Amid the kickbacks controversy, the government has decided to use new-age technology to ensure transparency in the tendering process. This is to track every authenticated vendor/contractor before allocating new projects.
Over the years, incomplete or pending public projects have resulted in several private firms being blacklisted from applying for government tenders. Yet, the same companies shift their base to other states to apply afresh for new projects and continue to misuse public funds without adequate expertise or track record, sources say.
Using crypto technology, theCentre for Smart Governancehas developed a vendor blockchain that will keep a chronological record of every vendor/contractor who has registered on theKarnatakae-procurement portal or in any other state, and intends to bid for a project.
The government plans to complete the repository of vendors registered on the e-procurement portal after securing their Consent. Once the vendor agrees to be part of the blockchain, all his records will be available to tender-inviting parties. It will also help the vendor prove his antecedents without having to run from pillar to post for a physical completion certificate and letter of recommendation from his previous employer, said the official.
The CSG will try to get on board other state governments and tender-inviting agencies across the country, so that more stakeholders will utilise the blockchain.