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BREAKING THE MONOPOLY: SUPPLY WITH HEMODIALYSIS MATERIAL IS ACCOMPANIED WITH PROCEDURAL VIOLATIONS

Roundtable 19.03.2019

Findings from monitoring three contracts related to supply with expendable material for Hemodialysis for 2018, are framed in a report that Kosovo Democratic Institute (KDI) published today, highlighting the fact that supply of these materials is proceeding through open procedures although accompanied with few procedural violations.

During a discussion table, where the findings of this report were disclosed, Liridona Behrami from KDI stressed that Ministry of Health (Mh) has developed an open procedure and two other negotiated procedures without publication of a contract notice for supply with expandable material for Hemodialysis for 2018.

Behrami said that for the first time, in more than a decade, the supply with expandable material for hemodialysis was followed through open procedures in accordance with a decision of Public Procurement Review Body (PPRC)

Moreover, she stated that this is seen as a positive step because for more than 10 years these types of contracts were proceeded through closed single source procedure, thus providing monopoly for one economic operator. ‘’The procurement process for public framework contract with open procedures has started only two months before the expiration of the former contract, while Ministry of Health took eight months to close this process. This happened because of the large number of complaints by economic operators in the first instance or to the Contracting Authority and in PPRB’’ she added.

Furthermore, Behrami highlighted that in the first contract with negotiated procedure, Ministry of Health did not exploit all the procedures allowed by law, but directly contracted an economic operator.

KDI considers that the contracted prices for this contract (emergent one) are high because the Ministry of Health, only few months later, signed a contract with the same operator (under the regular procedure) with prices up to 209% higher.

Behrami said that this contract, the general value of which was 284,040.00€, was signed only by the responsible procurement officer even though article 26.2 of Law on Public Procurement foresees that high value contracts (over 125,000.00 euro) shall be signed by the responsible procurement officer, Chief Administrative Officer and by the Minister.

KDI recommends that Ministry of Health should assure that the procurement procedures are initiated in time with the purpose of avoiding delays of the process by foreseeing all the procedures that Law on Procurement establishes, also initiate a market analysis with the purpose of securing the cheaper price.

According to KDI, PPRB shall prioritize the contracts related to supply with medicaments and materials that are fundamental for citizens health.

Meantime, Minister of Health, Uran Ismaili, in his last word for this discussion table said that when he received the mandate as a minister he found a chaotic situation of medicaments supply, illegal procurements, swollen prices and greater shortages of health system. ‘’By working together, we achieved cessation of illegal contracts and started to do the market analysis, so we can make comparisons and not allow Ministry of Health purchase medicaments with higher prices that those we have in our pharmacies. Within a year we achieved to buy cheaper medicaments for 6 million euros than in the previous year’ he said.

As for the supply in the sector of hemodialysis he added that for the first time after 20 years Ministry of Health has opened the market for free competition for supply with products of hemodialysis from a closed process, negotiated with only one operator as was in the past.

Find the full report and findings here.

This report is part of the project of monitoring public procurement in public institutions such as Ministry of Infrastructure, Health, Central Procurement Agency, Kosovo Energetic Corporate and is financed by British Embassy in Pristina.