In a perfect example of making an impact beyond energy, The National Gas Company of Trinidad and Tobago Limited (NGC), in collaboration with the National Information and Communication Technology Company Limited (iGovTT), has enabled the Ministry of Education (MOE) to save millions of dollars in a recent laptop procurement exercise, through the use of a Reverse Auction on NGC’s e-auction platform.
NGC began using e-auctions to procure goods and services in May 2019. The basic premise of an e-auction is competitive bidding – participants compete on a digital platform to outdo competitors in terms of pricing offered. ‘Forward Auctions’ are used to sell items (highest bid wins), whereas ‘Reverse Auctions’ are used to purchase items (lowest bid wins). NGC has been using Reverse Auctions to allow suppliers to present bids on certain project scopes or tenders, for the opportunity to supply the requested good or service.
Having saved millions of dollars relative to in-house estimates since its first e-auction, NGC has recognised the value of the e-auction procurement methodology and has contemplated extending the availability of its e-auction platform to other state entities to generate savings and help streamline public procurement practices.