The Verkhovna Rada is considering draft law No. 11520, aimed at a comprehensive update of the public procurement system in Ukraine. This document has been recommended for adoption by the relevant parliamentary Committee on Economic Development and is set to be a key step in reforming state tenders.
This is reported by Finway
More Opportunities for Small and Medium-Sized Businesses
One of the main innovations of the draft law is the introduction of an updated mechanism for distributing large procurements into separate lots. This approach is expected to simplify access to state contracts for small and medium-sized enterprises, as well as regional businesses. It is anticipated that this will reduce the concentration of state orders in the hands of large market players and create equal conditions for all participants.
Alternative Proposals and New Collaboration Rules
The draft law provides for the possibility of submitting alternative proposals within tenders, if stipulated in their conditions. This means that companies will be able to offer their own technological or economically advantageous solutions, which, according to the developers’ intent, will stimulate innovation and increase the level of competition during procurements.
Particular attention is paid to the modernization of the mechanisms for framework agreements and dynamic purchasing systems. The new rules will allow enterprises to work with state customers under predictable conditions. The law also clearly regulates interactions with subcontractors and co-executors, ensuring better legal protection for businesses involved in large infrastructure or production projects.
“The document aims to establish new rules for state tenders, adapt the system to EU standards, and create more competitive conditions for Ukrainian enterprises.”
Euro-Integration Component and Support from International Partners
The updated legislative norms are developed in accordance with European Directive 2014/24/EU. The reform is an integral part of Euro-integration and aims to harmonize Ukrainian rules with EU requirements. Transparency and openness in public procurement should strengthen the trust of international partners in the reconstruction of Ukraine.
The implementation of new rules is also linked to Ukraine’s commitments to international financial institutions. In particular, this opens the way for additional funding under World Bank programs, which will support the economy and the stability of the state budget during the war and the country’s recovery.
It is worth noting that the Cabinet of Ministers approved resolution No. 520, which introduces a special mechanism for framework agreements for the reconstruction of destroyed settlements. This innovation allows for large-scale construction tenders to be conducted without mandatory disclosure of material costs, which will expedite the implementation of recovery projects.