The New Government Procurement Act (NGPA) or Republic Act No. 12009 introduces a fit-for-purpose approach to government procurement, recognizing the pivotal role of science, technology, and innovation in enhancing process efficiency and delivering prompt service through Direct Procurement for Science, Technology, and Innovation Mode of Procurement.
Section 37 of the NGPA empowers the government to directly procure from capable manufacturers, suppliers, or qualified startups for:
a) Supplies, materials, equipment, and services actually, exclusively, and directly for research and development projects or activities;
b) Goods which include products of a commissioned task by a Procuring Entity which were processed, developed, and manufactured in satisfaction of its needs and requirements. These include: (1) pre-commercial goods and services that involve early market engagement to stimulate the development of new goods and services that meet specific government needs; and (2) goods to be manufactured by qualified startup businesses alongside the thrust to develop and support new and startup businesses.
Unless otherwise indicated in a written agreement, the intellectual property rights and ownership over the commissioned goods developed and manufactured pursuant to this provision shall belong to the Procuring Entity, and no manufacturing or sale thereof can be performed by the supplier
c) Other goods analogous to the foregoing.
This innovative mode supports research, development, and the creation of pre-commercial goods, driving forward the Philippines’ innovation ecosystem. It ensures efficiency by guaranteeing the timely delivery of government programs and projects. It fosters innovation by encouraging early market engagement and supporting startups. Additionally, it secures ownership, as the intellectual property rights for commissioned goods belong to the Procuring Entity.
This initiative aligns with a fit-for-purpose approach, ensuring that science, technology, and innovation projects are executed efficiently and effectively. The Government Procurement Policy Board (GPPB), in coordination with the National Innovation Council, will develop comprehensive procurement policies to support the entire research, innovation, and enterprise ecosystem.
Let’s embrace this new era of procurement and drive forward our nation’s innovation and development!
Get the latest NGPA Series via the GPPB-TSO website and NGPA Microsite (https://ngpa.gppb.gov.ph/) or click this link: https://www.gppb.gov.ph/category/ngpa-series/
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