Participation of Women-Owned Businesses (WoBs) in public procurement is not only a matter of economic empowerment but also a crucial step towards fostering gender equality and inclusive economic growth.
Under their Lift Program, Open contracting Parternship selected AFIC and PPDA to participate in the program under the shared theme of leveraging open contracting to advance social inclusion, particularly to enhance women’s participation in public procurement in Uganda.
Among the activities under the project is building women’s capacity to participate in the sector.
The 18 month project has started by carrying out an assessment of women’s participation in public procurement in selected four entities of KCCA, UEGCL, Wakiso DLG and Mbarara City to establish the awarding of contracts and how many go to women. Below are the findings from the assessment.
PROBLEM STATEMENT
1. Low Participation: Women entrepreneurs face significant barriers and as a result, their representation in Public Procurement remains low.
2.Limited Data Disclosure: The reluctance in disclosing data related to procurement processes makes it challenging to identify and address systemic issues that hinder women’s participation.
3.Lack of Disaggregated Data: Existing procurement reporting platforms lack disaggregated data. The absence of data makes it difficult to evaluate the impact of initiatives aimed at promoting women-owned businesses in public procurement.
METHODOLOGY
Pilot Approach: Selected four PDEs, 2 CGs and 2 LGs (KCCA, UEGCL, Wakiso DLG and Mbarara City).
Inception Meetings: Held with pilot entities to discuss assessment and data requirements.
Data Collection: Retrieved data for the pilot Entities from the Entity Management Information System, where entity monthly and quarterly reports are digitized. Data for the FY 2022/23.
Company Data Retrieval: Utilization of the URSB portal to search for company data, including ownership, shareholding proportions, and gender of shareholders. Sources for data retrieval include Memorandum of the Articles of Association, Search Report, and Partnership Agreement. Gender confirmation conducted through review of Identity Cards.
FINDINGS
Kampala Capital City Authority
The assessment considered a total of 1,813 Awarded Contracts equivalent to a total value of UGX 195.66 were awarded in FY 2022/23.
Graph below shows the proportion of contracts by Category
Men Owned Companies represent the majority of 75% of the number of contracts and 23% of the value of contracts.
Women Owned Companies represent 18% of the number of contracts and only 6% of the value of contracts.
‘Other’: This category includes foreign companies or holding companies. Representing 3% of the number of contracts and 77% of the value of contracts. An example is China Railway 18th Bureau Group Co Limited that had a total of UGX 127.3 billion. These companies had shareholders as companies that were not traceable on the URSB portal.
Government Entities: represented 2% of the number of contracts. Examples include the New Vision, UBC.
1. 40% in Catering Services. breakfast, refreshments, and lunch for various meetings, workshops, and training sessions.
2 .25% in Office Supplies and Equipment including office furniture, stationery, printers, and IT equipment and supply of cleaning and janitorial supplies for public toilets and office compounds.
3. 15% in Vehicle Maintenance and Services –Procurement of spare parts, tyres, and accessories for vehicle maintenance.
4. 15% in Community Engagement and Support Programs –Facilitation of workshops, training sessions, and consultative engagements for stakeholders and supply of agricultural inputs, educational materials, and sports supplies for youth and community development programs.
From the data captured in the EGP. 700 companies participated in bidding for KCCA contracts
Out of these 74% were Men Owned companies, 17% Women Owned. Government entities and foreign companies accounted for 1% and 8% respectively.
Proportion of Participation of WoBs by Category:
Uganda Electricity Generation Company Limited (UEGCL)
The assessment considered 555 Awarded Contracts equivalent to a total value of UGX 111.7 Bn.
Graph below shows the proportion of contracts by Category.
Profile of WoBs_UEGCL
While WoBs account for 12% of the total number of contracts, they receive only 1% of the total contract value.
WoBs’ contracts are smaller in value compared to those awarded to men-owned businesses.
Majority of the contracts were in supplies.
UEGCL- Prequalification List
Out of the 118 prequalified Entities, 19% (23) were Women-Owned Companies
Wakiso DLG
qThe assessment considered a total of 229 Awarded Contracts equivalent to a total value of UGX 11,056,961,082.
Graph below shows the proportion of contracts by Category.
Profile of WoBs_Wakiso DLG
Contracts awarded to WoBs represent 10% of the total contract value, 6% of the total number of contracts, and involve 15.7% of the total number of providers.
64% of WoBs were awarded contracts in supplies, 45% were in works.
By value: 71% of the value of contracts awarded to WoBs were in works, 29% in supplies. e.g construction of pit latrines.
Prequalification List: Out of the 56 companies that are prequalified with Wakiso, 10 (18%) are women owned companies.
Mbarara City
The assessment considered a total of 56 Awarded Contracts equivalent to a total value of UGX 2,668,107,627.
Graph below shows the proportion of contracts by Category.
The Entity prequalified a total of 59 companies, out of these 7 (12%) were women owned companies.
The women owned were mainly in supplies specifically computers, furniture and educational materials.
Barriers hindering WoBs (feedback from the trainings of WOBS)
Lack of Knowledge about the Bidding Process
Inability to Win Bids and Discouragement: Bidders often feel discouraged by their inability to win bids, leading to reduced motivation to participate in future opportunities.
Lack of Information: Limited access to relevant information about bidding opportunities and procedures
Perceived Gender Bias: leading to feelings of exclusion and marginalization.
Complexity and High Costs: The complexity and high costs associated with bidding processes deter small businesses from participating.
Perception of Corruption and Lack of Trust
