Business news from Ukraine

“Ukrhydroenergo announces tender for CASCO

On April 5, Ukrhydroenergo announced a tender for voluntary motor vehicle insurance (CASCO) for the branches of the Cascade of Kyiv HPPs and PSPs, according to the Prozorro electronic public procurement system.

The expected value of the insurance services procurement is UAH 192.041 thousand.

The deadline for submitting documents for the tender is April 15.

“Ukrhydroenergo operates all major hydroelectric power plants located on the Ukrainian sections of the Dnipro and Dniester rivers. The total installed capacity of the company’s hydroelectric power plants is 5,744.8 MW. The state, represented by the Ministry of Energy, owns 100% of the company’s shares.

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“Avtomagistral-Pivden” wins tender for construction of transport interchange for UAH 1.936 bln

Avtomagistral-Pivden LLC has won a tender for the construction of a transport interchange in Mykolaiv region with a bid of UAH 1.936 billion.

According to the announcement on Prozorro, the customer was the Service for Infrastructure Restoration and Development in Mykolaiv region. The expected cost of the works was UAH 2.28 billion.

The Eurotransmost consortium also participated in the tender with a final offer of UAH 1.937 billion.

The works under the tender include the construction of an interchange at different levels across the Southern Bug in Mykolaiv to the public road of national importance M-14 (Odesa-Melitopol-Novoazovsk). The length of the road surface is 8.3 km. The expected completion date is April 30, 2025.

According to Prozorro, the tender was held on February 8, and on March 6, Avtomagistral-Pivden published a notice of intent to conclude a contract based on the results of the tender.

Avtomagistral-Pivden LLC has been on the market since 2004. It designs and builds highways, bridges, interchanges, airfield complexes, and hydraulic structures. The company’s owner is listed in Opendatabot as Oleksandr Boyko. According to the financial results for 2022, the company’s net profit amounted to UAH 241.9 million, and net income was UAH 7.5 billion.

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“Ukrposhta” announces tender for driver insurance

The Ukrainian state postal service enterprise Ukrposhta (Kyiv) announced a tender for compulsory insurance of drivers against transport accidents on January 31, according to the ProZorro electronic public procurement system.

According to the system, the expected cost of the services is UAH 771.375 thousand.

The deadline for submitting bids is February 8.

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Ukrposhta announces tender for purchase of 250 vans on EBRD portal

Ukrposhta JSC, as part of a joint project with the European Bank for Reconstruction and Development (EBRD), has announced a tender on the EBRD portal for the purchase of 250 vehicles (vans with a carrying capacity of at least 1750 kg) with related full service services under the Ukrposhta logistics development project for implementation in 2024.

According to a report on the Prozorro portal, bids are accepted until January 15, 2024.

“The project will make it possible to make important investments in Ukrposhta’s logistics infrastructure and vehicle fleet to improve the quality of services and the sustainability of the company’s business and network. It will support the transformation of the company’s operating model, as well as improve the quality of services and the sustainability of Ukrposhta’s business and network,” the statement said.

The project is funded by a loan/grant provided by the EBRD.

The report notes that an explanatory online meeting with interested suppliers is planned for mid-December-2023, where they will be able to ask questions about the tender documents.

As reported, in October 2020, the Ukrainian government approved a EUR 63 million loan from the EBRD for the implementation of Ukrposhta’s Logistics Network and Rural Branch projects.

In March 2021, as part of the project, the EBRD signed an agreement with VIDI for the purchase of 1,860 Citroën Berlingo L2 Worker vehicles for mobile offices worth a total of UAH 1.3 billion.

As of September 30, Ukrposhta had 27.36 thousand points of presence with 35 thousand employees. Net income in January-September 2023 amounted to UAH 8.36 billion.

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KVSZ wins UZ tender for 44 new passenger railcars

“Kryukov Carriage Works (KVSZ) has become the sole bidder in Ukrzaliznytsia’s (UZ) tender for the purchase of 44 new passenger railcars for UAH 1.951 billion, according to the protocol of tender offers disclosure in the Prozorro electronic public procurement system published on September 29.

KVSZ’s offer is pending a decision, according to the tender documents.

The tender was held in the form of a Dutch auction (for price reduction). The minimum step was 0.5% of the contract amount, or UAH 9.75 million. With the declared contract value of UAH 1 billion 951 million 009.4 thousand including VAT, the price of the tender offer of KVSZ after the auction was UAH 1 billion 951 million 008.6 thousand including VAT.

As reported, the winner of the tender should produce 12 passenger sleeping cars (PS) and 20 compartment cars, three passenger compartment cars equipped for the transportation of wheelchair users and a train manager’s compartment, 9 open-seat cars for UZ, with delivery by December 31, 2025.

The tender terms were adjusted, in particular by increasing the level of advance payment. According to the contract payment terms published in Prozorro, an advance payment of 65% is due 14 days after the invoice date. Full payment is made 30 calendar days after delivery of the goods in the amount of 35% of the contract amount.

Earlier, in an interview with Interfax-Ukraine, Yevhen Lyashchenko, Chairman of the Board of Ukrzaliznytsia, said that the company would soon hold a tender for the purchase of 44 new passenger cars for UAH 1.9 billion, and in 2024 another tender for the purchase of 100 cars at the expense of the state budget, for about UAH 5 billion.

The head of UZ expressed hope that KVSZ, with which Ukrzaliznytsia has fully paid off its debts for the supplied passenger cars, as well as other large machine-building companies, will participate in the tender in 2023. He pointed out that the level of advance payments had been increased, which was critical for manufacturers.

UZ reported that the new cars will be equipped with vacuum toilets, changing tables, sockets and USB ports for fast charging of gadgets, electronic displays, and coffee makers. Cars for the transportation of passengers with disabilities will be equipped with lifting platforms for comfortable boarding of passengers in wheelchairs. Doors in compartment and SV cars will be equipped with an alarm system and a door lock button for greater passenger safety. There is also a video surveillance system.

The company also clarified that the tender conditions reflect the changes that the government made the day before to the procedure for using budget funds under the passenger rolling stock renewal program in order to attract manufacturers to the tender and provide all conditions for an effective purchase, unlike the previous tender, which was held in accordance with the procedure before the changes were made.

In June, UZ canceled a tender for the purchase of 20 passenger railcars for UAH 882 million due to a lack of bids. The tender provided for an advance payment of 29.99% of the contract amount, which was to be made within 15 banking days.

By the spring of this year, KVSZ completed the fulfillment of UZ’s order for the supply of 100 passenger railcars under the contract concluded in 2021 for more than UAH 3 billion.

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Boryspil Airport Announces Tender for Driver Insurance

On September 26, Boryspil International Airport (Kyiv) announced a tender for compulsory insurance of drivers against transport accidents.

According to the electronic public procurement system Prozorro, the expected price offer was UAH 43,972 thousand.

Applications for participation in the tender are accepted until October 4.

As reported, the winner of a similar tender a year earlier was Guardian Insurance Company.

Boryspil International Airport accounts for over 68% of Ukraine’s passenger air traffic and is the only Ukrainian airport that serves long-haul flights. More than 50 airlines operate regular flights from the airport to more than 100 routes around the world.

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