Connecting Public Institutions with Innovative Product Companies to Facilitate Entry into the Procurement Market

KEPCO, Korea Gas Corporation, and 12 Public Institutions Connect with 24 Companies' Innovative Products

Minister Kwon Chil-seung of the Ministry of SMEs and Startups.
[Photo by Yonhap News]

[Asia Economy Reporter Kim Jong-hwa] An event will be held to connect energy public institutions with companies that have created innovative products, helping these companies enter the public procurement market.

The Ministry of SMEs and Startups announced that on the 30th, it will hold a Matching Day event at the Daejeon Convention Center to connect energy-related public institutions (12 organizations) with innovative product companies for product purchase consultations.

The excellent research and development innovative products are designated from those that have succeeded in technology development with the support of the Ministry's technology development projects, selecting products with outstanding innovation and public value, and supporting initial market entry through direct contracts with public institutions. This system was introduced last year.

The Ministry of SMEs and Startups recruited and evaluated innovative products three times from 2020 to the first half of 2021, designating 159 products. Among them, 48 products succeeded in public procurement, generating sales of approximately 31.6 billion KRW as of the end of last month.

Since the innovative product designation system is in its early stages, public institutions have a low level of understanding, and companies designated as innovative product makers have faced difficulties entering public procurement due to a lack of marketing and promotion. Therefore, this Matching Day event was prepared to increase public institutions' understanding of innovative products from small and medium enterprises and to help these products lead to purchases.

This event saw active participation from 12 energy-related public enterprises and institutions, including Korea Electric Power Corporation, Korea Gas Corporation, Korea Midland Power, Korea South-East Power, Korea District Heating Corporation, KEPCO Nuclear Fuel, KEPCO KDN, Korea Hydro & Nuclear Power, Korea Energy Agency, Korea Radioactive Waste Agency, Korea Electric Power Technology, and Korea Midland Power, all members of the Energy Technology Market.

The energy public institutions reviewed the Ministry of SMEs and Startups' excellent research and development innovative products (159 products), selected those with high applicability to their companies, and matching was conducted with the participation of the companies that developed the respective innovative products.

The matched products this time totaled 24, including renewable energy (6), machinery equipment (7), industrial safety (7), and facility management (4). The public institutions participating in the Matching Day showed high interest in the Ministry's innovative products.

Along with this event, a meeting was held to listen to the difficulties companies developing innovative products face during the public procurement participation process and to explore ways to expand public market channels. The meeting included the Ministry of SMEs and Startups, the Small and Medium Business Technology Information Promotion Agency, and five companies designated as innovative product makers.

Yoon Se-myung, Director of Technology Development at the Ministry of SMEs and Startups, said, "In the difficult economic situation after COVID-19, the innovation procurement policy for securing initial market channels for small and medium enterprises is receiving more attention," adding, "The Ministry will continue to play an active role so that the public sector can proactively purchase and utilize innovative products from small and medium enterprises."