Procurement Commission extends validity of suppliers’ registration

Effective April 1, 2025, the Public Procurement Commission (PPC) will be extending the validity period of supplier registration certificates from 18 months to three years.

The game-changing decision will impact entrepreneurs who do business with government entities when they apply for new certificates or renew their certificates come April 1.

Executive Director at the PPC, Nadia Morris, explained that the decision to double the previous 18-month duration was made following consultations with its stakeholders.

“Based on our stakeholder engagements and feedback from our suppliers, it was always felt that the 18 months was too short. Government saw the need and went ahead and amended the legislation,” Morris said.

Legislative amendments were also made to adjust the fees associated with registration of the five categories that exist within the public procurement process, as part of broader public procurement reforms.

 “For Grade one, that category is unlimited, so you can bid on any number of projects and that price was $60,000.00 and it's increased to $120,000.00.

“Grade 2 was also $60,000.00 and is now $120,000.00.

Grade 3, that is now $60,000.00. Grade 4, that's $5,000.00, like start-ups (businesses), and that has doubled; and then we have artisans, Grade 5 – that was $1,000.00; it's doubled,” she noted.

Morris argued that the value that suppliers will see with the extension of their registration validity will be noticeable.
“Even with the increase in fees… the value that you are getting is significant because you are now doubling the period within which you can submit your registration applications,” Morris said.

The PPC anticipates more businesses will seek to bid on government contracts.

“I believe with the extension we will have increased competition because as it stands now, you keep seeing the same suppliers bidding for similar projects. We can get a different pool of suppliers to participate and increase competition,” Morris said.

“I know most persons would not have had the opportunity to participate in enough public procurement opportunities and so, having a three-year span we believe would open up the doors for many of our suppliers,” the executive director added.

It must be noted that only works contractors have to pay registration fees, as all other categories in the goods and services sector pay no fees.

The PPC indicates that for this financial year alone, there are 936 suppliers, a 15 to 20 per cent increase over the previous financial year when 880 suppliers were registered. It is expected that with the extension of the validity period of the certificates, more persons will be interested in participating in the public procurement process.

“We'll see an uptick in participation, because it's really to remove the barriers to entry, so persons can participate in the public procurement process that the government entities would be engaged in,” Morris said.

Under Jamaica’s existing procurement legislation, the Public Procurement Act, 2025, suppliers who desire to sell goods, works and services to any governmental organisation are required to register with the PPC to obtain a PPC Registration Certificate. This is a mandatory requirement if suppliers intend to sell goods and services above $1.5 million and works above $2million to governmental bodies.