Gyeonggi and North Jeolla Provinces to Pilot Autonomy in Purchasing Public Procurement Service Unit Price Contract Items

The pilot program to allow local governments greater autonomy in the mandatory purchase of items under unit price contracts with the Public Procurement Service will be implemented starting this month.

On January 5, the Public Procurement Service announced that it will conduct a pilot program granting purchasing autonomy for items under unit price contracts in Gyeonggi Province and North Jeolla Province.

Provided by Public Procurement Service

Previously, local governments were required by law to purchase items contracted under unit prices by the Public Procurement Service. However, during the pilot period, Gyeonggi Province and North Jeolla Province will be allowed to purchase these items independently.

The Public Procurement Service introduced these measures as part of the "Public Procurement Reform Plan" announced at the Economic Ministers' Meeting in November last year, and decided to conduct the pilot program for one year to minimize any potential side effects of increased autonomy.

Gyeonggi Province and North Jeolla Province were selected to implement the pilot project. Cities, counties, and districts under their jurisdiction are also included in the pilot program.

The items eligible for independent purchase are 118 categories of electrical and electronic products, such as computers and home appliances, which are actively traded in the market and in high demand by local governments.

Baek Hoseong, Director of the Purchasing Business Bureau at the Public Procurement Service, stated, "Granting autonomy in the mandatory purchase of items under unit price contracts is a significant policy decision that shifts the public procurement paradigm from a centralized approach to a demand-driven model. Through the pilot program, we will minimize any negative effects and ensure a successful transition to full autonomy."