Finance Ministry to blacklist rule-breaking contractors

The Finance Ministry is preparing to introduce measures to blacklist contractors that violate government procurement laws.

Deputy Finance Minister Julapun Amornvivat stated that in addition to blacklisting, contractors who breach procurement rules but whose offences are not severe enough for blacklisting may face downgrading.

Julapun mentioned that discussions will be held with the Interior Ministry to ensure strict and comprehensive blacklisting procedures for government project contractors. An anonymous source from the Finance Ministry revealed to Bangkok Post that the regulations for contractor blacklisting are expected to be submitted to the Cabinet for consideration tomorrow, April 8.

Initially, these regulations will apply to construction projects managed by the Department of Highways and the Department of Rural Roads, excluding building construction projects.

Julapun indicated that a ministerial regulation has been drafted to establish criteria for entrepreneurs registering for procurement, aiming to enhance safety measures and monitor contractors’ operational duration.

Should the Cabinet approve, the Comptroller-General’s Department will draft a ministerial regulation concerning public procurement and supplies administration, focusing on assessing contractor performance.

A contractor report card system is planned to penalise substandard contractors, potentially leading to downgrading or removal from the construction registry, according to the source. Implementation is anticipated this month.

In fiscal year 2024, the specific procurement method was the most utilised by government agencies, encompassing 6.3 million projects and representing 97.6% of all procurement announcements. The electronic bidding method accounted for the highest total procurement value at 785 billion baht, or 50.3% of the total.

The specific procurement method was followed with a value of 588 billion baht or 37.6%, and the selection method at 159 billion baht, representing 10.2% of the total procurement value. Electronic market procurement yielded the highest budget savings, achieving 19.3% of the allocated procurement budget, reported Bangkok Post.

In other news, the Finance Ministry has declared that the recent earthquake’s damage has not affected the overall economy, while also pledging government support for those impacted.

Thailand News

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Ryan Turner

Ryan is a journalism student from Mahidol University with a passion for writing all kinds of content from news to lifestyle articles. Outside of work, Ryan loves everything to do with history, reading, and sports.

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