About results of functioning of the Department of Environmental Protection of Kyiv Regional State Administration and State Environmental Academy in 2017
In January last year EPL released the article “How officials make profit on creation of protected areas» that wrote about the scheme used by the Department of Environmental Protection at Kyiv Regional State Administration, State Environmental Academy and «Expertcenter» Ltd to make profit on creation of protected areas.
In particular, 355 000 UAH were spent on writing scientific stipulations and development of mapping materials for protected areas totally covering 142 ha, including 4 natural monuments.
Last year the Department of Environmental Protection declined all accusations and stated that “these were adequate prices for such works”.
Unfortunately, because of indifference of law enforcement bodies, nobody was punished for using this “scheme”. This year the Department of Environmental Protection at Kyiv Regional State Administration, State Environmental Academy and «Expertcenter» Ltd continued mutually profitable cooperation.
In particular, in July 2017 the Department held two procurement procedures:
The first one was for «Defining perspective territories and local objects of protected areas and developing scientific stipulations regarding expediency of their creation” worth about 200 000 UAH. The applicants were State Environmental Academy, “Expertcenter” Ltd and private company “The center of environmental management”.
Screen shots from Prozorro system
Substantially cheaper proposal from the private enterprise “The Center of Environmental Management” was declined due to some discrepancies in documents although this enterprise is quite experienced in this field and many times won such procurement competitions in other regions. The decision was challenged and the Anti-Monopoly Committee of Ukraine satisfied the complaint and cancelled results of the procurement.
The decision on cancelling results of the procurement
The second procurement was also for 200 000 UAH and was for purchasing services of “Producing planning and mapping materials for planned local protected territories and objects of nature protection fund”. Participants of the procurement were only “Expertcenter” Ltd and State Environmental Academy that decreased their prices by 5000 UAH and 3000 UAH accordingly. The cheaper proposal of “Expertcenter” Ltd was also declined because of lack of some papers and the winner was announced to be the State Environmental Academy.
«Expertcenter» Ltd did not complain ..and …on 8 November the State Environmental Academy hired it as a sub–contractor and purchased mapping services for the theme: “Planning, mapping and legal support for preparing materials for producing planning and mapping materials for planned local protected territories and objects of nature protection fund in Kyiv region” worth 39000 UAH.
However, it is not clear what is the essential difference between “Producing planning and mapping materials” and “Planning, mapping and legal support for preparing materials for producing planning and mapping materials” for the same objects? Why does the first service cost 197000 UAH, and the second one – only 39000 UAH?
In September 2017, the cancelled procurement was held once again and because of lack of competitors who understood that they have no chances of winning the tender in Kyiv region, the procurement was held for the State Environmental Academy and “Expertcenter” Ltd. This time the winner became the latter. The costs of services is 189000 UAH.
The only positive side in this situation is the fact that after release of EPL’s article, prices for services of the State Environmental Academy and “Expertcenter” Ltd dropped by several times!
For example, a year ago the State Environmental Academy paid to “Expertcenter” Ltd for producing mapping materials for 6 objects covering 142 ha (including 4 natural monuments) 70000 UAH. This year for much less money (39000 UAH) the mapping materials will be produced for 15 objects covering 1400 ha (!) including only one natural monument.
While a year ago the State Environmental Academy spent on production of planning materials for creation of 6 above mentioned objects 285000 UAH (total costs of 355000 UAH minus 70000 UAH for services of “Expertcenter” Ltd), this year 189000 UAH will be sufficient to produce scientific stipulation for 11 objects covering 11000ha!
EPL welcomes the tendency that after our publications public officials become more economical and use budget funds more effectively.
But non-transparency of procurement procedures and declining of cheaper proposals indicate to the fact that there is still some “reserve” for economizing funds! The funds available can be sufficient for preparing scientific stipulations and mapping materials for more objects.
EPL will send another complaint to law enforcement bodies with the request to analyze prices in procurements conducted by the State Environmental Academy and the Department of Environmental Protection of Kyiv Regional State Administration for preparation of materials for creation of protected areas.
If during a year, prices for the same services in the same organizations and enterprises have dropped several times, such a phenomenon can have only two logical explanations: either this year they work to bear losses or the previous year they received extra profits, which they shared with the customers.
For further information please contact:
Petro Testov, environmental scientist