GEO

Existing Problems in Annual Public Procurement Plans

11 July, 2018

Transparency International Georgia analyzed annual procurement plans of 15 largest procurers of 2017. The study revealed the following findings:

  • There are two main problems in public procurement planning: 1. the content of annual procurement plans and; 2. Amendments made to the procurement plans during a year;
  • Annual procurement plans often are written just formally and it is impossible for a potential supplier to plan its participation based on them;   
  • About 52% of purchases given in the annual procurement plans of 15 largest procurers of 2017 were amended during a year. This could have a negative impact on competition among suppliers and quality and price of purchased goods and service.

Among other recommendations needed for mitigating the existing problems in public procurement planning the following worth mentioning:

  • Comprehensive preparatory work should be done before starting the planning of procurement that will assess the needs of procurer, define individual procurements and conduct proper market study;
  • Existing legislation, which regulates the content of annual procurement plans, should be improved.  Namely, it should be mandatory to specify more details in CPV codes;
  • The State Procurement Agency should create a database of annual procurement plans of all procurer organizations on its website;
  • Certain legislative restrictions could be considered for allowed number of amendments to the annual procurement plans during a year;
  • The State Procurement Agency should regularly analyze the amendments made to annual procurement plans and provide recommendations, if needed, for those procurers, which have the most problems with this regard.