Artsyz City Council Selects Sewerage Reconstruction Contractor for 80 Million without Auction

The Artsyzsk City Council in Odesa Oblast has held a tender to select a company to pay for the reconstruction of the city's full biological sewage treatment plant.

This is reported in the Prozorro electronic procurement system.

The procurement was conducted in the format of open bidding with special features and the only bidder was selected as the contractor, a limited liability company, Cortakoz, and if the agreement is concluded, it will have to complete the work by August 31, 2026. The company expects to pay UAH 79 million 878 thousand.

According to the YouControl service, the company was registered in Zdolbuniv, Rivne region, in 1993. The ultimate beneficiary is Andrii Moshchanetskyi from Rivne.

Photo: dream.gov.ua

In December 2023, the Artsyzka City Council adopted a program for the socio-economic development of the community for 2024, which provides for the implementation of the project. In addition, the project is envisaged by the Regional Comprehensive Environmental Protection Program of Odesa Oblast for 2024-2028, approved by the order of the Odesa Oblast State (Military) Administration.

Photo: dream.gov.ua

Open bidding with special features means that almost all terms are shorter than in open bidding under the Law On Public Procurement. This means that this procurement is much faster than open tenders.

The period for submitting proposals is seven calendar days, and the period for challenging qualifications is five calendar days.

Often, there is no auction during such tenders, so the participant has no competitors.

According to the Ministry of Economy, from December 14 to December 20, 2022, 306 successful Prozorro tenders out of 347 were completed with one participant. That is, almost 90% of procurements during this period were made with a single bidder.

However, after the beginning of the full-scale invasion of the Russian Federation, the Cabinet of Ministers of Ukraine temporarily changed the rules of bidding for the period of martial law in Ukraine and within 90 days from the date of its termination or cancellation.

Thus, the government temporarily canceled electronic auctions. Since then, tenders announced in Prozorro can be held without an auction.