Senate Moves to Ensure Fair Bidding Process for Indigenous Contractors

By Iyojo Ameh

The Senate has directed its Committees on Local Content and Public Procurement to ensure a level playing field for indigenous contractors in the federal contract bidding process.

This resolution followed the adoption of a motion at Wednesday’s plenary session, which underscored the need to prioritize indigenous contractors for the execution of small-scale Federal Government projects as a means to stimulate grassroots economic growth.

The motion, sponsored by Senator Suleiman Sadiq (APC-Kwara), emphasized the Federal Government’s commitment to inclusive economic development, poverty reduction, and job creation through sustainable practices.

Senator Sadiq highlighted the critical role of Small and Medium-Sized Enterprises (SMEs) and local contractors in driving economic development. He described them as the foundation of the national economy, with vast potential to generate employment, distribute wealth, and build local capacity.

He noted that despite the existence of policies such as the “Renewed Hope Infrastructure Development Fund,” many federal contracts below the N50 million threshold are still being awarded to larger, non-indigenous firms. This trend, he said, limits economic benefits to local communities and stifles the growth of emerging indigenous enterprises in Nigeria’s 774 local government areas.

“Engaging local contractors in such projects will not only foster community participation and job creation but will also promote a sense of ownership and ensure government funds circulate within local economies,” he stated.

Supporting the motion, Senator Sani Musa (APC-Niger) called for a review of the Bureau of Public Procurement’s (BPP) bidding and procurement requirements to better accommodate qualified local contractors.

Senators Solomon Adeola (APC-Lagos) and Adamu Aliero (APC-Kebbi) echoed the call for legislative reforms, urging the amendment of both the Local Content and Procurement Acts to improve indigenous contractors’ access and participation.

Senator Adeola, in particular, advocated for the expansion of the Local Content Act to cover other sectors of the economy beyond oil and gas.

In his remarks, Senate President Godswill Akpabio expressed support for the motion, noting that the current procurement laws make it difficult for indigenous contractors to secure federal jobs. He assured that the Senate would work toward amending the BPP Act to ease the process and enable local contractors to play a more significant role in national development, especially at the community level.