Organization
World Bank
Report Year
2015
1st MAR Year
2015
Accepted
Yes
Status
Active
Recommendation

Recommendation 5: The World Bank Group should provide authoritative guidance to its staff on how to handle unsolicited PPP proposals, both in its upstream and downstream work. Given the importance of unsolicited bids, in particular in countries with an upstream deal gap, there is a need for a Bank Group wide policy on how to handle them best, so that countries can benefit from the upside of unsolicited proposals that is, funding of project preparation and innovation, while at the same time safeguarding public interests and integrity.

Recommenation Adoption
IEG Level of Adoption by Year: mar-rating-popup MMNTNT Management Adoption by Year: mar-rating-mng-popup MSNTNT
CComplete
HHigh
SSubstantial
MModerate
NNegligible
NANot Accepted
NRNot Rated
Findings Conclusions

To date the Bank Group has not adopted a policy on how to address unsolicited proposals. In 2013, IFC advisory services issued guidelines on
how to handle negotiated contracts for its PPP business line, expanding its product offerings;
however, there is no Bank Group-wide practice yet. Ongoing Bank Group practice ranges from advising countries to reject unsolicited bids and solely rely on PPPs tendered out; to advising countries to design a suitable framework for managing them. Given their importance and the 2013 Bank Group strategy's emphasis on PPPs, there is a need to provide guidance on this issue to Bank Group staff engaged both in both upstream and downstream work. The expanded product offering and resulting experience from IFC advisory services may offer useful learning for the rest of the World Bank Group.

Original Management Response

WB: Partially Agrees. Management agrees that this is a pressing issue that warrants authoritative guidance to staff across the WBG. Management, however, does not agree that a new Bank Group wide policy needs to be introduced.

Determining the most appropriate means for addressing unsolicited PPP bids will require consolidating the knowledge generated within the WBG as well as external organizations.

The PPP- CCSA will perform the vital function of managing and collating PPP-related knowledge. Accordingly, the PPP- CCSA will develop a comprehensive understanding of the various methods for managing and responding to unsolicited PPP bids that can be used to create a literature set on the topic of unsolicited bids.

Action Plans
Action 1
Action 1 Number:
0334-01
Action 1 Title:
WB Action 5.A: WBG will develop and disseminate knowledge product on evidence-based good practices on handling unsolicited propo
Action 1 Plan:

WB Action 5.A: WBG will develop and disseminate knowledge product on evidence-based good practices on handling unsolicited proposals (USPs) and build capacities of WBG teams to provide advice to clients on how to build systems to handle USPs transparently and effectively.
Indicator: Reports and other materials on handling USPs according to good practices developed
Baseline: None at present
Target: (a) Knowledge product on experience of USP
(b) Develop internal guidance notes for WBG staff
(c) Develop Global tools and processes including sharing best practice case studies and guidance notes
Timeline: (a) by June 2015
(b) by October 2015
(c) by March 2016

Action 2
Action 2 Number:
0334-02
Action 2 Title:
WB Action 5B: Incorporate guidance into USPs in guidance under new WB procurement policy
Action 2 Plan:

WB Action 5B: Incorporate guidance into USPs in guidance under new WB procurement policy
Indicator: Guidance to procurement policy in WB includes material on handling USPs
Baseline: Currently there is ad hoc guidance
Target: Incorporate guidance on USPs in to procurement policy.
Timeline: Guidelines developed by June 2015

Action 3
Action 4
Action 5
Action 6
Action 7
Action 8
2018
IEG Update:
No Updates
Management Update:
No Updates
2017
IEG Update:
No Updates
Management Update:
No Updates
2016
IEG Update:

The guidance note / policy on USP has not yet been drafted. According to the Management update, WBG operations is still in the process of findings a consensus on how to handle USPs. Once the guidance note is drafted, it still would have to be incorporated into the WB procurement policy. Hence rated "moderate".

Management Update:

WB Action 5.A;B: Given the challenges of delivering USP policy / guidance within the WBG various workshops and discussions have been undertaken to build consensus. The team is working on the drafting of the USP guidance document. It will serve as both internal WBG and external guidance documents. To ensure consistency across all products the knowledge product on experience of USP has been postponed. Expectations are to finalize the full documentation (USP knowledge product, policy guidance; guidance on USP implementation) in the first quarter of calendar year 2017.

2015
IEG Update:

According to the Management Update the implementation of recommendation 5 has started. The development of knowledge products on unsolicited bids (5A) is underway, even though delay by 3 months. Incorporation on guidance on unsolicited bids in procurement policy awaited (5B).

Management Update:

WB Action 5A: Development of product underway, (a) Knowledge product on experience of USP expected September 2015 other deliverables similarly delayed by 3 months.

WB Action 5B: Procurement principles agreed with OPCS and included in the recently approved Investment Project Financing (IPF) Reform. Guidelines awaiting development from OPCS.