NGC says it e-auction tool saves Ministry of Education millions
Jamaica
he National Gas Company of Trinidad and Tobago Limited (NGC) says its collaboration with the National Information and Communication Technology Company Limited (iGovTT), is assisting the Ministry of Education to save millions of dollars in a recent laptop procurement exercise, through the use of a “Reverse Auction” on NGC’s e-auction platform.
In a statement, the company explained it began using e-auctions to procure goods and services in May 2019.
The NGC explained the basic premise of an e-auction is competitive bidding where participants compete on a digital platform to outdo competitors in terms of pricing offered.
‘Forward Auctions’ are used to sell items (highest bid wins), whereas ‘Reverse Auctions’ are used to purchase items (lowest bid wins).
NGC added that it has been using reverse auctions to allow suppliers present bids on certain project scopes or tenders, for the opportunity to supply the requested good or service.
The company further explained, “Having saved millions of dollars relative to in-house estimates since its first e-auction, NGC has
recognised the value of the e-auction procurement methodology and has contemplated extending the availability of its e-auction platform to other state entities to generate savings and help streamline public procurement practices.”
Earlier this year, NGC approached iGovTT, the implementation arm of the Ministry of Digital Transformation to demonstrate the utility of e-auctions in a public procurement exercise for the Ministry of Education.
Specifically, iGovTT was assisting the MOE with the purchase of 8000 laptops for the students.
Speaking on the intent behind the collaboration, NGC’s President Mark Loquan said the company sees itself in a position to leverage technologies utilised at NGC for the use and benefit by other State entities.
“This includes not only E-auctions, but also the adoption of satellite
services. We are continuously seeking opportunities to cut new paths, to help Trinidad and Tobago achieve its development goals. “We believe the impact of our innovations and learnings can be multiplied if shared with other companies, particularly in the State enterprise sector, which faces similar challenges. If we can collaborate with other State companies and ministries to help them work more efficiently and cost-effectively, then all of Trinidad and Tobago wins.”
On March 3 2023, the NGC hosted the e-auction event on behalf of iGovTT and the ministry of education, where representatives witnessed the functionalities of the e-auction platform and potential
applications of the system for future procurement activities.
According to the NGC not only did the Reverse Auction
result in significant savings for the ministry and by extension the public’s purse, but representatives left with valuable insights on the e-auction process and platform that can be replicated at other ministries.
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