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Government wants to increase expenditure limits on public procurement for local authorities
The Parliament of Moldova has adopted in the first reading a draft law providing for raising the limits of expenditures the local authorities make to buy goods and services.
The bill author – Ivan Ionas, MP of the Liberal Democratic Party – explained the initiative by the fact that actual limits for public procurement are too small so far.
“The emerging condition leads to a useless expenditure of public funds. One should take into account the inflation and price growth, and should raise the threshold of purchase of goods to 50,000 from 20,000 lei, and of services – to 100,000 from 25,000 lei”, Ionas said.
Besides, MPs said that authorities may not consider offers on public procurements if they deviate from the estimated work cost by over 20%.
“In conformity with an analysis conducted since 2007 and until to date, many companies intentionally reduce prices only to win an auction. And when the time comes to fulfil a public order, they demand additional funds or save on account of the work quality”, the Liberal Democrat said.
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