GeM and Punjab Government inks MoU to set up Project Management Unit
Government e-Marketplace (GeM) under Department of Commerce, Union Ministry of Commerce & Industry and Government of Punjab, signed a Memorandum of Understanding (MoU) to set up a GeM Organizational Transformation Team (GOTT) Project Management Unit (PMU) in the state.
Punjab is the 1st state which will establish GOTT PMU for effectively utilising this transformational initiative towards inclusive, efficient and transparent procurement. Among CPSUs, as of now only Steel Authority of India (SAIL) has already signed MoU for setting up of PMU. Many other states and CPSUs are in process of setting up GOTT PMUs.
It is estimated that through initiatives of GOTT PMU, Government of Punjab will be able to transact around Rs.1700 crore in terms of annual Gross Merchandize Value (GMV) on GeM platform in 1st year and over Rs.3000 crore per annum, over a period of time.
Importance: To further strengthen and enable Government departments towards a market based procurement, Department of Expenditure under Union Ministry of Finance has advised Ministries and Departments of Central and State Governments to consider services of GOTT on an outcome based self-sustenance model. GOTT will assist buyer agency to redesign procurement processes and enhance competencies to derive maximum benefit from online marketplace.
About GeM: It is the national public procurement portal that was launched in August 2016. Since then it has transformed public procurement landscape in country with transparency, efficiency and inclusion. It has facilitated procurement worth more than Rs.34,000 crore of goods & services by various Government Departments, Organisations and Public Sector Undertakings (PSUs).
Category: Economy & Banking Current Affairs
Topics: GeM Organizational Transformation Team • GOTT PMU • Government e-Marketplace • Government of Punjab • Memorandum of understanding • Project Management Unit • Union Ministry of Commerce & Industry