A new law signed by President Marcos mandates that all government entities, including local governments, make electronic purchases and procurements.
Republic Act 12009, or the New Government Procurement Act (NGPA), introduces an electronic procurement and payment system for all government acquisitions of goods, services, and infrastructure projects, whether funded locally or internationally.
The law requires government agencies to implement a cloud-based inventory system for acquired goods and services. This system aims to improve transparency, efficiency, and integrity in government procurements, as it ensures that purchases are tracked and managed securely.
Camarines Sur Rep. Luis Raymund Villafuerte, a co-author of the law, emphasized the importance of this measure in preventing corruption and ensuring that public funds are used effectively.
Villafuerte also highlighted the need for a digital warehousing system, particularly after challenges faced during the pandemic when there were no clear guidelines for managing government procurements. He said that the new law would streamline inventory tracking and reduce wastage by ensuring that goods are properly stored and recorded.
The Department of Budget and Management (DBM) and the Bureau of the Treasury (BTr) are tasked with creating an electronic payment system for use by government agencies, suppliers, and contractors.
This system will ensure that payments for procurements are processed efficiently and securely.
Under RA 12009, all national government agencies (NGAs), government-owned and controlled corporations (GOCCs), and local government units (LGUs) must adopt cloud-based inventories in consultation with the Department of Information and Communications Technology (DICT). This will ensure that data storage is secure and that cybersecurity risks are addressed properly.
