The government has improved and clarified defense procurement processes through Prozorro

Prozorro is introducing a new tool – a framework deal

The Cabinet of Ministers of Ukraine has improved the Prozorro procedure. A new instrument is being introduced into the system – a framework deal, under which purchases will be carried out by the State Logistics Operator (SE Defense Agency) and the State Service for Special Communications and Information Security.

As noted in the Cabinet of Ministers, the innovation is intended ensure a balance between efficiency and transparency in defense procurement and the protection of information critical to national security.

“Today the Government has made a very important decision designed to strengthen transparency in defense procurement and provide our defense sector with high-quality goods and services at competitive prices,” noted First Deputy Prime Minister of Ukraine – Minister of Economy of Ukraine Yulia Sviridenko.

She added that all relevant parties were involved in the preparation of the document – the ministries of economy, defense, digital transformation, other ministries and departments, public and industry organizations, Ukrainian manufacturers.

The solution introduces new procurement tools in the Prozorro system and offers new opportunities for participants.

“At the same time, we support the capabilities and tools for monitoring procedures by the public and maintain strict safeguards against corruption abuses. At the same time, the solution allows us to ensure a high level of protection of sensitive information, and therefore security for both producers , and defenders, which is a key condition,” the minister added.

The government also explained the key features of the new mechanism for government defense procurement under framework agreements:

• Under framework agreements, goods and services can be purchased costing 200 thousand UAHor higher, upholstered at a cost of UAH 1.5 million or higher.
• Purchases under this mechanism will be carried out >DOT (SE Ministry of Defense Defense Procurement Agency) and the State Service for Special Communications and Information Protection in the Prozorro system. In particular, this procedure will be used to purchase fuel and lubricants, food, military uniforms, as well as drones for the needs of the Defense Forces.
• At the first stagequalification of candidates for participation is carried out in procurement under a framework agreement, based on the results of which participants are determined. You can qualify and join at any time during the framework agreement.
• In the second stageprocurement is carried out through open tenders or a request for proposals among participants in the framework agreement. This will significantly simplify the procedure and speed up the conclusion of supply contracts.
• Purchases under the framework agreement mechanism can be carried out if at least three participants qualify for the agreement. This ensures competition.

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• When carrying out the first stage There is no provision for publicly accessible publication of documents of participants, information about their production facilities, warehouses, etc. Only the customer, AMCU and State Civil Aviation Administration will have access to it. And during the second stage information about the winning supplier will not be publicly disclosed, but at the same time information about the subject of purchase and price will be available. This will protect manufacturers and suppliers from enemy attackstheir production and warehouses, which will help preserve both the ability of national suppliers to work and the lives of workers.
• Individual information, for example The place of delivery of goods or provision of servicesis not disclosed by the customer in public sources during the announcement of the tender, but it will be available to participants in the framework agreement. This will ensure the protection of information critical to the security of the country, and the contractor will make informed decisions on participation in the tender, prices, etc. This applies to reports on the results of procurement. In this case, full reports on contractswill be made public within 30 days after the lifting or end of martial law.
• The decision provides safeguards against abuse by both customers and tenderers. The participant can challenge the tender documentation, actions or inactions of the customer in court. In turn, the customer can reject the participant’s proposal, for example, if he did not provide the necessary documents, did not previously fulfill the contract, which led to its early termination, etc.

• Participants in simplified procurement are given the < b>right to correct inconsistencies in the documents and/or information submitted by them within 24 hours.
• Exceptional cases are clearly stated when it is permissible to conclude a public contract without competitive procurement procedures. For example, when a customer canceled a simplified procurement due to the lack of participants. In this case, the characteristics should not differ from those specified by the customer in the procurement announcement, and the price of such a direct contract cannot exceed the expected cost of such a simplified purchase.
• Clear mechanisms and rules for significant changes to the terms of a government contract concluded without the use of competitive procedures in its implementation have been written down.

• Earlier, Shmigal said that the government should adopt three important resolutions, one of which concerns the purchase of drones for the Armed Forces of Ukraine. He said that in this way the continuity, sustainability and controllability of the army's supply of everything necessary will be guaranteed. Transparent pricing will also be established, “when the state does not overpay, and business makes a profit.” In addition, they will protect the leakage of information that carries security risks.
• According to Shmygal, now in Ukraine about 200 companies produce drones, and the year before there were only seven.

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