White List Proposal in the Draft Bill on Procurement of Goods and Services

Head of the Center for Public Administration of Parahyangan Catholic University Tutik Rachmawati encouraged the government to prepare a Draft Bill on Public Procurement of Goods and Services. She proposed a clause on the “whitelist” mechanism for companies.

“To prove procurement companies that use state money, win tender work, but do not think about themselves and only gain profit,” Tutik told Hukumonline.

The procurement party in question is one that also creates added value from cooperation, for example environmental protection, recruiting disabled workers or prioritizing female workers.

The “whitelist” is expected to build a better procurement ecosystem and not depend on certain companies to avoid conflicts of interest. “A kind of appreciation by being prioritized to participate in tenders,” she continued.

Currently, Indonesia only has a “blacklist” mechanism for companies that violate government procurement provisions. This list functions as an administrative sanction and a prohibition from participating in auctions or direct appointments by the government.