PROZORRO PUBLIC PROCUREMENT: REGIONAL FEATURES ON THE EXAMPLE OF LVIV REGION

Abstract

The work highlights the topic of saving budget resources and effective policy in the field of budget expenditures in the context of digital transformations, as digitalization extends to all aspects of life, including the public spectrum of operations. The theoretical basis, reasons for the introduction and content of digitalization of public procurement in Ukraine are revealed, as well as the regional features of procurement in Lviv region are identified. The directions of digitalization influence on transparency and efficiency of expenditures of separate local self-government bodies are considered and the development of the state platform ProZorro is investigated. The main goals of e-procurement reform are to eliminate unfair practices, reduce corrupt rents, reduce administrative pressure from bidders, simplify administrative procedures and, as a result, save budget expenditures. Prozorro e-procurement indicators are summarized on the example of Lviv region, including in terms of the number and structure of tenders, the subject of procurement, the number of bidders and organizers, procurement volumes and savings of budget resources. Lots by classification on the subthreshold and above the threshold in the dynamics from the beginning of the Prozorro system are also considered. Participation in tenders of the main bidder in Lviv region – Lviv City Council and its departments, including in terms of the structure of public procurement, was also analyzed. It has been determined what share the participants of the Lviv City Council occupy in relation to the whole region, and what volumes of the public procurement market this institution occupies. It has been proven that digital transformations primarily stimulate the transparency of public procurement procedures and their accountability to the public. At the same time, the insufficiency of the positive influence of Prozorro on the growth of competition between the participants was substantiated and insignificant amounts of budget resources were stated. The authors identify the advantages and disadvantages of the Prozorro system in Ukraine on the example of Lviv region. Recommendations for improving the functioning of the system are offered.