Article

European experience with the operation and control of the procurement mechanism for goods, works, and services using budget funds

Iryna Ksonzhyk, Halyna Matskiv, Nataliya Sorochan
Retrieved from Vol. 17, No. 4, 2022 Pages 97–105
Received
08.10.2022
Revised
27.11.2022
Accepted
20.12.2022
Views
307

Abstract

The subject of the study is the practical experience of the functioning of the mechanism of public procurement of goods, works and services in the member states of the European Union, its reformation under the influence of the introduction of new EU legislative norms in the field of public procurement, and the harmonization of the national legislation of the participating countries with Directives 2014/23/EU, 2014/24/EU and 2014/25/EU. The purpose of the work is to establish the impact of the new legislative norms of the European Union in the field of public procurement on the mechanism of procurement of goods, works and services for budget funds in the European Union, to identify the advantages of applying these norms. The methodological basis of the article is a set of cognitive methods applied to the mechanism of public procurement. The research was based on general scientific methods, namely: dialectical, which implies objectivity, comprehensiveness and systematic knowledge; logical; special methods of scientific knowledge: historical, method of systematic analysis and generalization of normative documents. The general logic of the article is based on a complex and systematic approach using modern scientific apparatus. Results of the article. The article establishes the main directions of changes in the mechanism and tools of public procurement in the countries of the European Union, which took place after the implementation of the norms of Directives 2014/23/EU, 2014/24/EU and 2014/25/EU, an analysis of the advantages of their implementation in national legislation of member states. The evaluation of the efficiency of the public procurement market in the EU countries was carried out. The directions and sources of further research are substantiated, first of all, by taking into account the aspects of digitalization of the sphere of public administration and finance, social and environmental innovations. Field of application of results. The results can be used by state and local self-government bodies, territorial communities, and economic entities of various forms of ownership. Conclusions. The new norms of EU legislation in the field of public procurement, set out in Directives 2014/23/EU, 2014/24/EU and 2014/25/EU, are aimed at simplifying procedures for public procurement of goods, works and services for budget funds, which promotes the free movement of goods and services in the countries of the European Union. As a result, customers get better value for money. Thus, public procurement becomes a tool of EU strategic policy. Although it cannot be claimed that the EU's public procurement policy is flawless, the experience of all participating countries is always taken into account in the process of its development and implementation. The EU public sector can use the procurement of goods, works and services with budget funds to increase the number of jobs, growth and investment, as well as to create an economy that is more innovative, resource and energy efficient and socially inclusive

Keywords

References

1. Dmytrenko, E. S. (2019) Demokratychni pryntsypy biudzhetnoho protsesu: mizhnarodnyi dosvid ta ukrainski realii [Democratic principles of the budget process: international experience and Ukrainian realities]. URL: https://science.lpnu.ua/sites/default/files/journal-paper/2019/nov/19900/dmitrenko.pdf [in Ukr.].

2. Miranzo-Díaz J. The tension between global public procurement law and nationalist/populist tendencies: proposals for reform. Revista de Investigações Constitucionais, 7/2. 355-400, 2020. DOI: https://doi.org/10.5380/rinc.v7i2.74570

3. European Commission, Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions: Making Public Procurement work in and for Europe, COM(2017) 572 final, published 3 October 2017.

4. Tenders Electronic Daily. Supplement to the ‘Official Journal’ of the EU. URL: http://www.ted.europa.eu

5. Lekar, S. I. (2019). Svitovyi dosvid derzhavnoho rehuliuvannia publichnykh zakupivel [World experience of state regulation of public procurement]. International law, 6/2. 201-208. DOI https://doi.org/10.32842/2078-3736-2019-6-2-31 [in Ukr.].

6. European Commission. Single Market Scoreboard. Public Procurement 2018. Available at: https://ec.europa.eu/internal_market/scoreboard/performance_per_policy_area/public_procurement/index _en.htm#performance

7. Directive 2004/18/EC of the European Parliament and of the Council of 31 March 2004 on the coordination of procedures for the award of public works contracts, public supply contracts and public service contracts. Journal officiel n° L 134 du 30/04/2004 p. 0114 – 0240.

8. Directive 2004/17/CE du Parlement européen et du Conseil du 31 mars 2004 portant coordination des procédures de passation des marchés dans les secteurs de l'eau, de l'énergie, des transports et des services postaux. Journal officiel n° L 134 du 30/04/2004 p. 0001 – 0113.

9. Government procurement in the European Union. URL: https://en.wikipedia.org/wiki/Government_procurement_in_the_European_Union#cite_ref-27

10. Public Procurement. URL: https://single-market-scoreboard.ec.europa.eu/policy_areas/public-procurement

11. Pircher B. (2020). EU public procurement policy: the economic crisis as trigger for enhanced harmonization. Journal of European Integration, 42/4. 509–525. doi: 10.1080/07036337.2019.1666114.

12. Ksonzhyk I., Dubinina M. (2017). Monitoring of the activity of public procurement system in countries of European Union and Ukraine. Baltic Journal of Economic Studies, 3/5, 238-243. DOI: http://dx.doi.org/10.30525/2256-0742/2017-3-5-238-243.

13. OECD 2020. Application of public procurement rules during the COVID-19 crisis from the perspective of the European Union’s Procurement Directives and the Government Procurement Agreement. April 8, 2020. URL: http://www.sigmaweb.org/publications/key-public-procurementpublications.htm

14. Directive 2014/24/EU of the European Parliament and the Council of 26 February 2014 on public procurement and repealing Directive 2004/18/EC. URL: https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:32014L0024&from=EN

15. Directive 2014/25/EU of the European Parliament and of the Council of 26 February 2014on procurement by entities operating in the water, energy, transport and postal services sectors and repealing Directive 2004/17/EC. URL: https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:32014L0025&from=en

16. Directive 2014/23/EU of the European Parliament and of the Council of 26 February 2014 on the award of concession contracts. URL: https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:32014L0025&from=en

17. Legal rules and implementation – Growth – European Commission. Growth. Available at: https://single-market-economy.ec.europa.eu/single-market/public-procurement/legal-rules-and-implementation_en

18. Cabinet Office/Crown Commercial Service, Procurement Policy Note 02/15: Public Contracts Regulations 2015. URL: https://www.gov.uk/government/publications/procurement-policy-note-0215-public-contracts-regulations-2015

19. Office of Government Procurement (2014), Public Consultation on the Transposition of the new EU Procurement Directives, accessed 4 February 2016. URL: https://www.gov.ie/en/campaigns/d9f43-international-protection-accommodation-services-ipas/?referrer=/news/2095

20. UK Public Contracts Regulations 2015, Regulation 42(8–9). URL: https://www.gov.uk/government/publications/procurement-policy-note-0215-public-contracts-regulations-2015

21. New EU public procurement rules: Less bureaucracy, higher efficiency. URL: https://single-market-economy.ec.europa.eu/news/new-eu-public-procurement-rules-less-bureaucracy-higher-efficiency-2015-11-19_en

22. Commission Delegated Regulation (EU) 2021/1950 of 10 November 2021 amending Directive 2009/81/EC of the European Parliament and of the Council in respect of the thresholds for supply, service and works contracts. URL: https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=uriserv%3AOJ.L_.2021.398.01.0019.01.ENG&toc=OJ%3AL%3A2021%3A398%3ATOC

23. Novyi instrument YeS shchodo mizhnarodnykh zakupivel proty dyskryminatsii z boku tretikh krain [New EU instrument on international procurement against discrimination by third countries]. URL: https://www.loyensloeff.com/insights/news--events/news/new-eu-international-procurement-instrument-against-discrimination-by-third-countries/ [in Ukr.].

Suggested citation

Ksonzhyk, I., Matskiv, H., & Sorochan, N. (2022). European experience with the operation and control of the procurement mechanism for goods, works, and services using budget funds. University Economic Bulletin, 17(4), 97-105. https://doi.org/10.31470/2306-546X-2022-55-97-105