
Public Procurement Law signed by the President of Ukraine
The President of Ukraine signed the Law "On Public Procurement", which approves the full transition of public procurement to electronic system ProZorro. The transition will take place during 2016 in two stages: from April 1, all purchases will be transferred to the electronic mode in the central authorities and state-owned enterprises, while from August 1 – the rest of those interested in public procurement.
A public procurement reform is one of the
most effective reforms carried out by the Ministry of Economic
Development and Trade. It includes several directions,
including training of buyers, simplification of access for
business to trading procedures and introduction
of tenders in electronic format. The system of electronic public
procurement ProZorro is running in a pilot
mode since February 2015, but the system already
contains over 50 thousand tenders worth UAH 12
billion from over 2.9 thousand customers. Overall budget
savings have already exceeded UAH 680 million and continues to grow. Maxim Nefiodov, Deputy
Minister of Economic Development and Trade of Ukraine reminded
that the Prime Minister of Ukraine Arseniy Yatsenyuk and the President
of Ukraine Petro Poroshenko repeatedly emphasized the need to switch
to an electronic system of state procurement. Only a full
transition to ProZorro, without any exceptions,
will afford to achieve the main objectives of the
reform: to increase transparency of
tenders, provide better
access for business, to make bidding more competitive and
reduce corruption risks. The full-scale
launch of the system will allow the State to save up to UAH
50 bln annually, as
the Ministry’s experts estimate losses in public
procurement through inefficiency and corruption schemes. In 2016 the calculated
saving is planned at the level of UAH
5 billion. |