104. Offences. 


105. Regulations. 


106. Guidelines. 


107. Repeal and savings. 


108. Transitional provisions. 




 

_________ 


SCHEDULES 

_______ 

 

 

 


No. 7 Public Procurement 2011 

 

THE UNITED REPUBLIC OF TANZANIA 

 

 

NO. 7 OF 2011 

I ASSENT, 

 

JAKAYA MRISHO KIKWETE, 

President 

 

13th December, 2011 

 

An Act to make better provisions for the regulation of public 
procurement, to provide for repeal of the Public Procurement 
Act, 2004 and re-enact the Public Procurement Act and 
consequential matters and to provide for other related matters. 

 

ENACTED by the Parliament of the United Republic of Tanzania. 

 

 

PART I 

PRELIMINARY PROVISIONS 

 

 

Short title and 
commence-
ment 

 1. This Act may be cited as the Public Procurement Act, 
2011 and shall come into operation on such a date as the 
Minister may, by notice in the Gazette, appoint. 

 

 

Application 

 2.-(1) This Act shall apply to- 




No. 7 Public Procurement 2011 

 

 

 

(a) all procurement and disposal by tender 
undertaken by a procuring entity except 
where it is provided otherwise in this Act; 

 

 

 

(b) non Government entities, for procurement 
financed from specific public finances; and 

 

(c) Public Private Partnership projects, in their 
relevant stages. 

 

 (2) The Defence and National Security Organs shall 
comply with this Act subject to subsections (3) and (4). 

 

 (3) The defence and national security organs shall 
manage their procurement and disposal on the basis of a 
dual list, covering items subject to open and restricted 
procurement or disposal methods respectively. 

 

 (4) The Defence and National Security Organs shall 
agree annually with the Authority on the category of items 
to be included in the restricted list and on restricted 
procurement methods set out in this Act or regulations 
made under this Act which applies to each category of item 
on the restricted list. 

 

 (5) Subject to section 4(1), the extent to which this Act, 
regulations and rules made under it conflict with other 
laws, regulations or rules on matters relating to public 
procurement and disposal of public assets by tender, the 
provisions of this Act, regulations and rules made under it 
shall prevail. 

 

 

Interpretation 

 3. In this Act unless the context otherwise requires - 

 

 

Cap.348 

“accounting officer” means a Government officer 
appointed in accordance with the provisions of the 
Public Finance Act or a public officer statutorily 
appointed to hold a vote or subvention and accounts for 
all monies expended from that vote or subvention; 

 

“Agency” means Government Procurement Services 
Agency; 




No. 7 Public Procurement 2011 

 

 

 

“an associate” means a person who - 

 

(a) is in partnership with the public officer; or 




 

(b) in the case of a body corporate is a controller of 
the body corporate or the public officer and any 
person who is in association with him; 




 

“Appeals Authority” means the Appeals Authority 
established under section 88; 

 

“approving authority" means an accounting officer or tender 
board of a public body; 

 

“Authority” means the Public Procurement Regulatory 
Authority; 

 

“Board” means the Board of Directors of the Public 
Procurement Regulatory Authority established under 
section 21; 

 

“coercive practice” means impairing or harming, or 
threatening to impair or harm directly or indirectly, any 
party or the property of the party for the purpose of 
influencing improperly the action or that party in 
connection with public procurement or in furtherance of 
corrupt practice or fraudulent practice; 

 

“competent authority” means a person, body of person, 
organs or an agency competent to take actions as may 
be referred to or directed to it by the Authority under 
this Act; 

 

“competitive selection” means the method of procurement 
whereby consultants or providers of services are 
invited by the procuring entity to compete with each 
other in submitting either unpriced or priced tenders, 
where the tenders are evaluated either on the basis of 
quality or on the basis of a combination of quality and 
cost; 




No. 7 Public Procurement 2011 

 

 

 

“collusive practices” means impairing or harming, or 
threatening to impair or harm directly or indirectly, any 
part or the property of the Party for the purpose of 
influencing improperly the action or a part or in 
connection with public procurement or government 
contracting or in furtherance of a corrupt practice or a 
Fraudulent Practice; 

 

“competitive tendering” or “tendering” means the method of 
procurement whereby suppliers, contractors or 
consultants are invited by the procuring entity to 
compete with each other in submitting priced tenders 
for goods, works or services; 

 

“consultant” means a firm, company, corporation, 
organisation, partnership or an individual person 
engaged in or able to be engaged in the business of 
providing services in architecture, economics, 
engineering, surveying or any field of professional 
services, and who is, according to the context, a 
potential party or the party to a contract with the 
procuring entity; 

 

“consultancy services” means activities of an intellectual 
and advisory nature that do not lead to a measurable 
physical output and includes design, supervision, 
training, advisory, auditing, software development and 
similar services; 

 

Cap.103 

“contracting authority shall have a meaning ascribed to it 
under the Public Private Partnership Act; 

 

“contractor” means a firm, company, corporation, 
organisation, partnership or an individual person 
engaged in civil, electrical or mechanical engineering 
or in construction or building work of any kind 
including repairs and renovation, and who is, according 
to the context, a potential party or the part to a 
procurement contract with the procuring entity; 




No. 7 Public Procurement 2011 

 

 

 

“corrupt practice means the offering, giving receiving or 
soliciting of anything of value to influence the action 
of a public officer in the procurement process or 
contract execution; 

 

“defence and national security organs" means the Tanzania 
Peoples Defence Forces, the Tanzania National 
Service, Tanzania Police Force, Tanzania Prisons 
Service, Tanzania Intelligence Security Services, the 
National Security Council and the Prevention and 
Combating of Corruption Bureau; 

 

“Department” in relation to a Ministry of the Government or 
other public authority or public body, includes any 
division or unit by whatever name known of that 
ministry, authority or other body; 

 

“digital signature” means an electronic signature based upon 
cryptographic methods of originator authentication, 
computed by using a set of rules and parameters such 
that the identity of the signer and the integrity of the 
data can be verified; 

 

 

 

 

 

 

 

 

Cap.257 

“disposal" means the divestiture of public assets including 
intellectual and proprietary rights and goodwill, and any 
other rights of a procuring and disposing entity by any 
means, including sale, hire - purchase, licences, tenancies, 
rental, lease, franchise, auction or any combination however 
classified other than those regulated by the Public 
Corporation Act; 

 

"disposal process" means the successive stages in the disposal 
cycle, including planning, choice of procedure, measures to 
solicit offers from tenderers, examination and evaluation of 
those offers and award of contract; 

 

“e-procurement” means the use of information and 
communication technology by the Government in 
conducting procurement functions; 

 

“emergency procurement” means procurement of goods, works or 
services essentially to meet an emergency situation which 
cannot be done through normal procurement process; 




No. 7 Public Procurement 2011 

 

 

 

“fraudulent practice” means a misrepresentation of facts in order 
to influence a procurement process or the execution of a 
contract to the detriment of the Government or a public 
body and includes collusive practices among tenderers, prior 
to or after submission designed to establish tender prices at 
artificial non-competitive levels and to deprive the 
Government of the benefits of free and open competition; 



 

 

“goods” means raw materials, products, equipment and other 
physical objects of every kind and description, whether in 
solid, liquid or gaseous form, electricity, intangible asset and 
intellectual property, as well as services incidental to the 
supply of the goods provided that the value of the services 
does not exceed the value of the goods themselves; 

 

“government” means the Government of the United Republic of 
Tanzania; 

 

"guidelines" means directives issued by the Public Procurement 
Regulatory Authority under this Act; 

 

“false representation” means a misrepresentation of fact made by 
one party to another with intent to deceive and with the 
knowledge that it is false; 

 

“highest evaluated price” means the price offered by a tenderer for 
revenue collection services or for the asset to be disposed of, 
that is found to be the highest after considering relevant 
factors specified in the tender documents and apportioning 
weight for such factors; 

 

“Independent Government Department” means a Department of 
the Government that is not under the direct control of the 
parent Ministry; 

 

 

Caps.287 and 
288 

"local government authority" means a local government authority 
established under the Local Government (District Authority) 
Act or local government authority established under the 
Local Government (Urban Authority) Act; 

 

“lowest evaluated cost” means the price offered by a tenderer that 
is found to be the lowest price after consideration of all 
relevant factors and the calculation of any weighing for these 
factors, provided that such factors have been specified in the 
tender documents; 




No. 7 Public Procurement 2011 

 

 

 

“Minister” means the Minister for the time being responsible for 
finance; 

 

“non consultancy services” means any object of procurement other 
than goods, works and consultancy services; 

 

“obstructive practice” means acts intended to materially impede 
access to required information in exercising a duty under this 
Act; 

 

“parastatal organisation” means - 

Cap.212 

(i) a body corporate established by or under any Act other 
than the Companies Act; 




 

(ii) any corporation registered under the Companies Act, 
in which not less than fifty percent of the share capital 
is owned by the Government or by another parastatal 
organisation, or in the case of a company which is 
limited by guarantee, where the Government has 
undertaken to meet fifty percent or more of the 
liabilities of that company; or 




 

 

 

 

Cap.245 

(iii) any company, management, board, association or 
statutory body in which the Government has a 




 

majority or controlling interest and includes a government 
agency established under the Executive Agencies Act; 

 

Cap 348 

“Paymaster General” has the meaning ascribed to it under the 
Public Finance Act; 

 

“person” includes any association of persons whether 
incorporated or not; 



 

 

“post-qualification” means a due diligence procedure applied 
after tenders have been evaluated prior to award of contract, 
to determine whether or not the lowest evaluated tenderer 
has the experience, capability and resources to carry out the 
contract effectively; 




No. 7 Public Procurement 2011 

 

 

 

“pre-qualification” means a formal procedure whereby 
suppliers, contractors or consultants are invited to submit 
details of their resources, and capabilities which are 
screened prior to invitation to tender on the basis of 
meeting the minimum criteria on experience, resources, 
capacity and financial standing; 

 

"procuring entity" means a public body and any other body, or 
unit established and mandated by government to carry out 
public functions; 

 

“procurement” means buying, purchasing, renting, leasing or 
otherwise acquiring any goods, works or services by a 
procuring entity and includes all functions that pertain to 
the obtaining of any goods, works or services, including 
description of requirements, selection and invitation of 
tenderers, preparation and award of contracts; 

 

“procurement contract” means any licence, permit, or other 
concession or authority issued by a public body or entered 
into between a public body and a supplier, contractor or 
consultant, resulting from procurement proceedings for 
carrying out construction or other related works or for the 
supply of any goods or services; 

 

“procurement expert or specialist” means a person who is 
engaged in a profession, occupation or calling in which 
recourse to procurement is directly or indirectly involved 
and has such knowledge and experience of the practice of 

 

 procurement and has been certified or registered by the 
Procurement Supplies Professional and Technician Board; 

 

"Procurement Management Unit" means a division or 
department in each procuring entity responsible for the 
execution of the procurement functions; 

 

“procurement proceedings” means the proceedings to be 
followed by a procuring entity or any approving authority 
when engaging in procurement; 




No. 7 Public Procurement 2011 

 

 

 

"procurement process" means the successive stages in the 
procurement cycle, including planning, choice of 
procedures, measures to solicit offers from tenderers, 
examination and evaluation of those offers, award of 
contract and contract management; 

 

“Procurement Professional Body” means the Procurement and 
Supplies Professionals and Technicians Board; 

 

“public asset” means any property owned by the public body 
tangible and intangible, including but not limited to 
physical property, land, shares or proprietary rights”; 

 

“public body or public authority” means - 

 

(i) any Ministry, Department or Agency of the 
Government; 




 

(ii) any body corporate or statutory body or authority 
established by the Government; 




 

 

Cap. 212 

(iii) any company registered under the Companies Act 
being a company in which the Government or an 
agency of the Government, is in the position to 
influence the policy of the company; or 




 

(iv) any local government authority; 




 

“public funds” means monetary resources appropriated to 
procuring entities through budgetary processes, including 
the Consolidated Fund, grants, loans and credits put at the 
disposal of the procuring entities by local or foreign donors 
and revenues generated by the procuring entities; 

 

“public officer” or “officer” means:- 

 

(i) any person holding or acting in an office of 
emolument in the public service; 




 

(ii) a person holding or acting in the office of a 
Minister in the Government; 




 

(iii) an employee of any body corporate referred to in 
the definition of public body or public authority; 




 

(iv) a person who has been a public officer; 







No. 7 Public Procurement 2011 

 

 

 

 

Cap. 103 

“Public Private Partnership” shall have a meaning ascribed to it 
under the Public Private Partnership Act, 2010; 

 

“services” means both consultancy and non consultancy 
services; 

 

“solicited private Partnership Projects” means proposals for Public 
Private Partnership Projects that are initiated by public bodies 
and represent Government’s priority programs; 

 

“specification” means a description of any commodity or works 
by reference to its nature, quality, strength, purity, 
composition, quantity, dimensions, weight, grade, durability, 
origin, age or other characteristics or to any substance or 
material of, or with which, or the manner in which, any 
commodity or works may be manufactured, produced, 
processed, treated, built or installed; 

 

“successful tender” means a tender evaluated and selected by 
the procuring entity as- 

 

(i) offering the lowest evaluated cost and has the 
capacity and capability to execute the contract, in 
case the method of procurement used was 
competitive tendering; or 

 

(ii) being the most responsive to the needs of the 
procuring entity if procurement used was 
competitive quotations, single source 
procurement, competitive selection or where 
goods or services of minor value were procured; 

 

(iii) the highest evaluated price; 

 

“supplier” means company, corporation, organisation, 
partnership or individual person supplying goods or 
services, hiring equipment or providing transport services 
and who is, according to the contract, a potential party or 
the party to a procurement contract with the procuring 
entity; 

 

“tender” means an offer, proposal or quotation made by a 
supplier, contractor or consultant in response to a request 
by a procuring entity; 




No. 7 Public Procurement 2011 

 

 

 

“tender document” means a written or electronic document or 
request for proposal inviting tenderers to participate in 
procuring or disposal by tender proceeding and includes 
document inviting potential tenderer for pre-qualification; 

 

“tenderer” means any natural or legal person or group of such 
persons participating or intending to participate in 
procurement proceeding with a view to submitting a 
tender in order to conclude a contract and includes a 
supplier, contractor service provider or asset buyer; 

 

“terms of reference” means the statement issued by the 
procuring entity giving the definition of the objectives, 
goals and scope of the services, including where 
applicable the means to be used; 

 

“unsolicited Private Partnership Projects” means a proposals 
that are initiated by a private sector party to a public 
institution for consideration as Public Private Partnership 
Project; 

 

“works” means - 



 

 

(i) all works associated with the construction, 
reconstruction, demolition, repair or renovation of 
a building, structure, road or airfield; 




 

(ii) any other civil works, such as site preparation, 
excavation erection, building, installation of 
equipment or materials, decoration and finishing; 
and 




 

(iii) service which is tendered and contracted on the 
basis of performance of a measurable physical 
output such as drilling, mapping, satellite 
photography or seismic investigations: 




 

 Provided that, contracts which include the provision of 
works and services shall be regarded as works contracts if the 
total value of the works is greater than the value of the services 
covered by the contract. 



 

 


No. 7 Public Procurement 2011 

 

 

Interna-
tional 
obligation 

 4.-(1) To the extent that this Act conflicts with an 
obligation of the United Republic under or arising out of - 

 

(a) any treaty or other form of agreement to which the 
Government is a party with one or more other 
states or political sub-divisions of such states; or 




 

(b) any grant agreement entered into by the 
Government with an inter-governmental or 
international financing institution in which the 
Government is the beneficiary, 




 

the requirement of such treaty or agreement shall prevail, but in 
all other respects, the procurement shall be governed by this 
Act. 

 

 (2) Where the Government enters into any treaty or other 
form of agreement which favours an external beneficiary, then - 

 

(a) procurement made through contributions made by 
the Government shall be undertaken in the United 
Republic through national suppliers, contractors 
or consultants; 




 

 

(b) all relevant insurances shall be placed with 
companies registered in the United Republic; 




 

(c) supplies shall be transported in carriers registered 
in the United Republic. 




 

 (3) Where, for reasons of limitations of capacity, national 
suppliers, contractors or consultants are unable to satisfy 
wholly or in part, the specific procurement requirements, they 
shall be offered a preferential opportunity to participate in the 
procurement or disposal by tender process of the beneficiary 
entity (in conjunction with firms in that country) and where 
applicable to offer such requirements from third sources. 

 

 (4) A derogation from the application of subsections (1) 
and (2) may be applied to the Authority by the competent 
agency responsible for the procurement or disposal in question 
with supporting documentation and justification. 

 

 




 

No. 7 Public Procurement 2011 

 

 

PART II 

PUBLIC PROCUREMENT POLICY DIVISION 

 

 

Establish-
ment of 
Public 
Procurement Policy 
division 

 5.-(1) There shall be established, under the Ministry 
responsible for Finance a Public Procurement Policy Division. 

 (2) The Public Procurement Policy Division shall be 
headed by a person with appropriate academic and professional 
qualifications and experience of not less than ten years in 
procurement related functions. 

 

 

Functions 
of the 
Public 
Procure-
ment 
Policy 
Division 

 6.-(1) The functions of the Public Procurement Policy 
Division shall be to- 

(a) develop a National Procurement Policy; 




(b) review procurement policies, regulations, circulars 
and other related directives with a view of updating 
the same; 




 

(c) monitor the implementation of Public Procurement 
Policies; 




 

(d) advise the Central Government, local governments 
and statutory bodies on issues related to 
procurement policies; and 




 

(e) develop and manage procurement cadre. 




 

 (2) For the purpose of subsection (1), the Public 
Procurement Policy Division shall - 

 

(a) design and implement public procurement 
advisory mechanisms; 




 

(b) monitor, evaluate and review public procurement 
systems; 




 

(c) study and mainstream best public procurement 
systems; 




 

(d) analyse public procurement issues and challenges, 
advise, provide guidance and follow-up on their 
implementation; 







No. 7 Public Procurement 2011 

 

 

 

(e) develop, implement, monitor and evaluate 
mechanisms for involvement of small and medium 
scale enterprises in public procurement markets; 




 

(f) conduct research and other studies on public 
procurement and advise, 




 

(g) harmonize public procurement systems in the 
country and monitor their implementation; 




 

(h) advise on applications for retrospective approval; 




 

(i) monitor and evaluate performance of public 
procurement institutions; 




 

(j) develop public procurement and supplies cadre; 




 

(k) develop capacity structure, human resources and 
succession plans for procurement and supplies 
staff; 




 

(l) build capacity of procurement and supplies staff; 




 

(m) develop and maintain database for procurement 
and supplies staff; 




 

(n) provide inputs and advise for the development of 
public procurement and supplies curricula; 




 

(o) facilitate appointments of heads of procurement 
management units and transfer of procurement and 
supplies staff; 




 

(p) manage the establishment of Procurement 
Management Units; 




 

(q) liaise with training institutions on issues related to 
capacity building of procurement staff; 




 

(r) link the Government with stakeholders on issues 
related to Public Sector Procurement; and 




 

(s) liaise with procurement professional bodies on 
matters related to professionalization of the 
procurement cadre. 






 

 

 

 

 


 

No. 7 Public Procurement 2011 

 

 

PART III 

THE PUBLIC PROCUREMENT REGULATORY AUTHORITY 

 

 

Establishment 

of the 
Authority 

7.-(1) There is established an authority to be known as 
the Public Procurement Regulatory Authority. 

 

 (2) The Authority shall have all the powers necessary 
or expedient for the performance of its functions and shall- 

 

(a) be a body corporate with perpetual succession 
and a common seal; 




 

(b) in its corporate name, be capable of 




 

(i) suing and be sued; 

 

(ii) holding, purchasing and otherwise 
acquiring and disposing of movable or 
immovable property; 

 

(iii) entering into any contract or other 
transactions; and 

 

(c) exercise the powers and perform the functions 
conferred upon it by or under this Act; and 




 

(d) do or suffer to do all acts and things, which a 
body corporate may lawfully perform, do or 
suffer to be done. 




 

 (3) The application of the common seal of the 
Authority on any document shall be authenticated by the 
signature of the Chief Executive Officer. 

 

 (4) A document purporting to be an instrument 
issued by the Authority sealed with the seal of the Authority 
and authenticated in accordance with subsection (3), shall be 
deemed to be an instrument of the Authority and shall be 
received as evidence without further proof. 

 

 (5) Notwithstanding the preceding provisions of this 
section, and the Authority having the status of a body 
corporate, the Attorney General shall have the right to 
intervene in any suit or matter instituted by or against the 
Authority. 




No. 7 Public Procurement 2011 

 

 

 

 

 

 

 

Cap.5 

 

 (6) Where the Attorney General intervenes in any 
matter in pursuance of subsection (5), the provisions of the 
Government Proceedings Act, shall apply in relation to the 
proceedings of that suit or matter as if it had been instituted 
by or against the Government. 

 

 

Objectives of 
the 

Authority 

 8. The objectives of the Authority shall be to- 

(a) ensure the application of fair, competitive, 
transparent, non-discriminatory and value for 
money procurement standards and practices; 




 

(b) set standards for the public procurement systems 
in the United Republic of Tanzania; 




 

(c) monitor compliance of procuring entities; and 




 

(d) build, in collaboration with Public Procurement 
Policy Division and other relevant professional 
bodies, procurement capacity in the United 
Republic. 




 

 

Functions of 
the Authority 

 9.-(1) The functions of the Authority shall be to- 

 

(a) advise Government, local government 
authorities and statutory bodies on procurement 
principles and practices; 




 

(b) monitor and report on the performance of the 
public procurement systems in the United 
Republic of Tanzania and advise on desirable 
changes; 




 

(c) prepare, update and issue authorized versions of 
the standardized tendering documents, 
procedural forms and any other attendant 
documents to procuring entities; 







No. 7 Public Procurement 2011 

 

 

 

 

 

(d) ensure in collaboration with relevant 
professional bodies, that any deviation from the 
use of the standardized tendering documents, 
procedural forms and any other attendant 
documents is effected only after prior written 
approval of the Authority; 




 

(e) issue guidelines under this Act; 




 

(f) organize and maintain a system for the 
publication of data on public procurement 
opportunities, awards and any other 
information of public interest as may be 
determined by the Authority; 




 

(g) conduct periodic inspections of the records and 
proceedings of the procuring entities to ensure 
full and correct application of this Act; 




 

(h) monitor the award and implementation of 
public contracts with a view to ensuring that: 




 

(i) such contracts are awarded impartially 
and on merit; 




 

(ii) the circumstances in which each contract 
is awarded or terminated, do not involve 
impropriety or irregularity; 




 

(iii) without prejudice to the functions of any 
public body in relation to any contract, 
the implementation of each contract 
conforms to the terms thereof.; 




 

(i) institute: 

 

(i) procurement audits during the tender 
preparatory process; 




 

(ii) contract audits in the course of execution 
of an awarded tender; and 




 

(iii) performance audit after the completion 
of the contract in respect of any 
procurement as may be required; 







No. 7 Public Procurement 2011 

 

 

 

 

 

(j) determine, develop, introduce, maintain and 
update related system to support public 
procurement by means of information and 
communication technologies including the use 
of public electronic procurement; 




 

(k) agree on a list, which shall be reviewed 
annually, of services and supplies in common 
use by more than one procuring entity which 
may be subject to common procurement; 




 

(l) administer and enforce compliance with the 
provisions of this Act, regulations and 
guidelines issued under this Act; 




 

(m) undertake research and surveys nationally and 
internationally on procurement matters; and 




 

(n) undertake any activity that may be necessary 
for the execution of its functions. 




 

 (2) For the purposes of discharging its functions under 
this Act, the Authority shall be entitled: 

 

(a) to be advised of the award and the variation of 
any public contract by the procuring entity 
responsible for such contract; 




 

(b) subject to section 12 to have access to all books, 
records, documents, or other property belonging 
to the procuring entity, tenderer whether in the 
possession of any officer of a procuring entity or 
a tenderer. 




 

(c) to have access to any premises or location where 
work on a public contract has been or is being or 
is to be carried out; 






 

 

 

 

 

 

 


No. 7 Public Procurement 2011 

 

 

 

(d) in relation to any matter which is the subject of 
investigation by the Authority, to have access to 
all books, records, documents or other property 
used in connection with the grant, issue, 
suspension or revocation of any prescribed 
license whether in the possession of any public 
officer or any other person; 




 

(e) have access to any premises or location where it 
has reason to believe that any book, records, 
document or any other property referred to in 
paragraph (d) or any property which is the 
subject of a prescribed licence, may be found; 




 

(f) within reasonable hours to enter any premises 
occupied by any person in order to make an 
enquiry or to inspect document, record or 
property as it considers necessary to any matter 
being investigated by it; and 




 

(g) subject to the provisions of sections 10 and 11, 
to retain any such document, record or other 
property referred to in paragraph (f). 




 

(3) Where - 

 

(a) the Authority has authorized a member of staff 
of the Authority to enter premises; and 




 

(b) the authorized officer is refused or prevented 
from gaining entry to the premise, 




 

a magistrate may on application, have power to issue a 
warrant authorizing any police officer to forcibly enter the 
premises to conduct the search and make copies or take 
extracts of documents therein. 

 

 (4) For the purposes of subsection (2), the Authority 
shall have power to require any procuring entity to furnish 
the Authority information with regard to the award of any 
public contract and such other information in relation thereto 
as the Authority considers desirable. 




No. 7 Public Procurement 2011 

 

 

 

 (5) For the purposes of paragraphs (d) and (e) of 
subsection (2), the Authority shall have power to require any 
public officer or any other person to furnish, in a manner and 
at such time as may be specified by the Authority, 
information with regard to the grant, issue, suspension or 
revocation of any prescribed licence and any other 
information in relation thereto as the Authority considers 
desirable. 

 

 

Scope of 
investigations 
by the 
Authority 

 10.-(1) Subject to subsection (2), the Authority may, if it 
considers necessary or desirable, conduct an investigation 
into any or all of the following matters: 

(a) the registration of contractors, suppliers or 
consultants in relation to the specific 
procurement; 




 

(b) tender procedures relating to contracts awarded 
by the public bodies; 




 

(c) the award of any public contract; 




 

(d) the implementation of the terms of any public 
contract; 




 

(e) the circumstances of the grant, issue, use, 
suspension or revocation of any prescribed 
license; 




 

(f) the practice and procedures relating to the grant, 
issue, suspension or revocation of any 
prescribed license. 






 

 

 (2) The Authority shall, with a prior written direction of 
the Paymaster General, investigate- 

 

(a) any public contract or any matters concerning any 
contract entered into for the purposes of defence 
or for the supply of equipment to the security 
forces; 







No. 7 Public Procurement 2011 

 

 

 

(b) the grant or issue of any prescribed licence for the 
purposes of defence or for the supply of 
equipment to the security forces and any report or 
comment thereon shall be made to the Pay-Master 
General or the Minister or to both. 




 

 

Initiation of 
investigation 

 11. An investigation carried out pursuant to section 10 
may be undertaken by the Authority on its own initiative or as 
a result of representations made to it, if in its opinion, such 
investigation is warranted. 

 

 

Procedure in 
respect of 
investigation 

 12. The Authority may adopt whatever procedure it 
considers appropriate to the circumstances of a particular case 
and, subject to the provisions of this Act, may obtain 
information from a person or persons and in a manner and 
make enquiries as it thinks fit. 

 

 

Evidence 

 13.-(1) Subject to the provisions of subsection (3) and 
section 10(1), the Authority may at any time require any 
officer or member of a public body or any other person who, 
in its opinion, is able to give any assistance in relation to the 
investigation of any matter pursuant to this Act, to furnish 
information and produce any document under his control. 

 

 (2) The Authority may summon before it- 

 

(a) any person who has made representations to it; or 




 

(b) any officer, member or employee of a public 
body, or any other person who, in the opinion of 
the Authority, is capable to furnish information 
relating to the investigation. 




 

 (3) No person shall, for the purposes of an investigation, 
be compelled to give an evidence or produce any document or 
thing, which he may not be compelled to give or produce in 
proceedings in any court of law. 




No. 7 Public Procurement 2011 

 

 

Restriction 
of disclosure 
of certain 
matters 

 14.-(1) Where the Pay-Master General is acting on his 
own initiative or at the direction of the Minister - 

 

(a) gives notice that the disclosure by the Authority 
or its employees of any document or information 
specified in the notice, or any class of document 
or information so specified, shall: 




 

(i) involve the disclosure of the deliberations 
or decision of the Government or the 
Cabinet, or any committee thereof, 
relating to matters of a secret or 
confidential nature and is likely to be 
injurious to the public interest; 




 

(ii) prejudice the relations of the United 
Republic with the government of any other 
country or with any international 
organization; or 




 

(iii) prejudice the detection of offences, 




 

the Authority, its employees or any member of its 
staff shall not communicate to any person for any 
purpose any document or information specified in the 
notice or any document or information of a class so 
specified; 

 

(b) certifies that the giving of any information or 
the answering of any question or production of 
any document would prejudice the security or 
defense of the United Republic, the Authority or 
its employees or staff shall not further require 
such information or answer to be given or such 
document or thing to be produced. 







No. 7 Public Procurement 2011 

 

 

 

 (2) Except as provided for in subsection (1), no regulation 
which authorizes or requires the refusal to answer any question 
or the withholding of any information, document or thing on 
the ground that the answering of the question or the disclosure 
of the information, document or thing may be injurious to the 
public interest, shall apply in respect of any investigation by or 
proceedings before the Authority or its staff. 

 

 

 

 

Procedure 
after 
investigation 

 15.-(1) The Authority shall, after conducting investigation 
under this Act and in writing, inform the Paymaster General 
and the relevant competent authority or the accounting officer 
of the public body concerned of the result of that investigation 
and make recommendations as it considers necessary in 
respect of the matter on which investigation was conducted. 

 

 (2) The Chief Executive Officer of the Authority may, 
where report of the Authority reflects adversely upon any 
person, so far as practicable, inform that person of the 
substance of the report. 

 

 

Disciplinary 
action 
against 
public 
officers 

 16.-(1) The Authority shall, where during the course of its 
investigation or on the conclusion thereof, it finds the evidence 
of breach of duty, misconduct or criminal offence on the part 
of an officer or member of a public body, refer the matter to 
the competent authority 

 

 (2) The Authority shall refer the matter to the person or 
persons competent to take disciplinary or any other appropriate 
proceedings against the officer or member and submit a 
special report to the Minister. 

 

 

 

 

Proceedings 
of the 
Authority 

 17. The proceedings of the Authority or its committees 
shall not be rendered void for want of form. 

 

 

 

 

Powers 

of the 
Authority 

 18.-(1) The Authority shall, in the exercise of its 
regulatory functions, have powers to - 




No. 7 Public Procurement 2011 

 


 

(a) require any information, document, record and 
report in respect of any aspect of the public 
procurement process where a breach, wrongdoing, 
mismanagement or collusion has been alleged, 
reported or proven against any procuring entity or 
tenderer; 




 

(b) summon witnesses, call for the production of 
books of accounts, plans, documents and examine 
witnesses and parties concerned on oath; 




 

(c) commission or undertake investigations and 
institute procurement, contract and performance 
audits; 




 

(d) cause to be inspected any procurement transaction 
to ensure compliance with tender award by a 
procuring entity; 




 

(e) act upon complaints by procuring entities, 
tenderers or any other entity or person; 




 

(f) commission any studies relevant to the 
determination of award of contracts; and 




 

(g) request any professional or technical assistance 
from any appropriate body or person in Tanzania 
or elsewhere. 




 

 (2) The Authority may- 

 

(a) require the chairman of a tender board or 
accounting officer of a public body: 




 

(i) to furnish any information or produce 
any record or any document relating to a 
contract; and 

 

(ii) to answer all relevant questions; 

 

(b) examine such records or other documents and 
take copies or extracts therefrom. 




 

 

Cancellation 
of 
procurement 
proceedings 

 19.-(1) Notwithstanding anything to the contrary provided 
for in any other written law, the Authority shall, after 
conducting an investigation is reasonably satisfied that there is 
a breach of this Act, the Regulations or any guideline - 




No. 7 Public Procurement 2011 

 

 

 

(a) direct the procuring entity to take such actions 
as are necessary to rectify the contravention; or 




 

(b) terminate the procurement proceedings. 




 

 (2) The Authority shall, within seven days prior to 
making a decision under subsection (1) (b), give the procuring 
entity and any other person whom it believes that his legal 
rights may be adversely affected by the decision an 
opportunity to make representations. 

 

 (3) The Authority shall incur no liability towards the 
procuring entity or any other person or body interested in the 
tender under review or investigation by virtue of invoking its 
powers under this section. 

 

 

 

 

Action on 
recommenda-tion of the 
Authority 

 20.-(1) The Authority shall, where there is persistent or 
serious breach of this Act or regulations or guidelines made 
under this Act, recommend to the competent authority- 

 

(a) the suspension of funds disbursements to any 
procurement financed by specific public funds 
where a breach has been established, to 
entities, not of Government or require the 
refund of the lost funds by such entities; 




 

(b) the replacement of the head of a Procurement 
Management Unit, the Chairman, or any 
member of a tender board, as the case may be; 




 

(c) the disciplining of the accounting officer, 
chairman or a member of the tender board, the 
head of procurement management unit, a 
member of evaluation committee or any other 
officer concerned with the procurement process 
in issue; and 




 

(d) the temporary transfer of the procurement 
functions of a procuring entity to a third party 
procurement agent. 







No. 7 Public Procurement 2011 

 

 

 

 (2) The competent authority shall respond in writing to 
the Authority’s recommendations on the actions taken within 
fourteen days from the date of receipt of such 
recommendations. 

 

 (3) The Authority shall, in its Annual Performance 
Evaluation Report include- 

 

(a) its audited findings and complaints investigated; 




 

(b) its recommended corrective measures in each 
case; 




 

(c) the response and actions taken by: 




 

(i) respective competent authority; and 


(ii) relevant law enforcement and oversight 
agencies; 




 

(d) any remedial measures taken. 




 

 

Establish-
ment and 
Composition 
of the Board 
of 

Directors 

 21.-(1) There is established a Board to be known as the 
Board of Directors of the Public Procurement Regulatory 
Authority. 

 (2) The Board shall be the governing body of the 
Authority. 

 

 (3) The Chairman and members of the Board shall be 
appointed from amongst persons of good standing and 
recognized for their high levels of professional, competence 
and integrity. 

 

 (4) The First Schedule to this Act shall have effect 
regarding the composition, appointment and procedures of the 
Board. 

 

 

Committees 
of 

the Board of 
Directors 

 22.-(1) The Board may establish such committees that 
may be necessary for the better carrying out of the functions of 
the Authority, but, in any case the committees shall not exceed 
five. 

 

 (2) The Board shall determine the terms of reference of 
the committees, their composition and their terms and 
conditions of service. 




No. 7 Public Procurement 2011 

 


Appoint-
ment of 
Chief 
Executive 
Officer 

 23.-(1) There shall be a Chief Executive of the 
Authority who shall be appointed by the President on such 
terms and conditions as the President determines on contract 
of four years subject to renewal for only one further term. 

 

 (2) The Chief Executive Officer shall be appointed from 
among the registered professionals save for lawyers, business 
administrators and economic development planners who has 
at least ten years of experience in either engineering, 
architecture, law, procurement and supplies management, 
quantity surveying, business administration, economic 
development planning or in any related fields and who have 
had substantial academic qualifications and experience in such 
fields including proven record of procurement experience. 

 

 (3) Subject to the general supervision and direction of the 
Board, the Chief Executive Officer shall be responsible for 
the- 

 

(a) management and operations of the Authority; 




 

(b) management of the funds, property and business 
of the Authority; 




 

(c) administration, organization and control of the 
officers and staff of the Authority; and 




 

(d) promotion of training and disciplining of the 
officers and staff of the Authority in accordance 
with their terms and conditions of appointment. 




 

 (4) The Chief Executive Officer shall be the accounting 
officer of the Authority and in discharging the duty imposed 
under this section, he shall, with necessary variations, be 
guided by the laws governing employment in the public 
service. 

 

 

Directors, 
consultants 
and other 
staff of the 

Authority 

 24.-(1) The Authority shall employ Directors who shall 
be principal assistants to the Chief Executive Officer, other 
officers and staff of such number and titles as may be 
necessary for the efficient discharge of the functions of the 
Authority on such terms and conditions as may be determined 
by the Board. 




No. 7 Public Procurement 2011 

 


 

 (2) The Authority may appoint consultants and experts 
of the Authority in various disciplines on such terms and 
conditions as the Authority may from time to time decide or 
determine. 

 

 (3) The Authority shall establish a competitive selection 
procedure for the appointment of all employees, consultants 
and experts. 

 

 (4) The Authority shall, comply with the competitive 
selection procedure established under subsection (3), 
whenever it appoints employees, consultants or experts. 

 

 (5) A person who was the chairman or a member of the 
Board, the Chief Executive Officer or an employee of the 
Authority shall not, during a period of twelve months after the 
expiration or termination of the term of office with the 
Authority- 

 

(a) enter into any contract of employment or supply 
of services to any person or organization who was 
subject of a contract with the Authority at the 
time when such person was the member, 
Chairman, Chief Executive Officer or employee 
of the Authority; 




 

(b) acquire or hold any financial interest, whether as 
an employee, partner, shareholder, officer or joint 
venture, in any business or organization supplying 
services to any person or organization who was 
subject of a contract with the Authority at the 
time when such person was the member, 
Chairman, Chief Executive Officer or employee 
of the Authority. 






 

Funds 

of the 
Authority 

 25.-(1) The funds of the Authority shall consist of- 

 

(a) money appropriated by Parliament; 




 

(b) loans or grants; 




 

(c) revenues collected from goods or services that are 
rendered by the Authority; 







No. 7 Public Procurement 2011 

 

 

 

(d) any other money received or made available to the 
Authority for the purposes of its functions; 




 

 (2) The Authority may charge and collect fees on 
documents. 

 

 (3) There shall be paid from the funds of the Authority - 

 

(a) the salaries, allowances of the staff of the 
Authority; 




 

(b) reasonable travelling, transport and subsistence 
allowance for members or members of any 
committee of the Authority when engaged on the 
business of the Authority, at such rates as the 
Minister may determine; and 




 

(c) any other expenses incurred by the Authority in 
the performance of its functions. 




 

 (4) The Authority may invest, in such manner as it 
considers fit, such amount of its funds which it does not 
immediately require for the performance of its functions. 

 

 (5) The Authority shall open and maintain bank accounts 
in banks approved by the Board. 

 

 

Books of 
accounts 

 26.-(1) The Authority shall maintain proper books of 
accounts and other records relating to its accounts and prepare 
an annual statement of accounts including the income and 
expenditure account and the balance sheet. 

 

 (2) The books of accounts and other records shall be open 
for inspection by the Minister or any person duly authorized 
by him in that behalf. 

 

 

 

 

Audit of 
accounts 

 27.-(1) The accounts of the Authority shall be audited by 
the Controller and Auditor-General. 




No. 7 Public Procurement 2011 

 

 

 

 (2) The Controller and Auditor-General and or other 
person appointed by him in connection with the auditing of the 
accounts of the Authority under this Act shall have the same 
rights, privileges and authorities in connection with such audit 
as the rights, privileges and authorities the Controller and 
Auditor-General has in connection with the auditing of 
Government accounts. 

 

 (3) The auditor to the Authority shall, for the performance 
of his duties under subsection (1), have access to all books of 
accounts, records, returns, reports and other documents 
relating to the Authority accounts at all reasonable times. 

 

 (4) The auditor to the Authority shall, in respect of each 
financial year, certify whether or not- 

 

(a) he has received all the explanations and other 
information necessary for the performance of his 
duties; 

 

(b) the accounts of the Authority have been properly 
kept; and 

 

according to the explanations and other information 
received, and the books of account, records, returns, 
reports and other documents relating to the Authority 
accounts produced to him, the accounts of the 
Authority reflect a true and accurate financial position 
of the Authority. 

 

 (5) The accounts of the Authority as certified by the 
Controller and Auditor-General or any other person appointed 
by him on his behalf together with the audit report shall be 
forwarded annually to the Board and the Minister. 

 

 (6) The Minister shall cause the accounts and the audit 
report received under subsection (5) to be laid before 
Parliament within three months of receiving the report or at the 
next sitting of Parliament, whichever comes first. 




No. 7 Public Procurement 2011 

 

 

Annual 
Manage-
ment Plan 
and budget 

 28.-(1) The Chief Executive Officer shall, not later than 
three months before the end of each financial year, prepare and 
submit to the Board an Annual Management Plan which 
include a budget for its approval for the next financial year. 

 

 (2) The Chief Executive Officer may at any time before 
the end of a financial year prepare and submit to the Board for 
approval any estimates supplementary to the budget of the 
current financial year. 

 

 

 (3) No expenditure shall be made out of the funds of the 
Authority unless that expenditure is part of the expenditure 
approved by the Board under the estimates for the fiscal year 
in which the expenditure is to be incurred, or in the 
supplementary budget for that year. 

 

 (4) Upon approval of an annual budget or any 
supplementary budget, the Board shall submit such budget to 
the Minister for approval. 

 

 (5) Subject to subsection (4), the Minister shall determine 
in respect of the Authority the amount of money which shall 
be treated as public funds to be credited to the Consolidated 
Fund and the amount of money which shall remain as funds of 
the Authority for its budgetary purposes. 

 

 

Annual 
Report 

 29.-(1) The Authority shall, within three months after the 
end of each financial year, submit to- 

 

(a) the Minister, an Annual Performance Evaluation 
Report in respect of that year's activities 
consisting of- 




 

(i) evaluation of the operations of the Authority 
and the annual management plan; 

 

(ii) an evaluation of operations of procuring 
entities in respect to compliance; 

 

(iii) audit findings, complaints investigated and 
corrective actions taken; 

 

(iv) any other information the Board may direct; 
and 




No. 7 Public Procurement 2011 

 

 

 

(b) the Controller and Auditor-General the 
accounts of the Authority for the financial year 
and the Annual Performance Evaluation Report. 

 

 (2) The Minister shall lay before the National Assembly 
the Annual Performance Evaluation Report within three 
months from the date of his receiving the report, or at the next 
sitting of Parliament, whichever event comes first. 

 

 (3) The Authority may, where circumstances require, 
prepare a special report on any matter relating to procurement 
to be submitted to the Minister. 

Internal 
Audits and 
Periodic 
Audit 
Reports 

 30. The Head of Internal Audit shall be responsible for 
the internal auditing of the Authority’s operations and shall 
submit to the Audit Committee with a copy to the Chief 
Executive Officer, quarterly report in respect of every three 
months of a financial year. 



 

PART IV 

INSTITUTIONAL ARRANGEMENTS 

 

Tender 
Boards 

 31.-(1) Except where it is provided otherwise in this 
Act, or regulations under this Act, each public body shall 
establish a tender board for procurement of goods, services, 
works and disposal of public asset by tender. 

 

 (2) The composition of tender board, the method of 
appointment of its members, and the procedures to be 
followed by such tender boards other than local government 
authority tender Board, shall be as prescribed in the Second 
Schedule to this Act. 

 

 

 

 

 

 

 

Cap.290 

 (3) The composition of local government authority 
tender board and the method of appointment of the 
members, and the procedures to be followed by such a 
tender board, shall be prescribed in Regulations made 
pursuant to the provisions of the Local Government 
Finances Act. 




No. 7 Public Procurement 2011 

 

 

 

 (4) The Regulations made pursuant to subsection (3) 
shall, inter alia, provide for the procedure under which a 
local government authority through its committee 
responsible for finance and planning shall perform its 
oversight function on public procurement matters. 

 

 (5) Members of the tender board shall be appointed on 
the basis of their technical competence required for the 
discharge of the functions of the tender board. 

 

 (6) A member of the tender board or committee 
thereof, who is a member of a company, firm or other body 
or is a partner or is in the employment of a person or a 
company or other body or is married to a person who has 
submitted an offer for the supply of goods or for the 
provision of services, execution of works or acquisition of 
public assets by tender in connection therewith which is the 
subject of consideration by the tender board, shall disclose 
the fact and shall not take part in the consideration or 
discussion of or vote on any question relating to such offer. 

 

 

 

 

Notification 
to the 
Authority of 
composition 
of tender 
board 

 32.-(1) The accounting officer shall inform the 
Authority of the composition of the tender board and the 
qualifications of its members not later than fourteen days 
from the date of its appointment. 

 (2) Where the organisational structure of a particular 
procuring entity is too small to be able to constitute a tender 
board, the Authority shall prescribe the procedure to be 
followed. 

 

 

Functions of 
tender boards 
and budget 
approving 
authority 

 33.-(1) The functions of the tender board shall be to- 

(a) deliberate on the recommendations from the 
Procurement Management Unit and approve 
award of contracts; 




 

(b) review all applications for variations, addenda or 
amendments to ongoing contracts; 




 

(c) approve tendering and contract documents; 







No. 7 Public Procurement 2011 

 

 

 

(d) approve procurement and disposal by tender 
procedures; and 




 

(e) ensure that best practices in relation to 
procurement and disposal by tender are strictly 
adhered by procuring entities. 




 

 (2) The budget approving authority shall, in respect of 
procurement, be responsible for- 

 

(a) reviewing and approving of Annual Procurement 
Plan based on its budget and action plan; 




 

(b) reviewing of quarterly procurement report 
submitted by the accounting officer; 




 

(c) ensuring that the organisation complies with the 
provisions of the Act and regulations; 




 

(d) ensuring that the authority’s recommendations 
with respect to established wrongdoings in 
procurement activities are implemented; and 




 

(e) disciplining of the staff implicated on 
wrongdoings under subparagraph(d). 




 

 (3) The budget approving authority may request the 
Authority to carry out procurement audits or investigations 
where it is not satisfied with the implementation of any 
procurement in the organisation. 

 

 

Powers of 
tender boards 

 34. In the exercise of their powers under this Act, tender 
boards may - 
(a) request for any professional or technical advice 
from any appropriate body or person in Tanzania or 
elsewhere, and 


 (b) examine such records or other documents and take 
copies or extracts therefrom; and 


 (c) do all such acts and things as they may be 
considered reasonable and justifiable to the 
attainment of their objects. 


 
Award of 
contracts 

 35.-(1) Notwithstanding any other enactment, no public body 
shall - 


No. 7 Public Procurement 2011 

 


 

(a) advertise, invite, solicit or call for tenders or 
proposals in respect of a contract unless authorised 
by the accounting officer; and 




 

(b) award any contract unless the necessary approvals 
have been granted. 




 

 (2) No person or firm shall sign a contract with any public 
body unless the award has been approved by the tender board. 

 

 (3) Any contract signed without prior approval of the tender 
board shall be null and void. 

 

 (4) The accounting officer shall seek approval of the Pay-
Master General or the respective budgetary approving authority 
prior to communicating to the tenderer the award the value of 
which exceeds the approved budget and the Pay-Master General 
or the respective budgetary approving authority shall, within 
fourteen working days, grant the approval otherwise the request 
shall be deemed to have been disapproved. 

 

 (5) The accounting officer who fails to comply with the 
provision of subsection (4) shall be held personally liable. 

 

 (6) The acceptance of a tender shall be communicated in 
writing by a registered post or electronically to a successful 
tenderer by the accounting officer. 

 

 

 

 

Functions and 
powers of 
accounting 
officer 

 36.-(1) The accounting officer shall have the overall 
responsibility for the execution of the procurement process in the 
procuring entity, and in particular, shall be responsible for: 

 

(a) establishing a tender board in accordance with this 
Act; 




 

(b) appointing the members of the tender board specified 
in the Second Schedule; 




 

(c) causing to be established a Procurement Management 
Unit staffed to an appropriate level; 




 

(d) approving all procurement opportunities; 




 

(e) appointing the evaluation committee and negotiation 
team; 




 

(f) communicating award decisions; 




 

(g) certifying the availability of funds to support the 
procurement activities; 




 

 

 

 




 

No. 7 Public Procurement 2011 

 

 

 

(h) signing contracts for the procurement activities on 
behalf of the procuring entity; 




 

(i) handling complaints by suppliers, contractors or 
consultants; 




 

(j) submitting a copy of complaints and reports of the 
finding to the Authority; 




 

(k) ensuring that the implementation of the awarded 
contract is in accordance with the terms and conditions 
of the award; 




 

(l) submitting to the Authority a list of contracts awarded, 
annual procurement plan and a list of blacklisted firms; 




 

(m) implementing decisions made by the Authority and 
Appeals Authority after investigation or adjudication 
of a complaint; 




 

(n) providing feedback on the implementation of the 
decision of the Authority or the Appeals Authority 
within fourteen days of receiving communicating of 
the decision. 




 

(2) The accounting officer may request for any professional 
or technical advice from any appropriate body or person in 
Tanzania or elsewhere if his entity does not have the required 
technical experts. 

 

 (3) The accounting officer may, before communicating 
award decision, require the tender board to provide a briefing of 
the award of a particular tender and may require the Chairman, 
any member of tender board or evaluation team or the 
Procurement Management Unit to produce any record or other 
documents relating to any tender and to answer all relevant 
questions. 

 

 (4) Where the accounting officer is not satisfied with the 
decision of the tender board, he shall: 

 

(a) return the decision to the tender board for review 
giving written reasons for the dissatisfaction; and 




 

(b) where not satisfied with the outcome of the 
review, refer the matter to the Authority for 
advice. 




 

 (5) The accounting officer shall be responsible for 
procurement decisions made by his procuring entity. 




No. 7 Public Procurement 2011 

 

 

Establishment 
and 
Composition 
of a 
Procurement 
Management 
Unit 

 37.-(1) There shall be established in every procuring entity a 
Procurement Management Unit staffed to an appropriate level. 

 (2) The Procurement Management Unit shall consist of 
procurement and other technical specialists together with the 
necessary supporting and administrative staff. 

 

 (3) The Procurement Management Unit shall be headed by a 
person with appropriate academic and professional qualifications 
and experience in procurement functions registered by the 
Procurement Professional Body. 

 

 (4) The Head of the Procurement Management Unit shall 
report directly to the accounting officer of the procuring entity. 

 

 (5) The accounting officer shall ensure that the Procurement 
Management Unit has a sub vote and is allocated fund in the 
budget to carry out its responsibilities under this Act. 



 

Functions of a 
Procurement 
Management 
Unit 

 38. The Procurement Management Unit shall - 

(a) manage all procurement and disposal by tender 
activities of the procuring entity except 
adjudication and the award of contract; 


(b) support the functioning of the tender board; 




 

(c) implement the decisions of the tender board; 




 

(d) act as a secretariat to the tender board; 




 

(e) plan the procurement and disposal by tender 
activities of the procuring entity; 




 

(f) recommend procurement and disposal by 
tender procedures; 




 

(g) check and prepare statements of requirements; 




 

(h) prepare tendering documents; 




 

(i) prepare advertisements of tender opportunities; 




 

(j) prepare contract documents; 




 

(k) issue approved contract documents; 




 

(l) maintain and archive records of the 
procurement and disposal process; 




 

(m) maintain a list or register of all contracts 
awarded; 




 

(n) prepare monthly reports for the tender board; 







No. 7 Public Procurement 2011 

 

 

 

(o) prepare and submit to the management meeting 
quarterly reports on the implementation of the 
annual procurement plan; 




 

(p) co-ordinate the procurement and disposal 
activities of all the departments of the 
procuring entity; and 




 

(q) prepare other reports as may be required from 
time to time. 




 

 

User 
department 

 39.-(1) The user department of a procuring entity shall 
perform the following functions- 

 

(a) liaise with and assist the Procurement 
Management Unit throughout the procurement 
or disposal by tender process to the point of 
contract placement; 




 

(b) initiate procurement and disposal by tender 
requirements and forward them to the 
Procurement Management Unit; 




 

(c) prepare technical inputs to statements of 
requirements and or terms of reference for 
procurement requirements to the Procurement 
Management Unit; 




 

(d) propose technical specifications to the 
Procurement Management Unit when 
necessary; 




 

(e) participate in tender evaluation; 




 

(f) certify for payments to suppliers, contractors or 
consultants; 




 

(g) report any departure from the terms and 
conditions of an awarded contract to the 
Procurement Management Unit; 




 

(h) forward details of any required contract 
amendments to the Procurement Management 
Unit for action; 







No. 7 Public Procurement 2011 

 

 

 

(i) maintain and archive records of contracts 
management; 




 

(j) prepare any reports required for submission to 
the Procurement Management Unit, the tender 
board or the accounting officer; 




 

(k) oversee contract implementation including 
reviewing and approving technical reports, 
design or any outputs as per contract; liaise with 
the Procurement Management Unit during 
budgeting; and 




 

(l) liaise with the Procurement Management Unit 
during budgeting. 




 

 (2) The user department shall prepare a schedule of 
requirements for procurement as part of the budget process, 
which shall be submitted to the Procurement Management 
Unit for compilation of annual procurement plan. 

 

 

 

 

Evaluation 
Committee 

 40.-(1) There shall be formed for each tender an 
evaluation committee which shall conduct the evaluation and 
report to the Procurement Management Unit. 

 

 (2) The membership of the evaluation committee shall 
be recommended by the Procurement Management Unit, in 
accordance with Regulations made under this Act, and 
approved by the accounting officer. 

 

 (3) The number of the members of the evaluation 
committee shall depend on the value and complexity of the 
procurement as specified in the Regulations made under this 
Act. 

 

 (4) Members shall be of an appropriate level of 
expertise and experience, depending on the value and 
complexity of the procurement requirement. 




No. 7 Public Procurement 2011 

 

 

 

 (5) Members of the evaluation committee may be 
external to the procuring entity, where the required skills or 
experience are not available within the procuring entity or 
where members are indisposed or have a conflict of interest. 

 

 

 (6) All members of the evaluation committee shall sign 
the Code of Ethics provided under the Regulations made 
under the Act, declaring that they do not have a conflict of 
interest in the procurement requirement. 

 

 

 (7) The meetings of the evaluation committee, the 
conduct of the evaluation and the evaluation methodologies 
shall be executed in accordance with the regulations and 
guidelines made under this Act. 

 

 

 

 

Independence 
of functions 
and powers 

 41. Subject to the provisions of this Act, the accounting 
officer, the tender board, the Procurement Management Unit, 
the user department and the Evaluation Committee shall act 
independently in relation to their respective functions and 
powers. 



 

Delegation of 
powers 

by the 
accounting 
officer 

 42.-(1) An accounting officer may, in accordance with 
the terms and conditions specified in the regulations made 
under this Act, delegate the procurement function of the 
procuring entity to- 

(a) a sub-division of that entity; 


(b) another procuring entity; or 


(c) a third party procurement agency. 




 

 

 (2) An accounting officer may delegate to a head of 
department within the same procuring entity, his authority to 
procure up to a limit not exceeding that which is specified in 
the regulations and such delegation shall be made in writing in 
accordance with the procedures stipulated in the regulations. 




No. 7 Public Procurement 2011 

 

 

Third party 
procurement 

 43.-(1) Where there is lack of technical capacity and, 
subject to the procedures laid down in the regulations, a 
procuring entity may engage the Agency or third party 
procurement services. 

 

 (2) The accounting officer of a procuring entity shall, in 
deciding to invite third party procurement services- 

 

(a) ensure that funds are available to pay in full and 
on time for those services; 




 

(b) follow the procedures laid down in the 
regulations. 




 

 

Procurement 
procedure for 
the Authority 
and Appeals 
Authority 

 44.-(1) Procurement activities of the Authority and of the 
Appeals Authority shall be contracted out to the Agency in 
accordance with procedures stipulated in the regulations made 
under this Act. 

 (2) Without prejudice to subsection (1), procurement of 
minor value items not exceeding the limits prescribed in the 
Regulations shall be procured by the Authority or the Appeals 
Authority. 

 

Disagreements in 
decisions 

 45. Disagreements between a tender board and an 
accounting officer, a tender board and a Procurement 
Management Unit and an evaluation committee or a user 
department concerning any decision pertaining to the 
recommendation for the award of contract, application or 
interpretation of any procurement method, process or practice 
save for section 36(4), shall be resolved in accordance with 
the procedures set out in the regulations made under this Act. 

 

 

 

 

Confidentiality of 
documents 

 46.-(1) A person having an official duty or being 
employed in the administration of this Act or engaged as a 
consultant to the procuring entity shall consider and deal with 
all documents and information relating to the functions of the 
procuring entity as confidential. 




No. 7 Public Procurement 2011 

 

 

 

 (2) Subject to section 10 no person in possession of or 
control over any document or information relating to any 
business or transaction of the procuring entity shall 
communicate or attempt to communicate any information 
contained in such document or pass on such documents to any 
person other than the Accounting officer, a member of the 
tender board or the Procurement Management Unit. 



 

PART V 

PUBLIC PROCUREMENT PRINCIPLES 

 

Standards 
of equity 

 47. Procuring entities shall, in the execution of their 
duties, strive to achieve the highest standards of equity, taking 
into account- 

 

(a) equality of opportunity to all tenderers; 




 

(b) fairness of treatment to all parties; and 




 

(c) the need to obtain the best value for money in terms 
of price, quality and delivery having regard to set 
specifications and criteria. 

 

 

Duties of 
procuring 
entities 

 48.-(1) Notwithstanding anything to the contrary contained 
in any written law, where any expenditure is to be incurred on 
any procurement of goods, works or services, it shall be the duty 
of - 

 

Cap.348 

(a) the accounting officer designated as such under the 
Public Finance Act, 




Cap.290 

(b) the accounting officer designated as such under the 
Local Government Finances Act; or 




 

(c) in respect of any other public body, the chief 
executive officer of that public body, 




 

to ensure the procurement of goods, works or services is in 
accordance with the procedures prescribed under this Act or 
Regulations. 




No. 7 Public Procurement 2011 

 

 

 

 (2) The head of internal audit of each public body shall in 
his quarterly audit report include a report on whether this Act 
and Regulations made under it has been complied with and the 
accounting officer upon receiving such report shall submit a 
copy thereof to the Authority. 

 

 (3) The external auditor of every public body shall, in his 
annual report, state whether subsection (1) has been complied 
with. 

 

 (4) Subject to subsection (5) every Accounting officer shall 
be accountable for failing to comply with the provisions of 
subsection (1). 

 

 (5) Where an accounting officer satisfies the Authority 
that he had, in accordance with the provisions of any rules or 
Regulations made under this Act, delegated his functions under 
subsection (1) to any other person or committee, then such other 
person or every member of the committee shall also be 
accountable for the failure to comply with the provisions of 
subsection (1). 

 

 (6) The Authority shall, in the case of any failure to 
comply with the provisions of subsection (1), take appropriate 
corrective or punitive measures as it may consider necessary. 



 

Approval 
of 

annual 
procurement plan 

 49.-(1) A procuring entity shall prepare its annual 
procurement plan in a rational manner and in particular 
shall- 

(a) avoid emergency procurement wherever 
possible; 




 

(b) aggregate its requirements wherever possible, 
both within the procuring entity and between 
procuring entities, to obtain value for money 
and reduce procurement costs; 






 

 

 

 


No. 7 Public Procurement 2011 

 

 

 

(c) avoid splitting of procurement to defeat the 
use of appropriate procurement methods 
unless such splitting is to enable wider 
participation of local consultants, suppliers or 
contractors in which case the Authority shall 
determine such an undertaking; and 




 

(d) integrate its procurement budget with its 
expenditure programme. 




 

 (2) The annual procurement plan shall be approved by 
an appropriate budget approving authority. 

 

(3) The procuring entity shall observe the approved 
annual procurement plan and any unplanned procurement 
shall get a prior written approval of the accounting officer. 

 

 

Procurement of 
common 
used 
items and 
services 

 50.-(1) The procuring entity shall, for the purpose of 
efficiency of procurement process and reduction of 
procurement transaction costs within and across public 
bodies, engage in closed or open framework agreements in 
accordance with the procedures prescribed in the Regulations 
where it is determined that: 

 

(a) the need for the subject matter of procurement 
is expected to arise on a repeated basis during 
a given period of time; 




 

(b) by virtue of the nature of the subject matter of 
the procurement, the need for it may arise on 
an urgent basis during a given period of time; 
and 




 

(c) other grounds and circumstances that justify 
recourse to a framework agreement procedure. 




 

 (2) The Agency shall, in collaboration with the 
Authority set procedures for procurement of common use 
items and services by procuring entities through framework 
agreements. 




No. 7 Public Procurement 2011 

 

 

 

 (3) For the purpose of this section, “closed or open 
framework agreement” means an agreement with specified 
terms and conditions with or without an agreed price, 
respectively. 

 

 

 

 

Qualifica-
tions of 
tenderers 

 51.-(1) Tenderers shall, in order to participate in 
procurement proceedings, have to qualify by meeting 
appropriate criteria set out in accordance with this Act and 
Regulations made under it. 

 

 (2) Local tenderers wishing to participate in any 
procurement proceeding shall satisfy all relevant 
requirements for registration with appropriate statutory 
bodies in Tanzania. 

 

 (3) Foreign tenderers wishing to participate in the 
proceedings are exempted from the requirement of 
subsection (2), but where as a result of the procurement 
proceedings, any foreign tenderer is selected as having 
submitted the lowest evaluated responsive tender or the best 
ranked proposal, such a tenderer shall register with the 
appropriate professional statutory body and shall be required 
to submit evidence of registration as an approved supplier, 
contractor or consultant in Tanzania. 

 

 (4) Subject to sections 53 and 54 of this Act, any 
qualification criteria shall be made known to, and apply 
equally to all tenderers and a procuring entity shall impose no 
discriminatory criteria, requirement or procedure with respect 
to the qualifications of any tenderer. 

 

 

Pre-
qualifi-
cation 
procee-
dings 

 52.-(1) A procuring entity may engage in pre-
qualification proceedings with a view to identifying tenderers 
prior to inviting tenders for the procurement of goods, works 
or services. 

 (2) The circumstances and procedures for pre-
qualification shall be prescribed in the regulations made 
under this Act. 




No. 7 Public Procurement 2011 

 

 

Post-
qualifica-
tion 

 53.-(1) The procuring entity shall, where tenderers have 
not been pre-qualified, determine whether the tenderer whose 
tender or proposal has been determined to offer the lowest 
evaluated tender, in the case of procurement or the highest 
evaluated tender in the case of disposal of public assets by 
tender, has the legal capacity, capability and resources to 
carry out effectively the contract as offered in the tender 
before communicating the award decision. 

 

 (2) The criteria to be met shall be set out in the 
tendering documents and if the tenderer does not meet any of 
these criteria, the tender shall be rejected and the procuring 
entity shall make a similar determination for the next lowest 
evaluated tenderer, in the case of procurement or the next 
highest evaluated tender, in the case of disposal of public 
assets by tender. 

 

 (3) In case of a foreign company, the procuring entity 
shall seek the reference of legal existence of the tenderer 
from Tanzania Diplomatic Mission abroad or from any other 
reliable source. 

 

 (4) A procuring entity shall require a tenderer who has 
submitted a lowest evaluated tender in the case of 
procurement or highest evaluated tender in the case of 
disposal by tender to demonstrate again its qualifications 
before the award of contract is confirmed. 

 

 (5) The criteria and procedures to be used in subsection 
(4) shall be the same as those used in the pre-qualification 
proceedings set out in section 52 of this Act and shall be 
specified in the tendering documents prepared by the 
procuring entity. 

 

 (6) The procuring entity shall, where tenderer with the 
lowest or highest evaluated tender fails to post-qualify, reject 
its tender and select the next lowest or highest evaluated 
tender from the remaining tenders, provided that the 
procuring entity has a right to reject all remaining tenders in 
accordance with section 59. 




No. 7 Public Procurement 2011 

 

 

National 
prefere-
nces 

 54.-(1) Tenderers are allowed to participate in 
procurement proceedings without regard to their nationality, 
except where the procuring entity has limited participation in 
procurement proceedings on the basis of nationality in 
accordance with this Act, the Regulations, or any provisions 
of any other written law. 

 

 (2) The procuring entity shall, when procuring goods, 
works or services by means of international or national 
tendering, or when evaluating and comparing tenders, grant a 
margin of preference for the benefit of tenders for certain 
goods manufactured, mined, extracted or grown in the United 
Republic, for works by Tanzania contractors or services 
provided by Tanzania consultants, provided that this is 
clearly stated in the tender documents subject to the 
provisions prescribed in the regulations made under this Act. 

 

 (3) Tanzania contractors or consultants shall be eligible 
to be granted a margin of preference as provided for in 
subsection (2) only if they meet the following criteria - 

 

(a) for individual companies - 




 

(i) are incorporated or registered in the United 
Republic of Tanzania; 

 

(ii) majority of the paid up share capital of the 
company is owned either by the 
Government or by citizens of Tanzania; 

 

(iii) there is no arrangement whereby any major 
part of the net profits or other tangible 
benefits of the domestic company will 
accrue or be paid to persons who are not 
citizens of Tanzania or to companies which 
would not be eligible under this section. 

 

(b) for joint ventures of local companies - 

 

(i) individual member companies are 
incorporated or registered in the United 
Republic; 




No. 7 Public Procurement 2011 

 

 

 

(ii) majority of the paid up share capital of 
the individual companies are held by 
citizens of Tanzania; 

 

(iii) the joint venture itself is registered in 
Tanzania; 

 

(iv) do not have arrangement whereby any 
major part of the net profits will accrue 
or be paid to persons who are not 
citizens of Tanzania or to companies 
which would not be eligible under this 
section; 

 

(c) for partners or individual persons trading as 
contractors or consultants the majority are held 
by citizens of Tanzania. 

 

 

 (4) For all procurement under international and national 
competitive tendering, incentives set out in the Regulations 
made under this Act, shall be used to encourage foreign firms 
to team up with Tanzanian tenderers in the form of joint 
venture or subcontracting arrangements in the tender process 
and in the execution of the contract. 

 

 

 

 

Exclusive 
preference to local 
persons or 
firms 

 55.-(1) Where financial resources are exclusively 
provided by a Tanzanian public body, each procurement of 
works, goods or services that has a value not exceeding a 
threshold specified in the Regulations shall be reserved 
exclusively for local persons or firms. 

 

 

 (2) Where the procuring entity does not proceed with 
the local person or firm set-aside under subsection (1), and 
procures on unrestricted basis, the procuring entity shall 
include in the procurement file the reason or reasons for the 
unrestricted procurement. 




No. 7 Public Procurement 2011 

 

 

 

 (3) Where procuring entity receives only one acceptable 
offer from a responsible local person or firm in response to 
procurement set-aside, the procuring entity may consider to 
make an award to that person or firm. 

 

 (4) Where the procuring entity receives no acceptable 
offers from responsible local persons or firms, the set-aside 
procurement shall be withdrawn and if the requirements are 
still valid, new offers shall be resolicited on unrestricted 
basis. 

 

 

 

 

Procurement from 
Agency 

 56. A procuring entity shall procure from the Agency 
following a procedure to be prescribed in the regulations 
made under this Act. 

 

 

 

 

Language 

 57.-(1) Pre-qualification documents and tender 
documents shall be written in English and tenders shall be 
invited in that language except as provided for in subsection 
(2). 

 

 (2) Where a procuring entity has limited participation to 
national competitive tendering or to Tanzania nationals only, 
tender documents may be written in either Kiswahili 
language or English language and tenders may be requested 
for in either of the languages. 

 

 

Securities 

 58.-(1) Where a procuring entity requires tenderers 
who are submitting tenders to provide any form of tender 
security or bid securing declaration, such requirement shall 
apply equally to all tenderers. 

 

 (2) A successful tenderer shall be required to submit 
performance guarantees, subject to the conditions specified in 
the regulations. 

 

 (3) Subject to the provisions of subsection (1) and (2), 
the types of securities shall be specified in the regulations. 




No. 7 Public Procurement 2011 

 

 

 

 (4) The Authority shall issue guidelines, to be updated 
from time to time, on the minimum values and modalities for 
provision of tender security and other forms of guarantees or 
bonds. 

 

 

 

 

Rejection 
of tenders 

or 
proposals 

 59.-(1) Tender documents and request for proposals may 
provide that procuring entities reject all tenders or all 
proposals. 

 (2) The rejection of all tenders or all proposals under 
this section shall be justified where- 

 

(a) there is lack of effective competition; 




 

(b) tenders or proposals are not substantially 
responsive to the tender documents or to the 
request for proposals; 




 

(c) the economic or technical data of the project 
have been altered; 




 

(d) tenders or proposals involve costs substantially 
higher than the original budget or estimates; 




 

(e) exceptional circumstances render normal 
performance of the contract impossible; 




 

(f) tenders received contain serious irregularities 
resulting in interference with the normal play of 
market forces; or 




 

(g) funds voted or earmarked for the procurement 
have not been withheld, suspended or have 
otherwise not been made available. 




 

 (3) The lack of competition shall not be determined 
solely on the basis of the number of tenderers or persons who 
made proposals, and where all tenders or proposals are 
rejected, the procuring entity shall review the causes 
justifying the rejection and shall consider - 

 

(a) making revision to the conditions of contract, 
design and specifications, scope of the 
contract, or a combination of these before 
inviting new tenders; or 




No. 7 Public Procurement 2011 

 

 

 

(b) revising the request for proposals (including 
the short list) and the budget. 

 

 (4) Where the rejection of all tenders or all proposals is 
due to lack of competition, wider advertising shall be 
considered and where the rejection is due to most of the 
tenders or proposals being non-responsive, new tenders or 
new proposals may be invited from the initially pre-qualified 
firms, or with the prior agreement of the appropriate tender 
board, from only those who submitted tenders or proposals in 
the first instance. 

 

 (5) The appropriate tender board’s prior approval shall 
be sought before rejecting all tenders or all proposals, 
soliciting new tenders or proposals or entering into 
negotiations with the lowest evaluated tenderer. 

 

 (6) Subject to the provisions of subsection (5) the 
accounting officer shall seek approval from the Authority 
prior to rejecting tenders or proposals. 

 

 

 

 

Accepta-
nce of 
tender and 
entry into 
force of a 
procurement 
contract 

 60.-(1) Subject to the provisions of section 59, the tender 
or proposal that has been ascertained to be the successful 
tender or proposal pursuant to the provision of this Act shall 
be accepted. 

 

 (2) The accounting officer shall be notified by the 
tender board of its award decision within three working days 
of making the decision. 

 

 (3) Upon receipt of notification, the accounting officer 
shall, immediately thereafter issue a notice of intention to 
award the contract to all tenderers who participated in the 
tender in question giving them fourteen days within which to 
submit complaints thereof, if any. 




No. 7 Public Procurement 2011 

 

 

 

 (4) Subject to subsection (3), the accounting officer of 
a local government authority shall, before issuing a notice of 
intention to award a contract, submit the award decision to 
the Committee responsible for finance and planning, for 
scrutiny, and where the Committee is dissatisfied with the 
decision of the tender board, it shall request the Authority to 
conduct an investigation pursuant to section 33(3). 

 

 (5) Where no complaints have been lodged pursuant to 
subsection (3) the accounting officer shall issue a notice of 
acceptance to the successful tenderer. 

 

 (6) The notifications referred to in subsection (3) and 
(5) shall be communicated in a written or electronic form as 
prescribed in the tender document and be signed by 
accounting officer. 

 

 (7) Where a tender, offer or proposal has been 
accepted by the Accounting Officer, the procuring entity and 
the person whose tender, offer or proposal has been accepted 
shall enter into a formal contract for the supply of goods, 
provision of services or undertaking of works. 

 

 (8) A formal contract shall be in such form and contain 
such terms, conditions and provisions as contained in the 
tender document. 

 

 (9) Any formal contract above the thresholds specified 
in the Regulations arising out of the acceptance of a tender, 
offer or proposal under this Act shall be vetted by the 
Attorney General before being signed by the parties. 

 

 (10) Contracts below specified thresholds in the 
regulations shall be vetted by legal officers employed by 
respective procuring entities. 

 

 (11) A procurement contract shall enter into force 
when a written acceptance of a tender is communicated to the 
successful tenderer. 




No. 7 Public Procurement 2011 

 

 

 

 (12) The accounting officer shall, within thirty days 
from the date of award notify the Authority, the name of the 
person or body to whom the contract is awarded, the amount 
of tender or proposal and the date on which the award was 
made. 

 

 (13) The parties may use hand written or digital 
signatures in signing contracts specified under subsection (9). 

 

 (14) The accounting officer shall, within thirty days 
after the communication of award, notify unsuccessful 
tenderers the name of the person to whom the contract is 
awarded and the contract amount. 

Records, 
information and 
notices 

 61.-(1) A procuring entity shall maintain a record of its 
procurement proceedings in which it is involved, including 
decisions taken and the reasons for it and such record shall be 
kept for a period of not less than five years from the date of 
completion of the contract and be made available when 
required to the Minister and the Controller and Auditor-
General. 

 

 (2) The record referred to in subsection (1) may, under 
special circumstances, be kept beyond the period specified in 
that subsection in the manner and duration prescribed in the 
regulations. 

 

 (3) A list of tenderers who submitted tenders and the 
prices tendered, as read out at the time of opening the tenders 
in public, may be made available to tenderers and to the 
general public. 



 

Blacklisting 

 62.-(1) The Authority shall have power to blacklist a 
tenderer for a specified time from participating in public 
procurement proceedings and notify all procuring entities on 
such actions. 




No. 7 Public Procurement 2011 

 

 

 

 (2) A tenderer who has been blacklisted and barred from 
taking part in public procurement by a foreign country, 
international organisation or other foreign institutions shall 
automatically be blacklisted from participating in public 
procurement in the United Republic - 

 

(a) in the case of fraud and corruption, for such 
period as is debarred by that foreign country, 
international organisation or foreign institution 
plus a further period of ten years; and 




 

(b) in the case other than fraud or corruption, for 
such period as is debarred by that foreign 
country, international organisation or foreign 
institution plus a further period of five years. 




 

 (3) A tenderer shall be debarred and blacklisted from 
participating in public procurement or disposal proceedings if- 

 

(a) fraud or corrupt practices is established against 
the tenderer in accordance with the provisions 
of this Act; 




 

(b) the tenderer fails to abide with a bid securing 
declaration; 




 

(c) the tenderer breaches a procurement contract; 




 

(d) the tenderer makes false representation about 
his qualifications during tender proceeding. 




 

 (4) The Authority may debar and blacklist a tenderer 
from participating in public procurement on other grounds as 
may be deemed necessary by the Authority. 

 

(5) Subject to subsections (3) and (4), the procedure for 
debarment shall be stipulated in the Regulations. 

 

(6) A tenderer blacklisted pursuant to this section may 
appeal against the decision to the Appeals Authority within 
twenty one days from the date when he became aware or 
should have become aware of such decision. 

 

 (7) The Authority shall keep and maintain a register of 
all blacklisted firms in accordance with this Act. 




No. 7 Public Procurement 2011 

 

 

 

 (8) A tenderer blacklisted under this section shall not be 
permitted to start a new supplies, contracting or consulting 
firm during that period. 

 

(9) Procuring entities shall not procure from, contract 
with or engage a tenderer who has been blacklisted from 
participating in public procurement proceedings pursuant to 
this Act. 

 

 (10) The Authority shall inform the relevant professional 
bodies upon debarring and blacklisting a tenderer. 

 

 (11) For purpose of this section, the word tenderer 
includes directors of a company or firm. 

 

 

 

 

PART VI 

METHODS OF PROCUREMENT AND PROCESSES 

 

 

 

 

Application 
of 

the basic 
principles of 
procurement 
and disposal 

 63.-(1) All public procurement and disposal by tender 
shall be conducted in accordance with the basic principles set 
out in this Act. 

 (2) Subject to this Act all procurement and disposal shall 
be conducted in a manner that maximizes competition and 
achieve economy, efficiency, transparency and value for 
money. 

 

 

Selection of 
methods of 
procurement 

 64.-(1) Procuring entity engaging in the procurement of 
goods, works, services, non consultancy services or disposal 
by tender shall apply competitive tendering, using the 
methods prescribed in the regulations depending on the type 
and value of the procurement or disposal and, in any case, the 
successful tenderer shall be the tenderer evaluated to have the 
capacity and capability to supply the goods, to provide the 
services or to undertake the assignment or the highest 
evaluated offer in case of services for revenue collection or 
disposal of public assets. 




Public Procurement 

 

 

 

 (2) In circumstances where - 

 

(a) suppliers, contractors or consultants have 
already been pre-qualified pursuant to section 
52; 




 

(b) there is an urgent need for the goods, works, or 
services such that it would be impracticable to 
engage in open national or international 
tendering on competitive selection; or 




 

(c) there is need to achieve certain social objectives 
by calling for the participation of local 
communities; 




 

the procuring entity may either restrict the issue of 
tenders in accordance with the procedures set out in 
the Regulations. 

 

 

 

 

(3) For the purposes of subsection (2)- 

 

(a) circumstances giving rise to the urgency were 
neither foreseeable by the procuring entity nor 
caused by dilatory conduct on its part; and 


(b) the procuring entity shall include in the records 
required under section 61 a statement of the 
grounds for its decision and the circumstances 
leading to, or justifying the restriction. 




 

 (4) The procurement of commodities such as grain 
and other food stuff, animal feeds, fuel, fertilizer, the market 
price of which fluctuate seasonally depending upon demand 
and supply at any particular time, shall be carried out on a 
seasonal basis using methods prescribed in the regulations. 

 

 

Emergency 
procurement 

 65.-(1) Emergency procurement may be made where the 
accounting officer determines that it is in the public interest 
that goods, works or services be procured as a matter of 
urgency. 

 

 (2) For the purpose of subsection (1), emergency 
procurement shall meet one of the following criteria: 




No. 7 Public Procurement 2011 

 

 

 

(a) compelling urgency that creates threat to life, 
health, welfare or safety of the public by reason 
of major natural disaster, epidemic, riot, war, fire 
or such other reasons of similar nature; 




 

(b) situation whereby, without the urgent 
procurement, the continued functioning of the 
Government or organisation would suffer 
irreparable loss, the preservation or protection of 
irreplaceable public property, or the health or 
safety of public will be threatened. 




 

 (3) Upon satisfying the provisions of subsection (2), the 
procuring entity shall seek approval of the Government 
Procurement Services Agency before proceeding on with the 
procurement. 

 

 (4) For the purposes of this section, the Minister shall 
make regulations providing for emergency procurement and 
on how best quality and value for money would be ensured. 

 

 (5) The procuring entity shall apply the procedures 
stipulated in the regulations made under this Act for any 
procurement undertaken pursuant to the provisions of 
subsection (1). 

 

 (6) Where the procurement meets the requirements of 
subsection (1), the conditions relating to procurement limits, 
methods, tender processing periods and advertisement may be 
waived except that conditions relating to tender evaluation 
and obtaining approval of the tender board shall not be 
waived. 

 

 (7) The Authority shall, in collaboration with the 
Government Assets Management Department, the department 
responsible for technical audit in the Ministry responsible for 
finance or where necessary, with any other competent body, 
advise the Pay-Master General on the appropriate action to be 
taken pursuant to subsection (7). 

 

 (8) The Pay-Master General shall seek the advice of the 
Authority in respect of application for retrospective approval. 




No. 7 Public Procurement 2011 

 

 

Procurement 
of railway 
machinery, 
aircrafts 
and ships 

 66.-(1) Where national interest demands that used 
railway machinery, ship or aircraft be procured, the procuring 
entity shall, upon satisfying the conditions stipulated in 
subsection (2), proceed with normal or emergency 
procurement. 

 

 

 (2) Where a procuring entity seeks to procure used 
railway machinery, ship or aircraft pursuant to subsection (1), 
it shall seek approval of the Minister. 

 

 (3) The Minister shall, for the purposes of subsection 
(2), form a Special Technical Advisory Committee to be 
composed of persons with various disciplines, knowledge and 
experience relevant to the subject matter of the procurement. 

 

 (4) The operation of this section shall not come into 
force until such time the regulations under section 105(1)(d) 
have been made and come into force. 

 

(5) Where the procurement referred to under subsection 
(1) is to be done under emergency procurement, the 
procedure stipulated under section 65 shall, within necessary 
modifications, apply. 

Competitive 
tendering 

 67. A procuring entity wishing to commence 
competitive tendering shall provide all eligible prospective 
tenderers with timely and adequate notification of the 
procuring entity’s requirements and an equal opportunity to 
tender for the required goods, works services or non 
consultancy services. 

 

 

Invitation to 
tender and 
advertising 

 68.-(1) A procuring entity wishing to commence 
competitive tendering proceedings shall prepare a tender 
notice inviting tenderers to submit priced offers for the supply 
of goods, provision of non consultancy services or for 
undertaking the works required and such tender notice shall 
be submitted within reasonable time before the planned issue 
of the tender to the tender board for approval. 




No. 7 Public Procurement 2011 

 


 

 (2) The approved tender notice shall be advertised by the 
procuring entity as set out in the Regulations made under this 
Act and shall ensure widest reach of potential tenderers. 

 

 (3) Any tender notice shall be published in sufficient 
time, as prescribed in the Regulations, to enable prospective 
tenderers to obtain tender documents and prepare and submit 
their responses before the deadline for receipt of tenders. 

 

 (4) The time specified for the opening of the tenders 
submitted shall be the same as the deadline for receipt of 
tenders or immediately thereafter, and be repeated, together 
with the place for tender opening, in the invitation to tender. 

 

 (5) Subject to subsection (4) the procuring entity may 
prior to the deadline for submission of tenders, modify the 
tender documents and extend the deadline for submission of 
tenders if deemed necessary. 

 

 

Issue of 
tender 
documents 

 69.-(1) The procuring entity shall provide tender 
documents immediately after first publication of the tender 
notice to all suppliers or contractors who respond to the tender 
notice and pay the requisite fee, if required, for which a 
receipt shall be given. 

 

 (2) All prospective tenderers shall be provided with the 
same information, and be assured of equal opportunities to 
obtain additional information. 

 

(3) Tender documents shall not include requirements 
and terminologies which discriminate unfairly against 
participation by tenderers. 

 

(4) Subsection (3) may be deviated where 
circumstances demand provided that, any deviation is made 
on basis of provisions of the Regulations made under this Act. 

 

(5) The scale of fees payable for tender documents 
shall be as set out in the Regulations made under this Act. 

 

 

Content 

of tender 
document 

 70.-(1) The procuring entity shall use the appropriate 
standard model tender documents specified in the Regulations 
for the procurement in question. 




No. 7 Public Procurement 2011 

 

 

 

 (2) The tender documents shall be worded so as to 
permit and encourage competition and such documents shall 
set forth clearly and precisely all the information necessary 
for a prospective tenderer to prepare tender for the goods, 
services and works to be provided. 

 

 

 

 

Validity of 
tenders and 
tender 
security 

 71. The procuring entity shall require tenderers to make 
their tenders and tender securities including tender securing 
declaration valid for periods specified in the tendering 
documents, sufficient to enable the procuring entity to 
complete the comparison and evaluation of the tenders and for 
the appropriate tender board to review the recommendations 
and approve the contract or contracts to be awarded whilst the 
tenders are still valid. 

Evaluation 
criteria 

 72.-(1) The basis for tender evaluation and selection of 
the successful tenderer shall be clearly specified in the tender 
document. 

 

 (2) The tender documents shall specify factors, in 
addition to price, which may be taken into account in 
evaluating a tender and how such factors may be quantified or 
otherwise evaluated. 

 

 (3) Notwithstanding the provisions of subsection (2), 
where tenders based on alternative materials, alternative 
completion schedules or alternative payment terms are 
permitted, conditions for their acceptability and the method of 
the evaluation shall be expressly stated in the tender 
documents. 



 

Receipt of 
tenders and 
tender 
opening 

 73.-(1) The Secretary of the tender board shall receive 
tenders using procedures set out in the regulations made under 
this Act. 

 

 (2) The secretary to the tender board shall give each 
tenderer a receipt showing the time and the date that the 
tenders were received, and any tender received after the 
deadline shall be returned unopened to the tenderer. 




No. 7 Public Procurement 2011 

 

 

 

 

 

 (3) All tenders submitted before the deadline time and 
date for submission shall be opened in public, in the presence 
of the tenderers or their representatives and other parties with 
a legitimate interest in the tender proceedings and the tender 
opening shall take place at, or immediately after the deadline 
time and date given in the tender documents for the receipt of 
the tenders and the names of all those present at the tender 
opening and the organisations they represent shall be recorded 
by the Secretary of the respective tender board. 

 

 (4) The names and addresses of each tender the total 
amount of each tender or and of any alternative tenders, if 
they have been requested or permitted, shall be read and 
recorded during the tender opening. 

 

 (5) Subject to the provisions of section 60(3), after the 
public opening of tenders, information relating to 
e-examination, clarification and evaluation of tenders and the 
recommendations concerning awards shall not be disclosed to 
tenderers or other persons not officially concerned with the 
process until the notice of intention to award a contract is 
notified to the tenderer who participated in the tender process. 

 

 (6) Information referred to in subsection (5) shall be 
made available to the Authority, the Appeals Authority, 
accounting officer and to the Minister when that information 
is so required. 

 

 

Evaluation 
and 
comparison 
of tenders 

 74.-(1) The evaluation committee shall evaluate on a 
common basis tenders that have not been rejected in order to 
determine the cost to the procuring entity of each tender in a 
manner that permits a comparison to be made between the 
tenders on the basis of the evaluated costs, but the lowest 
submitted price, may not necessarily be the basis for selection 
for award of a contract. 




No. 7 Public Procurement 2011 

 

 

 

 (2) Any relevant factor or factors in addition to price to 
be considered in tender evaluation and the manner in which 
they will be applied for the purpose of determining the lowest 
evaluated tender shall be specified in the tender documents. 

 

 (3) Any procedure under which tenders above or below a 
predetermined assessment of tender value are automatically 
disqualified may not be accepted. 

 

 (4) The evaluation committee shall prepare for 
submission to the Procurement Management Unit a detailed 
report on the evaluation and comparison of tenders, setting out 
the specific reasons on which its recommendations for the 
award of each contract are based. 

 

 (5) The Procurement Management Unit shall review the 
evaluation report submitted pursuant to subsection (4) and 
submit the report and their recommendations to the tender 
board. 

 

 

 

 

Approval of 
award of 
contract 

 75. The tender board shall review the evaluation and 
recommendation made by the procurement management unit 
and may either - 

 

(a) approve the recommendation and authorize 
acceptance of the tender and award a contract in 
the form specified in the tender documents; or 

 

(b) refuse to authorize recommendation for award of 
the tenders and refer the evaluation to the 
Procurement Management Unit with an 
instruction to re-evaluate the tenders or re-
tendering or other action. 

 

 

Negotiation 
and award of 
contracts 

 76.-(1) Subject to the conditions stipulated in the 
regulations, a tenderer evaluated to have the capacity and 
capability to supply the goods, undertake the works, provide 
the services or purchase the assets shall be invited for 
negotiations by the procuring entity. 

 

 (2) Negotiations shall not be conducted: 




No. 7 Public Procurement 2011 

 

 

 

(a) to change the specifications or details of the 
requirement. 




 

(b) to materially alter the terms and conditions of 
contract stated in the tender document; 




 

(c) primarily for the purpose of reducing prices in 
case of procurement of goods, works or services; 




 

(d) purely for the purpose of increasing prices in 
case of disposal of assets; or 




 

(e) to substantially alter anything which formed a 
crucial or deciding factor in the evaluation of 
tender. 




 

 (3) Where single source method was used or a 
competitive procurement method was used but only a single 
tender was received, negotiations may relate to other areas of 
the tender including the price tendered provided that the 
negotiation shall not increase price or affect the quality of the 
goods, works or services. 

 

 (4) Where the negotiation under subsection (2) fail to 
result in an acceptable contract, the procuring entity shall 
terminate the negotiations and after consultation with the 
appropriate tender board, invite the next ranked firm for 
negotiations”. 

 

 

Alteration 
and amend-
ments 

 77.-(1) A procurement contract shall not be altered or 
amended in any way after it has been signed by both parties 
unless such alteration or amendments is- 

 

(a) to the benefit of the Government or is not 
disadvantageous to the Government; and 

 

(b) is approved by the accounting officer. 




 

 (2) The total price of the amended contract shall be 
within percentage of the total price of the original contract as 
prescribed in the regulations. 




No. 7 Public Procurement 2011 

 

 

 

(3) Time extension order shall be issued only by the 
accounting officer in accordance with the procedures 
stipulated in the regulations. 

(4) Liquidated damages shall be charged on the 
contractor, supplier or service provider for undelivered goods 
or delayed services or work in accordance with the 
procedures stipulated in the regulations. 



 

Selection 

of 
consultants 

 78.-(1) A procuring entity commencing selection 
proceedings for consultancy services shall apply the procedures 
and the selection methods prescribed in the Regulations made 
under this Act. 

 

 (2) Circumstances to justify the Procuring Entity to 
depart from the use of selection methods shall be set out in the 
Regulations and the alternative approaches to be used instead. 

 

 (3) The procuring entities shall use the appropriate 
Standard Request for Proposals and Standard Forms of 
Contract issued by the Authority with minimum changes as 
approved by the tender board, as necessary to address specific 
project issues, and any such changes shall be introduced only 
through contract data sheets, or through special conditions of 
contract and not by introducing changes in the wording of the 
general conditions of contract included in the standard form. 

 

 (4) Notwithstanding the provisions of subsection (3) 
where the Standard Request for Proposal and Standard Form of 
Contract are not appropriate, procuring entities shall use other 
contract forms acceptable to the Authority. 




No. 7 Public Procurement 2011 

 

 

PART VII 

PROCUREMENT UNDER PUBLIC PRIVATE PARTNERSHIP 

 

 

Scope, 
applicabi-
lity and 
approval 

 79.-(1) The provisions under this Part shall apply in 
respect of procurement and disposal by tender activities under 
the solicited and unsolicited partnership arrangements between 
the public sector and private as provided for under the Public 
Private Partnership Act, 2010. 

 

 

 

 

Cap.103 

 (2) The procuring entity shall not proceed with the 
procurement phase of solicited or unsolicited public private 
partnership prior to obtaining approval of the project concept 
by the relevant authorities under the Public Private Partnership 
Act. 

 

 (3) Where this Part does not specifically provide for a 
process, commission, omission, offence or penalty in relation 
to procurement or disposal by tender process under the Public 
Private Partnership, the provisions of this Act shall apply. 

 

 

Unsolicited 
public 
private 
partnership 
proposal 

 80.-(1) A proposal of the party, submitting unsolicited 
private partnership proposal shall be subjected to a formal 
competitive process set out in the regulations made under this 
Act. 

 

 (2) The procuring entity may, upon consultation with 
competent authority, acknowledge intellectual rights over the 
project idea of the original proponent and recognize it in the 
tendering process. 

 

 

Selection of 
Transaction 
Advisor or 
Manager 

 81. Where a transaction advisor or manager is to be 
appointed for the purposes of ensuring a public private 
partnership implementation process runs smoothly, the 
selection of such advisor or manager shall be in accordance 
with the procedures stipulated in the regulations. 




No. 7 Public Procurement 2011 

 

 

Selection of 
a private 
party and 
choice of 
procure-
ment 
method 

 82. A procuring entity undertaking public private 
partnership project shall select a private party by using 
procedures stipulated in the regulations made under this Act. 

 

 

PART VIII 

PROHIBITIONS 

 

 

Fraud and 
corruption 

 83.-(1) The procuring entities and tenderers under public 
financed contracts shall proceed in a transparent and 
accountable manner during the procurement and execution of 
such contracts. 

 

 (2) Where a procuring entity is satisfied, after appropriate 
investigation, that any person or firm to which it is proposed 
that a tender be awarded, has engaged in corrupt fraudulent, 
collusive, coercive or obstructive practices in competing for the 
contract in question, it may - 

 

 (a) reject a proposal for award of such contract; 

 

 (b) declare any person or tenderer including its 
directors ineligible for a period of not less than 
ten years to be awarded a public financed 
contract. 

 

 

 (3) After determination by a court of law or following a 
special audit by the Controller and Auditor-General, that 
corrupt, fraudulent, collusive, coercive or obstructive practices 
were engaged in by any person or tenderer during the 
procurement, award of contract or the execution of that 
contract, the procuring entity may - 

 

(a) require such person or tenderer to re-imburse the 
portion of disbursed funds or cancel the portion of 
undisbursed funds to a contract for goods, works 
or services; and 







No. 7 Public Procurement 2011 

 

 

 

(b) declare any tenderer, including its directors 
ineligible for a period of not less than ten years to 
be awarded a public financed contract. 




 

 (4) The procuring entity shall, within a period of fourteen 
days after declaring a tenderer, including its directors ineligible 
to be awarded a public financed contract in accordance with the 
provisions of this section, submit to the Authority the name of 
such tenderer, including its directors and such information shall 
be published and maintained in the Authority’s register. 

 

 (5) Any member of the procuring entity who engages in 
corrupt or fraudulent practices during the procurement 
proceedings or the execution of the public financed contract 
shall be dealt with in accordance with the provisions of this 
Act. 

 

 (6) The procuring entity shall, in any tender forms for 
public contracts, include an undertaking of the tenderer to 
observe the country’s laws against fraud and corruption in 
competing for and executing a contract. 

 

 

Conducts 
influencing 
public 
officers 

 84.-(1) No person shall, with intent to gaining an 
advantage or concession for himself or any other person - 

 

(a) offer any member or an associate of a member 
of a tender board or its committee or any 
employee or an associate of an employee of a 
tender board or its committee or any consultant 
or an associate of any consultant or a person or 
an associate of any person providing services, a 
gift of money or other valuable thing; or 

 

(b) approach any member or any associate of a 
member of a tender board or its committee or 
any of its officer or an associate of such officer 
with respect to any matter that is before that 
tender board or committee or that is expected to 
come before a tender board or a committee. 




No. 7 Public Procurement 2011 

 

 

 

 (2) No procuring entity, any public officer or other 
Government authority shall accept a gratuity in any form, any 
offer of employment, service, any other thing of value, as an 
inducement with respect to an act or decision of or procedure 
followed by the procuring entity in connection with any 
procurement proceedings or tender and a procuring entity shall 
promptly reject a tender of any tenderer who gives, agrees to 
give or offers, directly or indirectly, any such inducement. 

 

 (3) A procuring entity shall not procure from a member 
of its staff or a person who has direct influence on the decision 
of a procuring entity acting in a private capacity, either alone or 
as a partner in a partnership or as an officer of a company. 

 

 (4) A procuring entity shall not include in a tender 
document any condition or specification which is likely to 
favour a tenderer. 

 

 (5) A member of staff of a procuring entity or a person 
with direct influence on the decisions of a procuring entity 
shall declare an interest that he may have in any tenderer and 
the tenderer against whom the interest has been declared shall 
be barred from participating in such procurement. 

 

 (6) Any tender proved to have been awarded on the basis 
of inducement as provided in the preceding subsections shall be 
revoked forthwith and the same be reported to the Prevention 
and Combating of Corruption Bureau for appropriate action 
and to the relevant professional body for ethical proceedings. 

 

 (7) A tenderer whose tender or proposal has been rejected 
or revoked on the ground of inducement corrupt, fraudulent, 
collusive, coercive or obstructive shall not be able to qualify or 
pre-qualify in any procurement proceedings during the ten 
years following the date of the notice of such rejection or 
revocation. 




No. 7 Public Procurement 2011 

 

 

 

 (8) Any rejection or revocation on the grounds of 
inducement, corrupt, fraudulent, collusive, coercive or 
obstructive practices shall be notified to the Chief Executive 
Officer of the Authority who shall in turn review the grounds 
for rejection or revocation and notify all procuring entities and 
approving authorities on the purposes of effecting the 
provisions of subsection (7). 

 

 

Disclosure 
of payment 
made by 
way of 
commi-
ssion, etc. 
Caps. 399 
and 329 

 85.-(1) A tenderer in relation to the public contract shall, 
within thirty days after the execution of the contract, furnish a 
statement in writing to the Prevention and Combating of 
Corruption Bureau and the Tanzania Revenue Authority. 

(a) stating particulars of any consideration given or 
to be given to any person or organization for the 
purpose of or as a commission for obtaining the 
contract; and 






 

 

(b) giving the names of the persons to whom and 
the organization to which any such 
consideration was or is to be given. 

 

 (2) Where there is no consideration to be given to any 
person or organization, a statement furnished pursuant to 
subsection (1) shall so state; 

 

 (3) Where in relation to a public contract, a body 
corporate is a contractor, then - 

 

(a) if the consideration for the contract exceeds in 
value or total, two percent of the contract 
value, the statement furnished pursuant to 
subsection (1) - 

 

(i) shall be signed by the Chief Executive 
of the body corporate; and 

 

(ii) if the contractor is a subsidiary of 
another body corporate, shall be signed 
by the Chief Executive of the other 
body corporate; and 




No. 7 Public Procurement 2011 

 

 

 

(b) in any case other than that which is referred to 
in paragraph (a), the statement so furnished 
shall be signed by an officer of the body 
corporate deputed by the body corporate to do 
so. 

Cap.212 

 (4) The provisions of the Companies Act in relation to 
the determination of whether a body corporate is the 
subsidiary of any other body corporate shall apply. 

 

 (5) Where there is a consideration given or offered to 
any public body, public officer or any other agent in relation 
to a public contract, such consideration shall be furnished to 
the Pay-Master General within thirty days from the date of 
receipt of the consideration. 

 

 (6) A tenderer or a public body or public officer who 
fails to comply with the provisions of this section commits an 
offence. 

 

 

Conduct 

of directors, 
servants or 
agents 

 86.-(1) Any conduct engaged in or on behalf of a body 
corporate- 

(a) by a director, servant or agent of the body 
corporate within the scope of the actual or 
apparent authority; or 




 

(b) by any other person at the director or with the 
consent or agreement (whether express or implied) 
of a director, servant or agent of the body 
corporate, whether giving of the direction, consent 
or agreement is within the scope of the actual or 
apparent authority of the director, servant or agent, 




 

shall be deemed, for the purposes of this Act, to have been 
engaged in by the body corporate. 

 

 

 (2) Any conduct engaged in or on behalf of a person 
other than a body corporate - 




No. 7 Public Procurement 2011 

 

 

 

(a) by a servant or agent of the person within the 
scope of actual or apparent authority of the 
servant or agent; or 

 

(b) by any other person at the direction or with the 
consent or agreement (whether express or 
implied) of a servant or agent of the first 
mentioned person, when the giving of the 
direction, consent or agreement is within the 
scope of the actual or apparent authority of the 
servant or agent, 

 

shall be deemed, for the purposes of this Act, to have been 
engaged in by the first-mentioned person. 

 

Institution of 
criminal 
proceedings 

Cap.16 and 
Cap.329 

 87. The measures provided by this Act shall not 
preclude the institution of criminal proceedings pursuant to 
the provisions of Penal Code, the Prevention and Combating 
of Corruption Act, or any other written law against any person 
discharging functions or exercising powers under this Act or 
regulations made under this Act. 

 

 



 

PART IX 

DISPUTES SETTLEMENT

 

 

 

Establishment 
of the Appeals 
Authority 

 88.-(1) There is established an independent procurement 
appeals authority to be known as the Public Procurement 
Appeals Authority. 

 

 (2) The Appeals Authority shall consist of: 

 

(a) a Chairman who shall be nominated by the 
President from amongst retired Judges; and 




 

(b) six other members to be nominated by the 
Minister as follows: 




 

(i) a senior lawyer to be appointed by 
the Attorney General; and 




No. 7 Public Procurement 2011 

 


 

(ii) five other members, at least two of 
them from the private sector with 
professional knowledge and 
experience in public procurement, 
construction industry, business 
administration, finance or law. 

 

(c) the Executive Secretary who shall be the 
Secretary of the Appeals Authority. 

 

 (3) The Third Schedule to this Act shall have effect 
with regard to appointment and tenure of office of members 
and of the Appeals Authority. 

 

 (4) The Members of the Appeals Authority shall 
oversee the performance of the Appeals Authority. 

 

 (5) The Appeals Authority shall have original 
jurisdiction to hear and determine complaints against 
procuring entities where a procurement or disposal of 
contract is already in force and appeals arising from 
administrative decisions made by the accounting officer. 

 

 (6) The Appeals Authority shall review the 
Authority’s decision arising from blacklisting of tenderers. 

 

 (7) In resolving disputes or complaints, the Appeals 
Authority shall conduct proceedings in accordance with 
rules made under this Act. 

 

 

Appointment 

of Executive 
Secretary 

 89.-(1) There shall be an Executive Secretary of the 
Appeals Authority who shall be appointed by the President 
on such terms and conditions as the President may 
determine. 

 

 (2) The Executive Secretary shall be appointed from 
amongst the registered professionals save for lawyers and 
business administrators who has at least ten years of 
experience in either business, finance, law or other relevant 
discipline and experience in procurement. 

 

 (3) Subject to the general supervision and direction of 
the Appeals Authority, the Executive Secretary shall be 
responsible for: 




No. 7 Public Procurement 2011 

 

 

 

(a) Management of the operation of the Appeals 
Authority; 




 

(b) Management of funds, property and business 
of the Appeals Authority; 




 

(c) Administration, organization and control of 
officers and staff of the Appeals Authority. 




 

 (4) The Executive Secretary shall be the Chief 
Executive and the Accounting Officer of the Appeals 
Authority. 

 

 (5) The Executive Secretary shall hold office for a 
period of four years and may, subject to his satisfactory 
performance, be eligible for reappointment for one more 
term of four years. 

 

 

Employees of 
the Appeals 
Authority 

 90. The Appeals Authority shall employ such number 
and categories of staff as it deemed necessary for the 
effective functioning of the Appeals Authority. 

 

 

Funds of the 
Appeals 
Authority 

 91.-(1) The funds of Appeals Authority shall consist 
of- 

 

(a) monies appropriated by Parliament; 




 

(b) loans and grants; 




 

(c) revenues collected from services rendered; and 




 

(d) any other monies received or made available to 
it for purposes of its functions 




 

 (2) There shall be paid from the funds of the Appeals 
Authority- 

 

(a) the salaries and allowances of its staff, 




 

(b) such other allowances necessary to pay its 
members and staff or other persons engaged in 
business of the Appeals Authority as the 
Minister may determine; and 




 

(c) any other expenses incurred by it in the 
performance of its functions. 







No. 7 Public Procurement 2011 

 

 

 

 (3) There shall be opened and maintained bank 
accounts of the Appeals Authority in Banks approved by 
members of the Appeals Authority. 

 

 

Audit of 
accounts 

 

 

 


Cap. 348 

92.-(1) The Appeals Authority shall maintain proper 
books of accounts and other records relating to its financial 
transactions and prepare annual statement of accounts 
including income and expenditure account, and balance 
sheet in accordance with Public Finance Act. 

(2) The books of accounts and other records shall be 
open for inspection by the Minister or any other person duly 
authorized by him. 

(3) The accounts of the Appeals Authority shall be 
audited by the Controller and Auditor–General. 

 

 

Annual 
Management 
plan and 
budget 

 93.-(1) The Executive Secretary shall, not later than 
three months before the end of each financial year, prepare 
and submit to the Members of the Appeals Board an annual 
management plan which include a budget for its approval 
for the next financial year. 

 

(2) The Executive Secretary may, at any time before 
the end of a financial year, prepare and submit to the 
Members of the Appeals Authority for approval any 
estimates supplementary to the budget of the current 
financial year. 

 

(3) No expenditure shall be made out of the funds of 
the Appeals Authority unless it is part of the expenditure 
approved by the Members of the Appeals Authority under 
the estimates for the fiscal year in which the expenditure 
shall be incurred, or in the supplementary budget for that 
year. 




No. 7 Public Procurement 2011 

 

 

Annual 
statement 

and report 

94.-(1) The Appeals Authority shall, within six months 
after the end of each financial year, cause to be prepared 
and submitted to the Minister a report on its activities and 
operations, and all complaints and appeals handled during 
that year. 

 

 (2) A copy of the report prepared under subsection (1) 
shall, when submitted to the Minister, be accompanied by - 

 

(a) a copy of the audited accounts of the Appeals 
Authority; 




 

(b) a copy of the auditors report on the accounts; 
and 




 

(c) any other information as the Minister may 
direct. 




 

 

 (3) The Minister shall lay before the National 
Assembly the reports mentioned under subsection (2) 
within three months from the date of receiving the report or 
at the next sitting of Parliament”. 

 

 

Right to review 

 95.-(1) Any tenderer who claims to have suffered or 
that may suffer any loss or injury as a result of a breach of a 
duty imposed on a procuring entity by this Act may seek a 
review in accordance with sections 96 and 97. 

 

 

 (2) The review referred to in subsection (1) shall not 
apply to- 

 

(a) the selection of a method of procurement or in 
the case of services the choice of a selecting 
procedure; 




 

(b) the limitation of procurement proceedings on the 
basis of nationality in accordance with section 
53 of this Act or in accordance with the 
prescribed Regulations; 







No. 7 Public Procurement 2011 

 

 

 

(c) in the case of services, a refusal by the procuring 
entity to respond to an expression of interest in 
participating in request for proposals 
proceedings. 




 

 (3) Any tenderer who is aggrieved by the decision of 
the accounting officer under subsection (2) shall have the 
right to lodge a complaint to the Authority. 



 

Settlement of 
complaints or 
disputes by 
accounting 
officer 

 96-(1) Any complaints or dispute between procuring 
entities and tenderers which arise in respect of procurement 
proceedings, disposal of public assets by tender and awards 
of contracts shall be reviewed and decided upon a written 
decision of the accounting officer of a procuring entity and 
give reasons for his decision. 

 

 (2) On receiving a complaint under this section the 
accounting officer may, depending on the nature of the 
complaint, constitute an independent review panel from 
within or outside his organization which shall review the 
complaint and advise him on the appropriate actions to be 
taken. 

 

 (3) Where after proper investigation, it is established 
that, the Chairman of the tender board, any member of the 
tender board, the secretary of the tender board or any other 
public officer of the procuring entity has violated this Act 
and the regulations made under it, the accounting officer 
shall take appropriate actions against him. 

 

 (4) The accounting officer shall not entertain a 
complaint or dispute unless it is submitted within twenty 
eighty days from the date the tenderer submitting it became 
aware of the circumstances giving rise to the complaint or 
dispute or when that tenderer should have become aware of 
those circumstances, whichever is earlier. 

 

 (5) The accounting officer shall not entertain a 
complaint or dispute or continue to entertain a complaint or 
dispute after the procurement contract has entered into force. 




No. 7 Public Procurement 2011 

 

 

 

 (6) The accounting officer shall, within fourteen days 
after the submission of the complaint or dispute deliver a 
written decision which shall:- 

 

(a) state the reasons for the decision; and 

 

(b) if the complaint or dispute is upheld in whole 
or in part indicate the corrective measures to be 
taken. 

 

 (7) Where the accounting officer does not issue a 
decision within the time specified in subsection (6), the 
tenderer submitting the complaint or dispute to the procuring 
entity shall be entitled immediately thereafter to institute 
proceedings under section 97 and upon institution of such 
proceedings, the competence of the accounting officer to 
entertain the complaint or dispute shall cease. 

 

 (8) The decision of the accounting officer shall be final 
unless the tenderer applies for administrative review to the 
Appeals Authority. 

 

 

Review by the 
Appeals 
Authority 

 97.-(1) A tenderer who is aggrieved by the decision of 
the accounting officer may refer the matter to the Appeals 
Authority for review and administrative decision. 

 

 (2) Where- 

 

(a) the accounting officer does not make a decision 
within the period specified under this Act; or 




 

(b) the tenderer is not satisfied with the decision of 
the accounting officer, 




 

the tenderer may make a complaint to the Appeals Authority 
within fourteen working days from the date of 
communication of the decision by the accounting officer. 

 

 (3) A tenderer may submit a complaint or dispute 
directly to the Appeals Authority if the complaint or dispute 
cannot be entertained under section 96 because of entry into 
force of the procurement or disposal contract, and provided 
that the complaint or dispute is submitted within fourteen 




No. 7 Public Procurement 2011 

 

 

 

days from the date when the tenderer submitting it became 
aware of the circumstances giving rise to the complaint or 
dispute or the time when that tenderer should have become 
aware of those circumstances. 

 

 (4) The Appeals Authority shall, upon receipt of a 
complaint or dispute, give notice of the complaint or dispute 
to the procuring entity in which case the procuring entity 
shall be required to submit all the relevant documentations 
and information pertaining to the particular tender. 

 

 (5) The Appeals Authority may, unless it dismisses the 
complaint or dispute, issue one or more of the following 
remedies- 

 

(a) declare the legal rules or principles that govern 
the subject matter; 




 

(b) prohibit the procuring entity from acting or 
deciding unlawfully or from following an 
unlawful procedure; 




 

(c) require the procuring entity that has acted or 
proceeded in an unlawful manner, or reached 
an unlawful decision, to act or to proceed in a 
lawful manner or to reach a lawful decision; 




 

(d) annul in whole or in part an unlawful act or 
decision of the procuring entity; 




 

(e) revise an unlawful decision by the procuring 
entity or substitute its own decision for such a 
decision; or 




 

(f) require the payment of reasonable 
compensation to the tenderer submitting the 
complaint or dispute as a result of an unlawful 
act, decision or procedure followed by the 
procuring entity. 







No. 7 Public Procurement 2011 

 

 

 

 (6) The Appeals Authority shall, within forty five days, 
issue a written decision concerning the complaint or dispute 
stating the reasons for the decision and the remedies granted, 
if any. 

 

 (7) The decision of the Appeals Authority shall be final 
unless is subject for judicial review under section 95 of this 
Act. 

 

 (8) The decision of the Appeals Authority shall be 
binding to the parties on the complaint or appeal and such 
decision may be enforced in any court of competent 
jurisdiction as if it were a decree of the court. 

 

 

Extension of 
time for 
submission of 
complaints or 
appeals 

 98. The Appeals Authority may extend the time limit 
set under subsections (2) and (3) of section 97 where it is 
satisfied that failure by a party to lodge an appeal or 
complaint was occasioned by being absent from the United 
Republic, sickness or other reasonable cause, subject to such 
terms and conditions as may be prescribed in the rules. 



 

Certain rules 
applicable to 
review 
proceedings 

 99.-(1) After the submission of a complaint or dispute 
under sections 96 and 97, the Accounting officer, or the 
Appeals Authority, as the case may be, shall notify all 
tenderers participating in the procurement or disposal 
proceedings to which the complaint or dispute relates, of the 
submission of the complaint or dispute and of its substance. 

 

 (2) Any tenderer or any public body whose interest is or 
may be affected by the review proceedings, shall have a right 
to participate in the review proceedings and a tenderer who 
fails to participate in the review proceedings shall be barred 
from subsequently making the same claim. 




No. 7 Public Procurement 2011 

 

 

 

 (3) The decision of the accounting officer, the Authority 
or the Appeals Authority shall be furnished within seven days 
after the delivery of the decision to the tenderer who 
submitted the complaint or dispute to the procuring entity and 
to any other tenderer or Government authority who 
participated in the review proceedings and after the decision 
has been delivered, shall be made available for inspection by 
the general public, provided no information shall be disclosed 
if its disclosure – 

 

 

 

(a) is contrary to law; 




 

(b) impedes law enforcement; 




 

(c) is not in the public interest; 




 

(d) prejudices legitimate commercial interest of 
parties; or 




 

(e) inhibits fair competition. 




 

 

(4) The Authority may, upon receipt of reports of 
findings from the accounting officer or decision of the 
Appeals Authority, recommend to the competent authority 
to take disciplinary measures against the concerned person 
or body implicated in the report or decision, as the case may 
be, in accordance with the provisions of this Act. 

 

 

Suspension of 
procurement 
proceedings 

100.-(1) Upon receipt of a complaint or dispute, the 
accounting officer shall subject to subsection (2), suspend the 
procurement process pending determination of a complaint or 
an appeal. 

 

 (2) The suspension referred to in subsection (1) shall 
not apply where the procuring entity certifies to the Authority 
that urgent public interest considerations require the 
procurement to proceed and the certification shall state the 
grounds for the findings which shall be conclusive with 
respect to all levels of review other than judicial review. 




No. 7 Public Procurement 2011 

 

 

 

 (3) Any decision by the accounting officer under this 
section and the grounds and circumstances for it shall be 
made part of the record of the procurement proceedings. 

 

 (4) Upon receipt of a complaint or an appeal, the 
Appeals Authority may suspend the procurement process or 
where necessary, the performance of the concerned 
procurement contract pending determination of the complaint 
or an appeal. 

 

 

Judicial 
Review 

 101.-(1) A tenderer or procuring entity aggrieved by the 
decision of the Appeals Authority may, within fourteen days 
of the date of delivery of such decision, apply to the High 
Court for judicial review. 

 

 (2) Where the application is before the High Court for 
juridical review: 

 

(a) in case of an application by a tenderer challenging the 
decision of the Appeals Authority, the Appeals 
Authority shall be represented in the High Court by 
the Attorney General; and 


(b) in case of an application by a procuring entity 
challenging the decision of the Appeals Authority, the 
procuring entity and the Appeals Authority shall state 
their positions to the Attorney General. 




 

 (3) Where the procuring entity and the Appeals 
Authority have submitted their positions to the Attorney 
General in terms of paragraph (b) of subsection (2), the 
Attorney General shall state case containing positions of 
both parties and file a case marked “Case Stated” in the 
High Court for its opinion in accordance with Order XXXIV 
of the Civil Procedure Code. 

 

 (4) The judgement of the High Court issued in terms of 
subsection (3) shall be communicated to the parties by the 
Attorney General and shall be binding on both parties. 



 

 

 


 

No. 7 Public Procurement 2011 

 

 

PART X 

GENERAL PROVISIONS 

 

 

Codes of 
Conduct 

 102.-(1) Public officers and experts engaged to deliver 
specific services under this Act shall subscribe to the Code of 
Ethical Conduct. 

 

 (2) All tenderers shall be required to sign a declaration of 
compliance with those Codes of Ethical Conduct determined 
by the Authority from time to time. 

 

 

Protection 
from 
personal 
liability 

 103. No act or thing done by any member or by any 
employee of the Authority or Appeals Authority shall, if done 
or omitted bona fide in the execution or purported execution of 
his duties as a member or as an employee of the Authority or 
Appeals Authority, subject him to any action, liability or 
demand of any kind. 

 

 

Offences 

 104.-(1) A person who- 

 

(a) knowingly gives false or misleading information 
or evidence in purported compliance with a 
summons issued under this Act; 




 

(b) contrary to this Act, interferes with or exerts 
undue influence on any officer or employee of 
the Authority, Appeals Authority or procuring 
entity or member of tender board in the 
performance of his functions or in the exercise of 
his her power under this Act; 




 

(c) open any sealed tender, including such tenders as 
may be submitted through electronic system and 
any document required to be sealed, or divulge 
their contents prior to the appointed time for the 
public opening of the tender documents; 




 

(d) connives or colludes to commit a fraudulent, 
corrupt, collusive, coercive or obstructive act as 
defined in section 3; 







No. 7 Public Procurement 2011 

 

 

 

(e) causes loss of public properties or funds as a 
result of negligence in the implementation of this 
Act, 




 

commits an offence and on conviction shall be liable to a fine 
of not less than ten million shillings or to imprisonment for a 
term of not less than seven years or to both, and in addition to 
the penalty imposed in this section, the court shall order that 
the amount of loss incurred by the complainant be 
compensated, failure of which, the court shall issue an order of 
confiscation of personal property of the person convicted in 
order to recover the loss. 

 

 (2) A person who - 

 

(a) without reasonable excuse fails or refuses to give 
information, produce any document, records or 
reports required under section 18 or under the 
notice issued in accordance with subsection (3) of 
section 92; 




 

(b) without reasonable excuse, fails or refuses to give 
information, produce any document, records or 
reports required under subsection (2) of section 
18 or under the notice issued in accordance with 
subsection (4) of section 97; 




 

(c) delay without justifiable cause, the opening or 
evaluation of or the awarding of contract beyond 
the prescribed period; or 




 

(d) contravenes or fails to comply with provisions of 
this Act, or regulations made under this Act, 




 

commits an offence and on conviction is liable to a fine not 
exceeding ten million shillings or to imprisonment for a term 
not exceeding three years or to both. 

 

 (3) Where a procuring entity consistently contravenes this 
Act, it shall, on the direction of the Authority, have its 
procurement function transferred to the Agency until the 
Authority is satisfied that the causes of the contravention have 
been rectified. 




No. 7 Public Procurement 2011 

 

 

Regulations 

 105.-(1) The Minister may make regulations and rules for 
the better carrying out of the provisions of this Act. 

 

 (2) Without prejudice to the generality of subsection (1), 
the Minister may make regulations prescribing - 

 

(a) procedures and processes for procurement of 
common use items under framework agreements; 




 

(b) procedure for procurement of goods and services 
by public bodies through third party or Agency; 




 

(c) terms and conditions for delegation of 
procurement functions of a procuring entity; 




 

(d) procurement procedures for used railway 
machinery, ships and aircrafts; 




 

(e) procedures for tender submission, opening and 
evaluation awarding of tender and cancellation of 
procurement process; 




 

(f) procedures for investigation under this Act; 




 

(g) procedure for lodging procurement complaints 
and appeals; 




 

(h) various methods of procurement and procurement 
of commodities of seasonal nature; 




 

(i) qualification of tenderers circumstances and 
procedures for prequalification process; 




 

(j) fees for various services rendered by the 
Authority or Appeals Authority or the Agency; 
and 




 

 

 

(k) procurement procedures of the Authority or the 
Agency and of the Appeals Authority; 




 

(l) procedures for handling disagreements between 
procuring institutional bodies for procurement 
functions; 




 

(m) threshold for ratification by the Attorney General 
or a person authorized by him; 







No. 7 Public Procurement 2011 

 

 

 

(n) procedures for consideration of national 
preference in tendering and thresholds for 
exclusive preference; 




 

(o) the manner and duration for keeping procurement 
records by procuring entity; 




 

(p) procedure and period of debarment of a tenderer 
by the Authority or procuring entity; 




 

(q) procedures for procurement under the public 
private partnerships agreements; 


(r) procedures for advertisement and publication of 
tender notices by procuring entities; 




 

(s) standards tender documents for application under 
this Act; 




 

(t) percentages for contract variation or 
amendments; 




 

(u) procedures for negotiation and award of contract; 




 

(v) procedures for retrospective approval; 




 

(w) anything or matter which requires to be 
prescribed under this Act; and 




 

(x) procedures for conducting e-procurement. 




 

 

Guidelines 

 106. The Authority shall issue guidelines from time to 
time for the better carrying out of the objectives or any 
functions under this Act. 

Repeal and 
savings 

Cap.410 

 107.-(1) The Public Procurement Act, 2004 is hereby 
repealed. 

 (2) Notwithstanding subsection (1), every order, 
direction or appointment which was issued, given, or made 
pursuant to the provisions of the Public Procurement Act and 
every office created in pursuance thereof shall remain valid 
until otherwise cancelled, revoked, varied or abolished under 
the provisions of this Act. 

 



 


No. 7 Public Procurement 2011 

 

 

 

 

 (3) Upon the coming into operation of this Act, save 
for section 31(3), all laws, regulations or rules relating to 
public procurement and disposal of public assets by tender 
shall cease to have any effect, power, function, authority or 
duty in relation to any matter connected with procurement of 
goods, service, works or disposal of public assets by tender. 

Transitional 
provisions 

 108.-(1) All properties, except that property as the Minister 
may determine, which immediately before the commencement 
of this Act was vested in the Government for the use of the 
Authority or the Appeals Authority on the date of 
commencement of this Act shall immediately vest in the 
Authority or the Appeals Authority subject to all interests, 
liabilities, charges and trusts affecting that property. 

 

 (2) All legal obligations, proceedings and claims pending 
in respect of the Authority or the Appeals Authority shall be 
continued or enforced by or against the Authority or the 
Appeals Authority in the same manner as they would have 
been continued or enforced if this Act had been in force at the 
time when the cause of action arose. 



 

______ 

 

FIRST SCHEDULE 

_______ 

 

(Under section 21) 

______ 

 

COMPOSITION, APPOINTMENT AND PROCEDURES OF THE AUTHORITY 

 

Interpretation 

 1. In this Schedule “Appointing Authority" means: 

 

(a) in the case of the Chairman of the Authority, the President of 
the United Republic of Tanzania; and 

 

(b) in the case of Members of the Authority, the Minister for the 
time being responsible for finance; 



 

 

 

 


 

No. 7 Public Procurement 2011 

 

 

Composition 
and 
appointment of 

the Authority 

 2.-(1) The Board of Directors shall consist of the following members - 

(a) a non-executive Chairman who shall be appointed by the 
President; and 

(b) six members at least three of whom are experts or specialists 
in procurement, law, management, engineering, commerce, or 
in any other relevant field , who shall be appointed by the 
Minister, 

 

 (2) The Chief Executive Officer who shall be appointed by the President shall 
be the Secretary to the Board. 

 

 

Tenure 

of 

office 

 3.-(1) The Chairman and members of the Board shall be appointed for a period 
of three years and shall be eligible for re-appointment for a further period of three 
years. 

 

 (2) Under exceptional circumstances, the Appointing Authority may extend 
the tenure of the Board member or members for a period not exceeding six months 
from the date of expiry of the initial period of appointment. 

 

 (3) The Appointing Authority may determine the appointment of the 
Chairman, members and Chief executive of the Board at any time for. 

 

(a) abuse of office; 

 

(b) corruption; 

 

(c) incompetence; 

 

(d) any physical or mental incapacity that renders a person 
incapable of performing the duties of that office; 

 

(e) failure to attend three consecutive meetings of the Board 
meetings without reasonable grounds; 

 

(f) conviction of an offence involving moral turpitude; and 

 

(g) being adjudged bankrupt by a court of law. 

 

 (4) Any member of the Board may resign upon giving one month's notice in 
writing to the Appointing Authority. 

 

 (5) If any member is absent from three consecutive meetings of the Board 
without providing reasonable excuse, the Board shall advise the appointing 
authority to terminate the appointment of that member and appoint another 
member in his place. 

 

 

Attendance by 
non-members 

 4. The Board may invite public officers of procuring entities whose 
procurement is under consideration or any other person with a legitimate interest 
in the procurement being reviewed to attend its meetings for the purpose of 
assisting the Board, but such persons shall have no vote. 

 

 

Meetings 

 5.-(1) An ordinary meeting of the Board shall be convened by the Chairman, 
or in his absence or inability to act, the Chief Executive Officer, by a notice 
specifying the date, time and place of such meeting which shall be sent to each 
member at his usual place of business or residence not less than two full working 
days before the date of such meeting and the Board shall meet at such times and 
such places being not less than once in a month as the Chairman may determine. 




No. 7 Public Procurement 2011 

 

 

 

 (2) The Chairman, or in his absence or inability to act, the Chief Executive 
Officer, shall convene a special meeting of the Board upon receipt of a request in 
writing signed by not less than three members of the Board, save that such 
requests shall not be made without justifiable cause. 

Quorum 

 6.-(1) Half of the members of the Board shall form a quorum for a meeting 
of the Board. 

 

 (2) In the absence of the Chairman, the members present at a meeting of the 
Board shall elect one of the members to act as Chairman for that meeting and the 
member who is so elected shall be responsible for reporting the findings of such 
meeting to the Chairman. 

 

 (3) At any meeting of the Board, a decision of the majority of the members 
present shall be recorded as a decision of the Board, save that a member who 
dissents from that decision shall be entitled to have his dissenting decision and the 
reasons for it recorded in the minutes of that meeting. 

 

 (4) The validity of any act or decision of the Board shall not be affected by 
any vacancy among its members or by any defect in the appointment of any of 
them. 

 

 

Minutes 

 7. Minutes of each meeting of the Board shall be recorded by the Secretary 
in a proper form and shall be confirmed by the Board and signed by the Chairman 
and the Secretary at the next following ordinary meeting of the Board and filed at 
the offices of the Authority. 

 

 

Notification of 
decisions 

 8. Notification of decisions of the Board and all other communications 
made on its behalf shall be signed by the chief executive officer, or by an officer of 
the Secretariat of the Board who has been authorized in writing by the chief 
executive officer to act on that behalf. 

 

 

Regulation of 
proceedings 

 9. The Board shall have power to regulate its own proceedings. 

Subcommittees 

 10. The Board may establish subcommittees and appoint as members, of 
such subcommittees, persons who are or are not, members of the Board for the 
purposes of advising the Board on any specific matter. 

 

 

Fees and 
allowances 

 11. The Minister may prescribe fees and allowances which may be payable 
to the Chairman and members of the Authority. 




No. 7 Public Procurement 2011 

 

 

 
_______ 
SECOND SCHEDULE 
______ 

 
(Under section 31(2)) 
______ 

 

COMPOSITION, APPOINTMENT AND PROCEDURES OF TENDER BOARDS 

 

Interpretation 

 

 1.-(1) In this Schedule, "the board" means the Tender Board for the Ministry, 
Independent Department of Government, Region, Agency and Parastatal 
Organisation. 

 

 

Composition 
and 
appointment 

 2.-(1) The Board shall consist of – 

(a) a Chairman, who shall be one of the heads of department or a 
person of similar standing and who shall be appointed by the 
accounting officer;. 

 

(b) six members who are heads of department or persons of 
similar standing within the same procuring entity and who 
shall be appointed by the accounting officer. 

 

 (2) The Secretary of the Tender Board, shall be the head of the procurement 
management unit. 



 

Tenure of 
Appointment 

 3.-(1) The Chairman and members of the Board shall be appointed for a 
period of three years and shall be eligible for re-appointment for a further period of 
three years. 

 

 (2)Under exceptional circumstances, the accounting officer may extend the 
tenure of the Board member or members for a period not exceeding three years from 
the date of expiry of the initial period of appointment. 

 

 (3) The accounting officer may terminate the appointment of the Chairman and 
members of the Board at any time for: 

 

(a) abuse of office; 


(b) corruption; 


(c) incompetence; 


(d) any physical or mental incapacity that renders a person incapable of 
performing the duties of that office; 


(e) failure to attend three consecutive meetings of the Board meetings 
without reasonable grounds; 




 

(f) conviction of an offence involving moral turpitude; and 




 

(g) being adjudged bankrupt by a court of law. 




 

 (4) Any member of the Board may resign upon giving one month's notice in 
writing to the accounting officer as the case may be. 

 

 (5) If any member is absent from three consecutive meetings of the Board 
without providing reasonable excuse, the Board shall advise the accounting officer to 
terminate the appointment of that member and appoint another member in his place. 




No. 7 Public Procurement 2011 

 

 

Attendance 
by non– 
members 

 4. The Board may invite public officers from within the procuring authority 
or other public authority to attend its meetings for the purpose of assisting the board, 
but such person shall have no vote. 

 

 

Meetings 

 5. Meetings of the board shall be convened by the Chairman, or in his 
absence or inability to act, the Secretary, by a notice specifying the date, time and 
place of such meeting which shall be sent to each member at his usual place of 
business or residence not less than two full working days before the date of such 
meeting and the board shall meet at such times and places, being not less than once 
in a month, as the Chairman may determine. 



 

Quorum 

 6.-(1) Half of the members of the board shall form a quorum for a meeting of 
the board. 

 

 (2) In the absence of the Chairman, the members present at a meeting of the 
board shall elect one of the members to act as Chairman for that meeting and the 
member who is so elected shall be responsible for reporting the findings of such 
meeting to the Chairman. 

 

 (3) At any meeting of the board, a decision of the majority of the members 
present and voting shall be recorded as a decision of the board, save that a member 
who dissents from that decision shall be entitled to have his dissenting decision and 
the reasons for it to be recorded in the minutes of that meeting. 

 

 

Minutes 

 7. Minutes of each meeting of the board shall be recorded by the Secretary in 
a proper form and shall be confirmed by the board and signed by the Chairman and 
the Secretary at the next following meeting of the board. 

 

 

Notification 
of decisions 

 8. Notification of decisions made by the board and all other communications 
sent on its behalf shall be signed by the Secretary or by the Permanent Secretary or 
Chief Executive as the case may be. 

 

 

Regulation 
of 
proceedings 

 9. A tender board shall conduct its proceedings in accordance with the 
prescribed Regulations. 

 

 

Subcommi-
ttees 

 10. The tender board may establish sub-committees and appoint as members, 
of such sub-committees, persons who are, or are not, members of the tender board 
for the purposes of advising the board on any specific matter. 

 

 

Fees and 
allowances 

 11. The Minister may prescribe fees and allowances which may be payable to 
the Chairman and members of the board. 




No. 7 Public Procurement 2011 

 

 

______ 

 

THIRD SCHEDULE 

________ 

 

(Under section 88) 

______ 

 

COMPOSITION AND PROCEDURES OF THE APPEALS AUTHORITY 

 

Interpretation 

 1. In this Schedule: 

 

"Appointing Authority" means – 

 

(i) in the case of Chairman, and Executive Secretary of the Public 
Procurement Appeals Authority, the President of the United 
Republic of Tanzania; and 

 

(ii) in the case of Members of the Appeals Authority, the Minister for the 
time being responsible for finance. 



 

Tenure of 
office 

 2.-(1) The Chairman and members of the Appeals Authority shall be appointed 
for a period of three years and shall be eligible for re-appointment for a further period 
of three years. 

 (2) Under exceptional circumstances, the Appointing Authority may extend the 
tenure of a member for a period not exceeding six months from the date of expiry of 
the initial period of appointment. 

 

 (3) The appointing authority may terminate the appointment of the Chairman, 
members and Executive Secretary at any time for - 

 

(a) abuse of office; 


(b) corruption; 


(c) incompetence; 


(d) any physical or mental incapacity that renders a person incapable of 
performing the duties of that office; 


(e) failure to attend three consecutive meetings of the Appeals Authority 
meetings without reasonable grounds; 


(f) conviction of an offence involving moral turpitude; and 


(g) being adjudged bankrupt by a court of law. 




 

 

 (4) Any member of the Appeals Authority may resign upon giving one month's 
notice in writing to the Appointing Authority. 



 

 

 (5) Where a member is absent from three consecutive meetings, the 
Appeals Authority shall advise the Appointing Authority to terminate the 
appointment of that member and appoint another member in his place. 

 

 

Committees 

of the Board 

 3. The Appeals Authority may establish not more than three 
subcommittees whose membership shall consist of not more than three persons for 
purpose of advising the Appeals Authority on any specific matter. 




No. 7 Public Procurement 2011 

 

 

 

 

Notice of 
hearing 

 4.-(1) The hearing of the Appeals Authority shall be convened by the 
Chairman or in his absence or inability to act the Executive Secretary, by a notice 
specifying the date, time and place of such hearing which shall be sent to each 
member at his usual place of business or residence not less than two full working 
days before the date of such hearing. 

 

 (2) The Chairman or in his absence or inability to act, the Executive 
Secretary shall convene a special meeting upon receipt of a request in writing 
signed by not less than three members of the Appeals Authority save that such 
requests shall not be made without justifiable cause. 

 

 (3) The Appeals Authority may act notwithstanding any vacancy in its 
membership. 

 

 (4) No act or proceeding of the Appeals Authority shall be invalid by 
reason of any defect or irregularity in the appointment of any member or by reason 
that any person who purposed bona fide to act as a member at the time of the act or 
proceeding was in fact disqualified or not entitled to act as a member. 

 

 

Procee-dings of 
the Appeals 

Authority 

 5.-(1) In resolving disputes or complaints the Appeals Authority shall 
conduct proceedings in accordance to the Rules made under this Act. 

 (2) Where the Rules are silent in relation to any particular practice or 
procedure the proceedings of the Appeals Authority shall be conducted in 
accordance with such Rules of practice and procedure as the Appeals Authority 
may specify. 



 

Quorum 

 6-(1) In any meeting of the Appeals Authority, three members shall form a 
quorum for a hearing of review or an appeal. 

 

 (2) In the absence of the Chairman, the members present at a meeting of the 
Appeal Authority shall select one of their members to act as chairman for that 
meeting and the member who is selected shall be responsible for reporting the 
findings of such meeting to the Chairman. 

 

 

 

 (3) At any hearing of the appeal or complaint, the decision of the majority of 
the members present shall be recorded as a decision of the Appeals Authority, save 
that a member who dissents from that decision shall be entitled to have his decision 
and the reasons thereof be recorded in the minutes of that meeting. 

 

 

Records of 
Appeal 

 7.-(1)Proceedings at the hearing by the Appeals Authority shall be recorded 
in writing by the members or by any other authorized person. 

 

 (2) The records of every proceedings of the Appeals Authority shall be 
signed by the members present and the Chairman or a person presiding over. 

 

 

Minutes of the 
meetings 

 8. Minutes of each meeting of the Appeals Authority shall be recorded by the 
Executive Secretary in a proper form and shall be confirmed by the Appeals 
Authority and signed by the Chairman and the Executive Secretary or by an officer 
of the Secretariat who has been authorized in writing to act on behalf of the 
Executive Secretary at the next meeting. 




No. 7 Public Procurement 2011 

 

 

Notification 

of decision 

 9. Notification of decision made by the Appeals Authority and all other 
communications sent on its behalf shall be signed by the Executive Secretary or by 
an officer of the secretariat who has been authorized in writing to act on behalf of 
the Executive Secretary. 

 

 

Fees and 
allowances 

 10. The Minister may prescribe fees and allowances which may be payable to 
the Chairman and Members of the Appeals Authority. 



 

 

 

Passed in the National Assembly on the 14th November, 2011. 

 

 

 

 

 

THOMAS D. KASHILILAH, 

Clerk of the National Assembly