Worldwide, government adopts various methods and strategies for Good Governance (GG), Value Creation (VC) and Sustainable Development (SD) in public sector. One of such methods is Public Procurement (PP), a strategic instrument for public policy initiatives and a tool to stimulate GG, VC, SD, economic growth, and competitive markets. However, in Local Government (LG), PP process is often exposed to fraudulent activities, mistrust, non-competitive, non-transparent and non-accountable or politicized, these hampered GG, VC, and SD. It is against this background, that the study examined PP fundamental principles, mechanism for effective operation, essentials steps for LG PP process, and using fundamental principles as moderating variables in PP process to achieve GG, VC and SD. The study employed exploratory research design. Consequently, the study concluded that PP is a strategic tool to achieve GG, VC and SD in LG. Besides, the moderating variables of PP process in LG is not only prerequisite for GG, VC and SD but a means to guarantee integrity, fair pricing standard, trust, widening SMEs participation, and also to solve societal and climatic problems prevailing at the LG areas. Therefore, the study recommends that LG should have financial, administrative, and political autonomy to drive procurement policy for GG, VC, SD, and societal sustainability. Additionally, professionalizing and adoption of E-procurement in LG will ensure efficient service delivery and seamless procurement process. Furthermore, procurement officials should exhibit efficiency, transparency, accountability and probity in procurement process to avoid bureaucracy and corrupt practices pertinent to award of contract and payment.