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2007 Assessment

Armenia: Integrity Indicators Scorecard

Armenia: Integrity Scorecard Report > Sub-Category: Procurement
Indicators		Score
48	Is the public procurement process effective?	65
49	Can citizens access the public procurement process?	67

Indicator and sub-Indicator Details

Is the public procurement process effective?

48a: In law, there are regulations addressing conflicts of interest for public procurement officials.

Score:

YES

Comments:

References: The Law on Procurement of The Republic of Armenia www.arlis.am www.parliament.am

48b: In law, there is mandatory professional training for public procurement officials.

Score:

YES

Comments:

References: The Law on Procurement of the Republic of Armenia, Article 16, 2g www.arlis.am

48c: In practice, the conflicts of interest regulations for public procurement officials are enforced.

Score:

100

Comments:

References: Interview with Ashot Sarkhoshyan, chief specialist of the Ministry of Trade and Economic Development of the Republic of Armenia (August 13, 2007) Media observation

48d: In law, there is a mechanism that monitors the assets, incomes and spending habits of public procurement officials.

Score:

YES

Comments:

References: There are no mandates or mechanisms.

48e: In law, major procurements require competitive bidding.

Score:

YES

Comments:

References: The Law on Procurement of the Republic of Armenia, Section 3, Article 17 www.arlis.am

48f: In law, strict formal requirements limit the extent of sole sourcing.

Score:

YES

Comments:

References: There are no prohibitions fixed in law.

48g: In law, unsuccessful bidders can instigate an official review of procurement decisions.

Score:

YES

Comments:

References: The Law on Procurement of the Republic of Armenia, Section 7 www.arlis.am

48h: In law, unsuccessful bidders can challenge procurement decisions in a court of law.

Score:

YES

Comments:

References: The Law on Procurement of the Republic of Armenia, Section 7 www.arlis.am

48i: In law, companies guilty of major violations of procurement regulations (i.e. bribery) are prohibited from participating in future procurement bids.

Score:

YES

Comments:

References: The Law on Government Purchase www.arlis.am

48j: In practice, companies guilty of major violations of procurement regulations (i.e. bribery) are prohibited from participating in future procurement bids.

Score:

100

Comments: The Law on Procurement in Armenia is ineffective because, in reality, companies with a record of previous of major violations of procurement regulations are not prohibited from participating in future procurement bids.

References: Interview with Ashot Sarkhoshyan, chief specialist of the Ministry of Trade and Economic Development of the Republic of Armenia (August 13, 2007) Media observations

Can citizens access the public procurement process?

49a: In law, citizens can access public procurement regulations.

Score:

YES

Comments:

References: The Law on Procurement of the Republic of Armenia www.arlis.am www.parliament.am

49b: In law, the government is required to publicly announce the results of procurement decisions.

Score:

YES

Comments:

References: The Law on Procurement of the Republic of Armenia, Artice 37 www.arlis.am

49c: In practice, citizens can access public procurement regulations within a reasonable time period.

Score:

100

Comments: The records are available, however, some delays take place.

References: Interview with Ashot Sarkhoshyan, chief specialist of the Ministry of Trade and Economic Development of the Republic of Armenia Media observation

49d: In practice, citizens can access public procurement regulations at a reasonable cost.

Score:

100

Comments: In reality, citizens can access public-procurement regulations free of charge or for cost of photocopying. The problem is these regulations are often not publicized.

References: Interview with Ashot Sarkhoshyan, chief specialist of the Ministry of Trade and Economic Development of the Republic of Armenia Media observation

49e: In practice, major public procurements are effectively advertised.

Score:

100

Comments: There is no process of advertising major public procurements. Often they are published in local newspapers in very small letters as to not attract attention.

References: Interview with Ashot Sarkhoshyan, chief specialist of the Ministry of Trade and Economic Development of the Republic of Armenia (August 13, 2007) Media observation

Peer Review Comments: The advertisement page of Hajastani Hanrapetutiun, a national newspaper, frequently contains ads about major procurement. However, the advertisements may be published at shorter notice sometimes.

49f: In practice, citizens can access the results of major public procurement bids.

Score:

100

Comments: Although the Law on Freedom of Information guarantees to citizens access to the results of major public procurement bids, it is hard to get them through an official process.

References: Interview with Ashot Sarkhoshyan, chief specialist of the Ministry of Trade and Economic Development of the Republic of Armenia (August 13, 2007) Media observation