scholarly journals MODIFICATION OF PUBLIC CONTRACT: BETWEEN RULE OF FAIR COMPETITION AND FREEDOM OF CONTRACT PRINCIPLE

2018 ◽  
Vol 4 (2) ◽  
pp. 333-357
Author(s):  
Theodora Pritadianing Saputri
Keyword(s):  
Public Procurement ◽  
Corporate Restructuring ◽  
The Public ◽  
Freedom Of Contract ◽  
Fair Competition ◽  
Procurement Procedure ◽  
The Government ◽  
Public Contract

It is internationally accepted that public procurement procedure and public contract shall be organized in accordance with the fair competition principle and fulfil the requirement of transparency. Public procurement regulations are necessary to secure the efficient use of taxpayer resources by the government in purchasing goods, services and works from the market and to ensure fair competition among the public contract should be protected and that therefore it would be necessary to amend existing regulations which prohibit or restrict this right derived from freedom of contract.  In addition, law makers should also put in place restriction with regard to corporate restructuring which main intention is to circumvent requirements of tender documents.

scholarly journals Sustainable Public Procurement: Realization of the Social Aspect in Republic of Lithuania

2014 ◽  
Vol 15 (4) ◽  
pp. 302-315 ◽  
Author(s):  
Virginijus Kanapinskas ◽  
Žydrūnas Plytnikas ◽  
Agnė Tvaronavičienė
Keyword(s):  
Public Procurement ◽  
Good Practice ◽  
Social Aspect ◽  
The Public ◽  
Fair Competition ◽  
Social Sphere ◽  
Effective Implementation ◽  
The Social ◽  
Procurement Procedure ◽  
Main Ideas

Public procurement concentrates large public sector’s purchasing power, and has a significant impact on each country’s economic development. The purpose of public procurement procedure is transparency, non-discrimination and accordance to the principles of fair competition in acquisition of goods, services and works necessary for the smooth functioning of the public administration. Besides, public procurement can be one of the most important instruments for sustainable development and other purposes useful to the whole society and the economy of the country. This article briefly discusses the concept of sustainable public procurement, reveals its main ideas and applications. One of them, the social sphere, was chosen the main object of the research. The possibility to decrease unemployment, to increase an integration of socially vulnerable group, and to achieve other socially-oriented goals through an effective implementation of the social aspect of sustainable public procurement has been illustrated. Thus, the article analyses the concept of social procurement, assesses the current situation in Lithuania, overviews the good practice of other countries and provides recommendations for measures to extend the application of socially oriented procurement.

Public procurement in Malaysia: objectives and procurement principles

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sitti Hasinah Abul Hassan ◽  
Suhaiza Ismail ◽  
Hawa Ahmad @ Abdul Mutalib
Keyword(s):  
Public Procurement ◽  
Industrial Sector ◽  
Content Type ◽  
Fair Dealing ◽  
The Public ◽  
Fair Competition ◽  
Transfer Of Technology ◽  
Multiple Sourcing ◽  
Equal Importance ◽  
The Government

PurposeThe objectives of this paper are twofold. Firstly, to examine the importance of Malaysian public procurement objectives and secondly, to investigate the extent to which government suppliers adhere to public procurement principles.Design/methodology/approachFor achieving the objectives, a questionnaire survey was used. A total of 250 questionnaires were distributed to government suppliers involved in the government tendering process. In return, a total of 107 useable questionnaires were received, representing a response rate of 42.8%. Descriptive statistics of the means score, standard deviation and mean score ranking were used to analyse the data.FindingsThe results revealed that the most important public procurement objective is “to ensure a continuous supply of material and services to meet the government needs from the best and reliable sources”. On the other hand, the objectives “to expand the local industrial sector by means of transfer of technology and expertise to suit the nation's needs” and “to promote alternative and multiple sourcing through supplier development according to the aspirations and vision of the government” are perceived as not important by the government suppliers. The findings also discovered a moderate level of adherence to Malaysia's public procurement principles, which consist of public accountability, transparency, open and fair competition, fair dealing and value for money. Amongst these principles, the most adhered to is the open and fair competition principle and the least adhered to is the transparency principle.Originality/valueThis study is one of the few studies that assess the government suppliers' perceptions of public procurement in Malaysia. More importantly, this study may give some ideas to various parties concerning the areas in which improvement is required to ensure that equal importance is given to the public procurement objectives and better adherence to the public procurement principles in Malaysia.

scholarly journals Brak decyzji uprawniającej a ważność umowy w działalności gospodarczej obszar zamówień publicznych

2018 ◽  
Vol 114 ◽  
pp. 533-546
Author(s):  
Tadeusz Kocowski
Keyword(s):  
Economic Activity ◽  
Public Procurement ◽  
The Public ◽  
Freedom Of Contract ◽  
The Law ◽  
Public Contract

NON-POSSESSION OF THE REQUIRED DECISION AND VALIDITY OF THE CONTRACT IN ECONOMIC ACTIVITY SPHERE OF PUBLIC PROCUREMENTIn the case of public procurement, the non-possession of the required decision by the contractor by the law and the terms of the proceedings results in the exclusion of the contractor from the award procedure and rejection of its off er. In this case, the public contract is not concluded. Public procurement are contracts concluded in conditions where it is difficult to talk about the implementation of the principle of freedom of contract. It remains to be determined what effect would be caused by the lack, on the part of the contractor, of the empowerment decisions required by law, if the contract were concluded under conditions of freedom of contract.

CURRENT CHANGES IN THE LEGISLATION OF THE RUSSIAN FEDERATION IN THE FIELD OF PUBLIC PROCUREMENT: IMPACT ON THE IMPLEMENTATION OF TRADES

2021 ◽  
Vol 1 (5) ◽  
pp. 71-76
Author(s):  
D. V. GONENKO ◽  
◽  
A. N. NOVICHIKHIN ◽  
Keyword(s):  
Russian Federation ◽  
Public Procurement ◽  
Legal Basis ◽  
The Public ◽  
The Russian Federation ◽  
Ministry Of Finance ◽  
The Law ◽  
Procurement Procedure ◽  
The Government

The article is devoted to current changes in public procurement in the Russian Federation. Attention is paid to the legal basis of procurement. The analysis of the amendments to the law that have entered into force and the draft resolutions of the Government of the Russian Federation and the Ministry of Finance of the Russian Federation regarding amendments to the public procurement procedure is carried out. Proposals for improving the contract system are formulated.

Audit Assessment of the Effectiveness of Public Procurement Procedures

2021 ◽  
Vol 12 (3) ◽  
pp. s085-s107
Author(s):  
Iryna Drozd ◽  
Mariia Pysmenna ◽  
Nataliia Pohribna ◽  
Nataliya Zdyrko ◽  
Anna Kulish
Keyword(s):  
Cost Effectiveness ◽  
Public Procurement ◽  
Risk Indicator ◽  
Individual Values ◽  
State Budget ◽  
The Public ◽  
Efficiency Cost ◽  
Procurement Procedure ◽  
Using Data ◽  
Risk Parameters

The article seeks describing the benefits and challenges faced by auditors in assessing the effectiveness of public procurement procedures in terms of applying the methodology for calculating efficiency, economy and effectiveness, taking into account the risks of procurement in e-auctions. Quantitative risk parameters are calculated using data of probabilistic indicators of procurement risk assessment according to the ratio of the number of relevant procedures (sub-threshold and above-threshold) to the total number of procurement procedures. Statistical valuation methods are used for the cost risk assessments and calculation of the aggregate risk indicator of public procurement. The calculations are performed using the data of the open e-procurement system ProZorro for all announced procurements in 2018-2019. We analyzed the methods, indicators and the extent to which the study of the public procurement effectiveness via bibliographic and case studies is performed. As a result, the majority of methods cover four components of assessing the public procurement efficiency - targeted efficiency, cost-effectiveness, organizational efficiency, efficiency of budget expenditures for public procurement. This does not provide an assessment of the automated systems’ impact on the procurement procedures results and on possible savings due to the use of certain procurement procedures. To comprehensively assess the procurement efficiency in e-bidding, the authors propose considering four key risks: the risk of cancellation of the procurement procedure, the risk that the procurement procedure will not take place, the risk of appealing the procurement, the risk of disqualification. As a result of risks calculations under the sub-threshold and above-threshold procurement, individual values of risks and their aggregate indicator are determined. This will adjust the scope of audit procedures to verify individual procurements and identify weaknesses in the procurement management system. We believe that the methodology of auditing the procurement effectiveness, taking into account the quantitative and qualitative parameters of procurement risks, will be a useful audit tool to determine the effectiveness of the use of public funds under individual procurements and identify areas of cost-effectiveness for the state budget funds.

scholarly journals FOREIGN EXPERIENCE IN REGULATING THE PUBLIC PROCUREMENT SYSTEM

2021 ◽  
Vol 7 (1) ◽  
Author(s):  
Yernur Mukhtar ◽  
Yuri Toluev
Keyword(s):  
System Analysis ◽  
Public Procurement ◽  
Economic Assessment ◽  
Developed Countries ◽  
Scientific Article ◽  
Regional Institutions ◽  
The Public ◽  
Foreign Experience ◽  
The Government ◽  
Procurement System

The relevance of this research topic lies in the fact that public procurement requires in-depth consideration and comprehensive analysis, including the scientific and methodological level of analysis. The use of special legal documents in public procurement and the specific procedure for the execution of these documents is not a factor in the full understanding of this direction, including the economic assessment of the entire process. An economic and statistical approach using system analysis is required, which was used by the authors of the scientific article as the proposed research methodology. One of the main parts of the progressive process of commodity exchange in the economies of the analyzed countries is the mechanism for building public procurement. Currently, the problem of material and technical support of public needs in developed countries is solved as a result of logistics processes in the system of public procurement through the acquisition and supply of goods, works, and services, tangible and intangible resources. The article submits a review of foreign experience in building a public procurement system with special features characteristic of this region of the world, presented as an object of research. Country aspects in the object under study and allowed the authors to formulate the relevant main results and conclusions concerning various parties in the public procurement system, which determined the further strategy to improve the procurement system of the government and international integration union. Key words: public procurement (PP), regulation of the public procurement system, government orders, entrepreneurship, international regional institutions, regulation of the public procurement system, procurement, USA, European Union (EU), Poland, Germany, World Bank.

Companies convicted of economic crimes and their participation in government tender processes in South Africa: A comment on Namasthethu electrical (PTY) LTD v City of Cape Town and another (201/19) [2020] ZASCA 74 (29 JUNE 2020)

2021 ◽  
Vol 8 (1) ◽  
pp. 102-122
Author(s):  
Jamil Ddamulira Mujuzi
Keyword(s):  
South Africa ◽  
South African ◽  
Public Procurement ◽  
Cape Town ◽  
African Countries ◽  
The Public ◽  
South African Police Service ◽  
The Government ◽  
South African Police ◽  
Economic Crimes

In South Africa, persons or companies convicted of fraud or corruption or companies whose directors have been convicted are debarred from participating in bidding for government tenders. Although it is easy to establish whether or not a natural person has been convicted of an offence, because a certificate can be obtained from the South African Police Service to that effect, it is the opposite with juristic persons. This issue came up in the case of Namasthethu Electrical (Pty) Ltd v City of Cape Town and Another in which the appellant company was awarded a government tender although the company and its former director had been convicted of fraud and corruption. The purpose of this article is to analyse this judgment and show the challenges that the government is faced with when dealing with companies that have been convicted of offences that bid for government tenders. Because South Africa is in the process of enacting public procurement legislation, the Public Procurement Bill was published for comment in early 2020. One of the issues addressed in the Bill relates to debarring bidders who have been convicted of some offences from bidding for government tenders. Based on the facts of this case and legislation from other African countries, the author suggests ways in which the provisions of the Bill could be strengthened to address this issue.

Influence of the Public Procurement Procedure Type on the Duration of Public Procurement

2018 ◽  
Vol 16 (2) ◽  
pp. 361-378 ◽  
Author(s):  
Mladen Čudanov ◽  
Predrag Jovanović ◽  
Ondrej Jaško
Keyword(s):  
Linear Models ◽  
Central Government ◽  
Public Procurement ◽  
Local Level ◽  
Indirect Costs ◽  
Process Efficiency ◽  
Procurement Process ◽  
The Public ◽  
Procurement Procedure ◽  
Procedure Type

This study analyses how important is the influence of the procedure type and a number of received bids on the duration of the public procedure process. Efficiency and speed of public procurement process diminish inventory turnaround times, direct and indirect costs of procurement, hastens and improves manageability of core processes in the organizations obliged to the public procurement process. Our study focuses on the quantitative analysis of the influence of the procedural public procurement framework mostly determined by the central government and describes potential other factors of efficiency which can be influenced at the local level. Dataset was obtained from the Public Procurement Office of Serbia, and it included 42,850 cases of public procurement after the correction of missing and “dirty” data. Using statistical methods we have presented two linear models, where the type of procedure and number of received bids account for roughly 23% of the variability in the dependent variable. This paper provides suggestions for improvement of efficiency of public procurement, as well as for data that needs to be tracked to develop more comprehensive, accurate and reliable prediction model of the duration of the public procurement process.

scholarly journals PUBLIC INTEREST IN PUBLIC PROCUREMENT

2020 ◽  
Vol 24 (4) ◽  
pp. 1039-1062
Author(s):  
Vitaly V. Kikavets
Keyword(s):  
Public Interest ◽  
Public Procurement ◽  
Legal Regulation ◽  
Political Regime ◽  
Public Interests ◽  
Public And Private ◽  
The Public ◽  
Private Interests ◽  
Private And Public ◽  
The Government

The basis of legal relations in public procurement are private and public interests. The purpose of the study is a substantive assessment of the authors hypothesis that the purpose of legal regulation and financial support of public procurement is to satisfy the public interest expressed in the form of a public need for goods, works, and services. The methodological basis of the study rests on historical and systematic approach, analysis, synthesis and comparative-legal methods. The results of the analysis of normative legal acts regulating public procurement, doctrinal literature and practice showed that public interest denounced in the form of public need is realized through public procurement. Public and private interests can be realized exclusively jointly since these needs cannot objectively be met individually. In general, ensuring public as well as private interests boils down to defining and legally securing the rights and obligations of the customer and their officials, which safeguards them in the process of meeting public needs through public procurement. The study revealed the dependence of the essence of public interest on the political regime, which determines the ratio of public and private interests. Public interest in public procurement is suggested to understand as the value-significant selective position of an official or another person authorized by the government, which is expressed in the form of the public need for the necessary benefit; gaining such benefit involves both legal regulation and financial security. The purpose of legal regulation of public procurement is to satisfy public interest. These concepts should be legally enshrined in Law No. 44-FZ.

scholarly journals MANAGING PUBLIC PROCUREMENT APPEALS

2019 ◽  
Vol 4 (4) ◽  
pp. 79-85
Author(s):  
Anna SLOBODIANYK ◽  
Nadiya REZNIK
Keyword(s):  
Civil Rights ◽  
Process Analysis ◽  
Public Procurement ◽  
Individual Case ◽  
The Public ◽  
Procurement Contract ◽  
Procurement Procedure ◽  
The Moment ◽  
The Right ◽  
Procurement System

Introduction. The main purpose of the public procurement system is determined by the need to ensure efficient use of budget funds in the development of competition, transparency and openness of the procurement process organization. The purpose of the research is to conduct the process analysis of contesting the public procurement procedure by tenderers. Results. The authors argue that evaluating the dispute resolution effectiveness between the complainant and the customer on the basis of the balance of rights, interests, and objectives of the procurement law is, in practice, an extremely difficult issue that must be resolved in each individual case. The specifics of determining the procurement subject by the customer are highlighted in such a way as to preserve the right to choose the product that suits him best and not to buy the cheapest existing product on the market, such as paper according to certain parameters of density and level of linen. But if the customer has already defined in the tender documentation technical and the qualitative characteristics of the procurement subject, he has no right to further deviate from them when selecting the winner. It is proved that the appeal procedure is created specifically to ensure a quick and professional settlement of conflicts between the participant or potential participant of the procurement procedure and the customer regarding the actions of the customer, which violate the right of such participant in the procurement procedure and the conclusion of the contract with the customer. Attention is drawn to the appeal terms of the tender documentation claim being challenged and the possible addition of justification for the need to amend the conditions of the tender documentation with the opportunity to give additional evidence. Conclusions. From the moment of the procurement contract conclusion between the state customer and the successful tenderer, classic private legal relations emerge, and consequently, after the conclusion of the procurement contract for public funds, which is the final stage of the procurement procedures, civil rights and obligations arise between the parties, and consequently civil rights and obligations arise to appeal the procurement procedure. Keywords: public procurement; body of appeal; tender documentation; the subject of the appeal; legislation on public procurement.

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