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The new improvement of the Prozorro procurement system strengthens the support of national producers – the Ministry of Economy of Ukraine.

From April 30, when purchasing in the Prozorro system, customers will be able to apply a new criterion – life cycle cost. This tool will allow you to take into account the future costs associated with the further use of the subject of the procurement, and determine the most cost-effective offer in the long run.

“The use of the new tool will be beneficial both for Ukrainian producers and for our state and its citizens. In particular, domestic producers will be able to compete with cheap foreign counterparts and win large tenders from the state. And the state, in turn, will have better goods and services. In other words, the application of the value of the life cycle is an impetus both for the development of national production and for the quality of state needs and the needs of Ukrainians, ”commented the Minister of Economy, Trade, and Agriculture of Ukraine Ihor Petrashko.

An example is the purchase of electric vehicles for the needs of cities. Thus, to determine the best offer, in addition to the price, you should take into account the costs of operation and maintenance, which include, in particular, maintenance costs, repair costs (spare parts, working hours), staff training costs, and disposal costs: transportation to the waste disposal company, the cost of processing and disposal of waste.

“In this case, even in the case of a slightly higher price of the product itself, the Ukrainian producer will benefit from lower associated costs,” the Minister stressed.

Also, life-cycle purchases will be profitable in cases of complex high-tech goods (for example, compressors, machines, engines, turbines, cars, cars, and electric vehicles). Thus, the new tool will be of interest to such large state-owned companies and institutions as Ukrzaliznytsia, Naftogaz, Ukrenergo, Ukrposhta, Ukroboronprom, the State Emergency Service, and others.

Several large customers have already expressed interest in using this tool, with whom Deputy Minister Svitlana Panaiotidi, the Department of Public Procurement of the Ministry of Economy, and representatives of Prozorro held a meeting in mid-April.

The Ministry encourages customers to start announcing procurement using the criterion of life cycle costing, and business representatives to submit such tenders, which will promote the development of domestic production.

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