The State Enterprise “Forests of Ukraine” is launching a pilot project to procure timber harvesting services through the Prozorro electronic platform, said the company’s CEO Yuriy Bolokhovets.
“Forestry enterprises have always procured harvesting services under direct contracts. We are planning to fully transfer them to open tenders. This is several billion hryvnias a year. In the fourth quarter, a pilot project will be launched in several regions. Specialists from the State Enterprise “Forests of Ukraine” are analyzing the market and working on developing technical requirements,” Bolokhovets said.
According to him, the reform is expected to create a competitive market, attract the maximum number of players, invest in modern equipment and new technologies, create additional jobs, increase contributions to budgets of all levels, reduce illegal logging, and improve the quality of work.
“This is the fourth stage of the anti-corruption program we are implementing. At the first stage, we banned direct contracts and transferred timber sales to specialized exchanges. At the second stage, we transferred the main purchases of the State Enterprise “Forests of Ukraine” – from fuel to road construction – to Prozorro. At the third stage, we abandoned unprofitable processing facilities and started transferring them to the State Property Fund,” explained the head of the company.
Mr. Bolokhovets noted that the anti-corruption program of the Forests of Ukraine also includes strengthening control tools and digitalization. However, the problem of corruption can only be overcome by institutional reforms, the creation of a system that minimizes the “official factor” and introduces transparent and open rules of the game for business, he emphasized.
