Volume of public procurements up more than €800 million last year

A Ministry of Finance overview shows that the number of public procurements, as well as the total sum and contested procurements all went up in the previous year. The volume of public procurements increased by more than €800 million during the pandemic when compared to the previous year.

The number of public procurements went up by 292 last year compared to 2019. The total sum of tenders also saw a significant increase, reaching €3.87 billion, up from €2.9 billion in 2019.

2.7 percent of all tenders were contested last year and a total of 28,813 challenges were presented, which affected 224 procurements initiated in the last year, the finance ministry overview reads.

One challenge was presented for 182 tenders and two challenges were presented for 32 tenders. The remaining tenders saw up to seven different challenges.

The overview also notes that larger procurements are more often challenged, which is why the average price of challenged procurements is multiple times higher than that of unchallenged procurements. The average cost of a challenged procurement was €2.8 million last year, the average cost of unchallenged procurements was €0.47 million.

In 2020, the rate of challenged procurements among all procurements increased, making up 2.7 percent, up from 2.0 percent the year prior.

Read more: ERR.EE

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