No public procurement for EXPO 2027 project
Works for the construction of the exhibition area for EXPO 2027, facilities for the accommodation of participants and visitors, the National Stadium and supporting infrastructure – the value of which could amount to one billion euros – will be contracted without the application of the Law on Public Procurement, which creates a significant risk that the costs will be higher than would be in conditions of the entire competition, Transparency Serbia assesses.
The special law for EXPO 2027 (full name: "Law on special procedures for the realisation of the international specialised exhibition EXPO Belgrade 2027")[1] repeals the Law on Public Procurement, as well as certain provisions of other regulations (on expropriation, planning and construction). That "recipe" has already been tested in several other cases, the most famous of which are "Belgrade Waterfront", "Moravian Corridor", and the (unrealised) "South Stream". Due to the exclusion of the application of the Law on Public Procurement, if discriminatory conditions are set for selecting contractors, it will not be possible to dispute this before any state authority.
The Government of Serbia proposed a special law for this project together with the budget for 2024 and numerous other regulations, which significantly reduces the chances that it will be adequately considered in the parliament, while the Ministry of Finance did not organise a public debate on the draft of the law, even though it was mandatory based on the Law on State Administration.
The draft law on EXPO 2027 envisages the establishment of several state-owned companies, which will have the status of investors. Article 14. states that these companies "shall not apply the provisions of the law governing public procurement" and that they will themselves regulate the rules for their procurement procedures and "obligation to ensure the transparency of the procedure". Since the special law does not prescribe any additional conditions, there is no obstacle for the future procurement rules of these state-owned enterprises to be far below the standards of the Law on Public Procurement and for "transparency" to be reduced to merely informing the public about how much has been spent.
We especially point out that the Government of Serbia did not even try to justify the cancellation of public procurement for this valuable project in explaining the bill. Even the urgency of implementation, cited as a reason for deviating from other regulations, would certainly not be a valid reason, because the Law on Public Procurement allows shortening deadlines when justified.
What makes this paradox even more significant is that the proposal to amend the Law on Public Procurement will probably be discussed at the same session of the Assembly.[2] Numerous proposals from civil society to improve the law were rejected[3] just because the provisions of the Law on Public Procurement "are already harmonised with EU Directives". On the other hand, the explanation of the special law for EXPO contains a patently false claim - that "there are no relevant EU regulations with which it is necessary to ensure compliance".
According to the 2024 budget proposal[4] presented by the Ministry of Finance, in the next three years, 67.8 billion dinars are planned for EXPO 2027, and 49 billion dinars for the construction of the National Football Stadium. In total, it amounts to about one billion euros. It can be assumed that the largest part of this money will be spent for the execution of the works, bearing in mind that the investor is exempted from the obligation to pay a fee for arranging the construction land.
[1] http://www.parlament.gov.rs/upload/archive/files/cir/pdf/predlozi_zakona/13_saziv/1948-23.pdf
[2] http://www.parlament.gov.rs/upload/archive/files/cir/pdf/predlozi_zakona/13_saziv/1847-23.pdf
[3] https://ekonsultacije.gov.rs/topicOfDiscussionPage/211/1
[4] http://www.parlament.gov.rs/upload/archive/files/cir/pdf/predlozi_zakona/13_saziv/1916-23.pdf
News
Proposals for the implementation of ODIHR recommendations and improvement of election conditions
Transparency Serbia has used the opportunity to present to representatives of parliamentary parties and the Working Group of the Government of Serbia for Cooperation with ODIHR a number of specific proposals and priorities for improving election conditions, especially regarding the financing of the election campaign and preventing the misuse of…
... detaljnije ...TS submitted proposals to the Assembly for the implementation of recommendations from the ODIHR report
Transparency Serbia submitted to the Serbian Parliament and the Government Working Group for the Improvement of the Electoral Process proposals regarding the implementation of certain recommendations from the Final ODIHR report after the December 2023 elections and unfulfilled recommendations after the previous elections. TS informed the ODIHR Observation Mission, the citizens…
... detaljnije ...Ministry of Interior should publish data on migration of voters that it submitted to Prime Minister
The claim of the Prime Minister in the technical mandate, according to which "everyone can check" in how many cases citizens change their residence, not only does not correspond to the factual situation but is directly opposite to the official answer that Transparency Serbia received from the Ministry of Internal…
... detaljnije ...Corruption prevention in the executive branch - useful GRECO recommendations have not yet been implemented
If Serbia were to implement the recommendations it received in March 2022 from GRECO (Group of Countries for Combating Corruption) – a body established by the Council of Europe – it would significantly improve the mechanisms for combating corruption in the work of the executive. However, very little has been…
... detaljnije ...ODIHR calls for improvement of campaign finance rules and prevention of abuse of public resources "well in advance of the…
In the final Report on the December elections, the ODIHR observation mission confirmed some of the findings of Transparency Serbia's monitoring of the election campaign, and a large number of recommendations refer to unresolved issues of election campaign financing, misuse of public resources and participation of public officials in the…
... detaljnije ...The costs of the Belgrade local election campaign - what is shown and what is missing
Although there were 14 election lists in the Belgrade local elections, and the deadline for submitting the final financial reports expired six days ago, only nine lists have been published so far. According to the information published on the Agency for the Prevention of Corruption website, the report on the…
... detaljnije ...Procurement for EXPO 2027 - no minimum deadlines and no legal protection
The Government of Serbia adopted a decree which, in accordance with the lex specialis, prescribes how procurement will be carried out and jobs awarded for EXPO 2027. Nemanja Nenadić from Transparency Serbia for N1 says that the differences between the rules prescribed by the Law on Public Procurement and this…
... detaljnije ...Serbia continues to fall on global list of Transparency International's Corruption Perception Index
In Serbia, there is no political will to reduce corruption; the Government bypasses laws on public procurement, passes special laws for multimillion-projects that are important to it, does not adopt an anti-corruption strategy, and is increasingly distant from the rule of law. It was said at the Transparency of Serbia…
... detaljnije ...TS calls on MIA and HPPO to publish additional information on their actions regarding election irregularities
The information presented to the public by the Ministry of Internal Affairs (MIA), the Ministry of State Administration and Local Self-Government (MSALSG), as well as the Higher Public Prosecutor's Office (HPPO) in Belgrade, regarding allegations of illegality in the electoral list and vote buying, are not sufficient to dispel publicly…
... detaljnije ...Alarm over indications of serious election breaches
Transparency International urgently calls on the Serbian authorities to investigate potential abuses of public office and resources by the ruling party during the 17 December elections. It is also crucial to swiftly determine whether vote-buying took place. The prosecution and the Agency for Prevention of Corruption (APC) need to promptly…
... detaljnije ...
In the election campaign, blurred line between state and the party - a sharp and valuable report by ODIHR
The observation mission of the ODIHR already in the preliminary Report highlighted not only the shortcomings of legal solutions but also numerous severe violations of the law during the campaign and election day, among which are problems for which Transparency Serbia has been proposing concrete solutions for years. The International Election…
... detaljnije ...Unfulfilled obligations and priorities for the fight against corruption
The International Anti-Corruption Day, 9 December, is a good reason to call on the Parliament and the Government, which will be formed after the upcoming elections, to finally adopt one of the most effective mechanisms for the fight against corruption - the introduction of illegal enrichment, as a criminal offence…
... detaljnije ...EC report – benevolent conclusion on progress and numerous unresolved problems
The European Commission's assessment[1] of Serbia's "limited progress" in the fight against corruption is too benevolent. On the other hand, the EC report is significant, as it points to some of the most important unresolved issues, including direct contracting of procurement for infrastructure projects, illegal acting state in public administration…
... detaljnije ...The work of temporary bodies during the election campaign must be transparent
Transparency Serbia has indicated to the presidents and members of temporary working bodies in 65 cities and municipalities that they have an obligation to ensure the publicity of their work by allowing journalists to attend the sessions and publishing the explanations for the decisions they make. Based on the Law on…
... detaljnije ...Violations marked the introduction to local elections
Information about the fact that the leaders of around 70 cities and municipalities submitted their resignations – meaning their mandate ended – cannot be found on the Agency for the Prevention of Corruption website. It means that the assemblies of these cities and municipalities violated the legal obligation. An even bigger…
... detaljnije ...The amendment to the Law on Electronic Media does not solve the problem of "public officials' campaign"
The provision of the Law on Electronic Media, passed today, even with the amendment that was adopted by the Parliamentary Information Committee – allegedly to fulfil the ODIHR recommendation – does not solve the problems related to the promotional activities of public officials and does not represent the fulfilment of…
... detaljnije ...An amendment to prevent procurement for EXPO 2027 from being conducted without applying the Law on Public Procurement
Transparency Serbia has submitted to parliamentary groups in the Parliament of Serbia a proposal for an amendment to the Special Law on EXPO 2027 that would remove one of the significant corruption risks by obliging the special companies that will be formed for the implementation of the project to apply…
... detaljnije ...Novi Pazar, Sombor and Veliko Gradište the Most Transparent Local Governments in 2023
Novi Pazar, Sombor and Veliko Gradište are the most transparent local governments in 2023 according to the Local Transparency Index published today by Transparency Serbia, with support from the United States Agency for International Development (USAID). Since 2015, the Index has been measuring the transparency of all 145 local governments…
... detaljnije ...No public procurement for EXPO 2027 project
Works for the construction of the exhibition area for EXPO 2027, facilities for the accommodation of participants and visitors, the National Stadium and supporting infrastructure – the value of which could amount to one billion euros – will be contracted without the application of the Law on Public Procurement, which…
... detaljnije ...Which Local Governments Were the Most Transparent in Serbia in 2023?
On October 13, 2023, Transparency Serbia and the United States Agency for International Development (USAID) will present the results of the 2023 Local Transparency Index (LTI). The Index has been measuring the transparency of all 145 local governments and 25 city municipalities in Serbia each year since 2015 and tracks…
... detaljnije ...
EPS illegally withholds information
EPS AD (Electric Power Company of Serbia), joint stock company unlawfully withholds essential information from the public about its work and the possible disposing of the assets of great value. Transparency Serbia, since 26 May 2023, has been trying to verify with the Electric Power Company of Serbia the allegations…
... detaljnije ...On amendments to the Law on Prevention of Corruption
The draft amendments to the Law on the Prevention of Corruption[1], presented for public discussion, respond to the GRECO's recommendations for Serbia[2] to a limited extent. On the other hand, it does not contain measures to reduce the scope of the "official campaign" and to increase the capacity of control…
... detaljnije ...The new draft law on the management of state-owned enterprises still needs amendments
The new proposal of the Law on the Management of Public Enterprises Owned by the Republic of Serbia is better than the previously withdrawn one. Still, it also needs to be amended, primarily in the area related to preventing misuse of public resources during the election campaign, transitional provisions and…
... detaljnije ...Corrupt risks of free conversion not taken into account
Amendments to the Law on Planning and Construction carry a high corruption risk because the state is giving up potential public revenues in favour of individual companies and, at the same time, threatens legal certainty and equality before the law. The amendments provide for the free conversion of the "right of…
... detaljnije ...What needs to be fixed in the proposal of the law on the management of state enterprises
Transparency Serbia sent the Government of Serbia, the Ministry of Economy and the Agency for the Prevention of Corruption a detailed analysis of corruption risks and other shortcomings in the draft law on managing business companies owned by the Republic of Serbia (SOE). The proposal for a law on companies owned…
... detaljnije ...Directors of SOE outside the reach of anti-corruption regulations
The directors of the largest state-owned companies (SOE), which manage assets worth tens of billions of euros, will not have the obligations, restrictions or control provided for public officials in the Law on Prevention of Corruption if the deputies adopt the proposed Law on the Management of Companies Owned by…
... detaljnije ...One of the laws crumbling the public procurement system repealed
The repeal of the law on line infrastructure[1], which opened up a huge space for discretionary decision-making and had the potential for corruption, is good news after years of crumbling public procurement systems. However, it is essential to emphasize that by deleting this law, only one of the channels for…
... detaljnije ...Change the selection method for independent bodies' managers
The legal rules leave too much room for political parties to influence the election of heads of independent bodies, Transparency Serbia emphasises. Although the majority of MPs decide the election - which is inevitable - the parties also have the sole or decisive say in the candidacy phase. At today's session…
... detaljnije ...Harmful and unexplained amendments to the Statute of ”JP Elektroprivreda Srbije”
Amendments to the articles of founding act and the Statute of ”JP Elektroprivreda Srbije” will have very harmful consequences on the implementation of anti-corruption laws in the largest Serbian public company, Transparency Serbia warns. In addition, the key reasons for changes are not explained and the legal basis is disputed. The…
... detaljnije ...Prosecutor's Office should increase the transparency of its work and investigate all abuses in EPS
The Higher Public Prosecutor's Office (HPPO) in Belgrade, in response to a request for access to information sent by Transparency Serbia, confirmed[1] that there is no evidence that prosecutor Bojana Savović requested a transfer from the Special Department for the Fight against Corruption. At the same time, HPPO did not submit…
... detaljnije ...
- 1
- 2
- 3
