Ministry of Finance Launches an Online Tender System

The Accountant General's office at the Ministry of Finance, announced a pilot project today for an online tender system within the larger framework of the E-Government Project. The online tender system is a trading platform for online government tenders (see: www.tenders.gov.il).
 
This service will enable government ministries to carry out online tenders where businesses compete against one another.
 
This service will result in government cost savings, will increase the transparency in the tender process vis-א-vis suppliers, save suppliers time in submitting their tender offers and enable tenders to be carried out at short notice and with maximum efficiency.
 
The pilot project will test all aspects of the system's operations. These include:
·  The savings to the government from the use of online tenders.
·  The legislative changes required to enable online competition.
·  The ability of the business sector to submit online offers through electronic means.
·  The supervision and control systems needed for online tenders.
·  The adaptability of electronic trading systems to the requirements inherent in Israeli law.
 
The Online Tender Project will entail the use of advanced security technologies, including smart cards and electronic certificates, providing access to the tender trading platform, in addition to the use of electronic signatures to be placed on the offers submitted via the system.
 
In coming months, thousands of smart cards will be disseminated throughout the business sector, enabling businesses to carry out a broad range of operations requiring advanced forms of identification and the use of electronic signatures.
 
The first online tender is being launched on the 23rd of August, competitive offers will be submitted by smart-card reader suppliers who previously secured an Accountant General tender by submitting the lowest initial bids for those devices.
 
The innovative service being launched is a joint venture between several government ministries and the Accountant General's office. A number of online tenders are planned for coming months designed to determine the optimal means of putting the system into effect.
 
In the last quarter of 2004, a new system will be put in place to supercede that being used in the pilot project. The new system will serve as the infrastructure for a government procurement and tender platform to be used in coming years.
 
Accountant General, Dr. Yaron Zelekha, has noted that the launch of the new service is the next phase in the government's computerization revolution in which the Merkava and E-Government projects are being implemented. These projects are estimated to save the government billions of shekels per annum, while improving services offered to suppliers and the public at large.