(1)Initiating procurement after due approvals, -(a)every procuring entity shall initiate the procurement process only after technical, administrative and budgetary approvals are accorded and after obtaining the approval of the authority which has the necessary financial powers to initiate such value and category of procurement as per the rules and guidelines made under this Act.(b)however, procuring entity to save time, may initiate advance actions of procurement in anticipation of administrative and budgetary approvals, under certain circumstances and following procedures prescribed with the approval of an authority designated in this regard in the rules made under this Act, provided that the procurement process shall stop short of any financial or contractual commitment, even in such cases unless administrative and budgetary approvals have been obtained,(c)the Government shall lay down the circumstances, procedures and designated authority for initiating such advance procurement under clause (b) above.(2)Each procuring entity shall maintain a register of works and order of supplies of goods and services, liabilities incurred against these works and orders of supplies, liabilities cleared and liabilities awaiting clearance, in a format as may be prescribed :Provided that the Government may make rules not to sanction new work if the outstanding liabilities in a Department exceed a limit as may be prescribed.(3)A procuring entity shall neither divide or bulk its procurement nor use a particular valuation method for estimating the value of procurement so as to avoid its obligations under sub-section (1) or to limit competition among bidders or otherwise avoid its obligations under this Act :Provided that in the interest of efficiency, economy and timely completion or supply, a procuring entity may, for reasons to be recorded in writing, divide or bulk its procurement into appropriate packages prior to invitation of bid.
