Senegal: Petrosen holding, SAR, RGS, INPG... spared from the Public Procurement Code on the acquisition of equipment & services

The Société d'électricité du Sénégal (Senelec) and the company Pétrosen Holding and its subsidiaries and other public companies in the energy sector (the Société africaine de raffinage, the Réseau gazier du Sénégal and the Institut national du pétrole et du gaz) no longer meet the requirements of the Public Procurement Code for the acquisition of equipment, advanced services, and oil and gas products in the course of their activities.

Through Decree No. 2022-538 amending and supplementing Decree No. 2014-1212 of September 22, 2014 on the Public Procurement Code, President of the Republic Macky Sall is offering new provisions to public companies in the energy sector, enabling them to "face the competition" and optimize their performance.

This new decree signed on August 12, 2022, targets the contracting authorities, public companies in charge of implementing oil policy, exploration, exploitation of oil and gas resources, refining and marketing of oil and gas products, construction, operation and maintenance of natural gas transport and distribution infrastructures, production, transport and distribution of electrical energy.

Thus, this decree, which amends and completes Article 3, point 4, C) of Decree No. 2014-1212 of September 22, 2014, stipulates in Article 1 that the companies concerned may, depending on their activities and without applying the procedures of the Public Procurement Code, "acquire crude oil, petroleum and gas products and chemical products for the country's supply and/or marketing needs, acquire equipment, advanced services and consumables for the functioning and operation of their activities."

The contracting authorities, public companies concerned can now also "acquire equipment for the construction of infrastructure for the transport and distribution of natural gas throughout the country, acquire equipment for the production, transport and distribution of electrical energy, acquire equipment and consumables for the operation and exploitation of facilities.

They can also "acquire equipment related to training in the oil and gas sector, acquire laboratory equipment in the oil and gas sector".

The new decree finally allows these companies to acquire the recommended and/or required certifications in the oil and gas industry without applying the procedures of the Public Procurement Code.

However, the national coordinator of the Civil Forum/Transparency Section cannot support this act, which he describes as contradictory to the WAEMU directives on public procurement.

"Your decree amending the public procurement code is synonymous with an organized heist to directly enrich companies." For the coordinator of the Civil Forum, the exclusion of purchases mentioned without application of the procedures provided by the Procurement Code is in contradiction with the Constitution and the directives of the Uemoa on public procurement." says Birahime Seck

Indeed, among the WAEMU directives, it is necessary to define the principles and modalities of implementation of the functions, mechanisms and procedures of control and regulation of public procurement and public service delegations, within the West African Economic and Monetary Union.