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THE EXPERIENCE OF E-PROCUREMENT IN LITHUANIA

Rasa NoreikienėVice-Minister of Economy of the Republic of Lithuania

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CONTENT

• Two instruments for e-procurement in Lithuania

• Progress and benefits of e-procurement

• Lessons learned

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Two instruments for e-procurement in Lithuania

• e-Tendering platform - Central Public Procurement Information System (CPP IS) administrated by the Public Procurement Office

• e-Catalogue - Electronic Catalogue CPO.lt™ administrated by the Central Purchasing Body

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e-Tendering platform (CPP IS)e-

Notification

• Possibility to submit e-notice since 2002, mandatory - since 2009

e-Reporting

• Possibility to submit e-report from 2002, mandatory - from 2009

e-Acces

s

• Available from 2009: all contract documents, including technical specifications (TS), annual procurement plans, drafts of TS

e-Submission

• Obligation to ensure at least 50 % of e-procurement from 2009

e-Award

ing

• Available but not mandatory

e-Invoici

ng

• Will be available in 2014

e-Payment

• It is planned to be implemented by 2017

Public Procurement Monitoring IS (PPM IS)

Central Public Procurement Portal (CPPP)

Central Public Procurement IS (CPP IS)

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e-Tendering platform (CPP IS)

Tender module:e-Submissione-Awarding

CPP IS E-notices & e-reports

PPM IS

e-AccessCPPP

Inte

grati

on e

nviro

nmen

t

24/7 free access from anywhere CPP IS

Risk Management ISunder development

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e-Catalogue (Electronic Catalogue CPO.lt™)

• Developed in 2007• Provides electronic means for:

– e-Ordering– e-Auction– e-Awarding

2007 2008 2009 2010 2011 2012

€0.6 m€2.6 m €4.9 m

€14.4 m

€34.6 m

€68.9 m

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Progress: increased number and value of e-procurement

2009 2010 2011 2012 2013 I-II quarter

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

36.3%

64.0%

75.5%

83.1% 85.7%

2009 2010 2011 2012 2013 I-II quarter

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

0.4%

63.1%

75.7% 75.2%

89.7%

Number of e-procurement Value of e-procurement

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• Number of published procurement – increased by 22% (from 59% to 81%)

• SME participation in public procurement –increased by 2% (from 73% to 75%)

• Number of suppliers participating in public procurement –increased by 13% (from 7230 to 8185 suppliers)

Benefits of e-procurement: increased transparency and competition

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Benefits of e-procurement: shortened procedures

2009

2010

2011

2012

119

118

108

103

67

60

55

54

79

71

66

64

Above the Directive threshold

Below the Directive threshhold

Average

To compare 2012 with 2009, when the procurement procedures were being carried out in the traditional manner, the average period of procurement procedures became 15 days shorter.

Average duration of procurement procedures

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Lithuania is supposed to save• In 2010 - from EUR 43 to 100 million• In 2011 - from EUR 120 to 270 million • In 2012 - from EUR 150 to 340 million

The savings are calculated following the World Bank estimation that e-procurement can help save from 6 to 13.5% of the total public procurement expenditure

Benefits of e-procurement: savings

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Lessons learned: obstacles

Obstacles we had to overcome:• inertia – hesitation over the possibility of changing

the rooted habits• lack of awareness and capabilities

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Lessons learned: our strong point

Successful results were achieved due to:• mandatory requirements• the existence of centralised national information

systems• consultations and user guidance• trainings

2009 2010 2011 2012

1818

729 852

1442

Number of users instructed by the Public Procurement Office