Government ministries will take a more active role in selecting tenders under a new procurement procedure intended to cut down bureaucracy.

Principal Permanent Secretary Mario Cutajar said today the new system would see the role of the government Contracts Department changed from operator to regulator, with ministries taking responsibility for their own tenders.

To ensure accountability, the Contracts Department will still have representatives in different ministries to keep tabs on the process, with ministries setting up a specialised Procurement Unit to vet all tenders up to €250,000.

The system is currently being trialled in the Education, Home Affairs and Justice and Culture ministries and is one of several announced today as part of a two-year exercise to reduce bureaucracy in procurement procedures.

Further changes will see the removal of certain requirements – including experience and bank guarantees – from tenders worth less than €500,000, to make the process accessible to more businesses.

Mr Cutajar said the government was also looking into the introduction of a points system, as part of new selection procedures that emphasise the merit and technical aspects of a tender application above its price.

While this approach – the Most Economically Advantageous Tender strategy – is already in place, it has never been implemented, such that the lowest-cost tender is typically the one selected.

Mr Cutajar also emphasised measures to improve the ease of doing including greater coordination in business inspections following more than 72,000 inspections by 22 entities last year, which he described as overwhelming for small businesses.

A joint working group has also been set up with the Auditor General’s office to review public financing regulations, including the management of the government’s vehicle fleet, handling of petty cash, transport, travel and inventory.