NERV proposes 15 measures to lower corruption

Prague, Oct 5 (CTK) - The Czech Government National Economic Council (NERV) proposes 15 measures to fight corruption, including lowering the limit for the launch of tenders, introducing electronic auctions and making the offered price the exclusive rule for transport tenders, its representatives said yesterday.

The law on placing orders should explicitly contain the principles of economy, purposefulness and effectiveness.

Prime Minister Petr Necas (Civic Democrats, ODS) told journalists that these are preventive measures that also aim at saving public money.

Bohuslav Sobotka, leader of the senior opposition Social Democrats (CSSD), told journalists that he can imagine the CSSD supporting a number of the NERV's proposals.

Necas said 630 billion crowns were paid out for public orders in 2009. If 2 percent were saved, this would amount to 13 billion crowns, or a sum comparable with the cut in mandatory spending of the state, Necas said.

He said he wants to introduce most of the anti-corruption measures as soon as possible. He plans to push through the relevant bills by the end of 2011 and other steps, that do not require parliament's consent, even sooner.

The latter steps include the introduction of data boxes to deposit all documents on tenders.

"It is an evidence system preventing retroactive manipulation of documents when the tender is underway," Necas said.

He said this step can be taken in four months.

The limit for a tender for construction orders is six million crowns, for others two million.

NERV proposes to decrease the limit to one million crowns. Orders from 300,000 crowns to one million should be placed in a simplified procedure.

Firms seeking an order should fulfil only two qualification conditions. They should make an affirmation that they are capable of fulfilling the order and prove that they have implemented a similar, even if smaller project in the past five years.

NERV said the tender launcher often formulates the conditions so as to reduce competition and to allow the beforehand selected firm to win.

Other proposals include pre-tender proceedings, compulsory publication of the contracts and amendments and the creation of model documentation for placing orders.

The duty to determine at least five firms that could participate in the tender should be compulsory in big orders.

The centre-right government coalition of the ODS, TOP 09 and Public Affairs (VV) has set the struggle against corruption as one of its priorities.

Sobotka said the CSSD does not agree with the government budget, tax and welfare policies, but is ready to seek agreement on anti-corruption measures.

He said some of the NERV's proposals presented yesterday are no breakthrough novelty but they include many good ideas that should be implemented.

"We can imagine supporting a number of the proposals," Sobotka said on behalf of the CSSD.

He said the CSSD views the passing of a new bill on public orders as crucial. That is why he is worried by the government's indication that the bill could be submitted to parliament only in the first half of 2011.

"This time is too long," Sobotka said.

David Ondracka, head of the Czech branch of Transparency International (TI), told CTK that he welcomes the interest the government has shown in the public orders issue.

He said he agrees with most of the proposed measures, though he suspects some, such as the introduction of data boxes, of being of no use.

Ondracka said he is embarrassed over the planned introduction of external opponent proceedings in the case of big orders.

"I'd like this very much, but I'm afraid that the procedure may rest in the ministry simply having a consulting firm work out a confirmation of what it plans to do. If so, it would be nothing but further money wasting," Ondracka said.

He said he would welcome the introduction of clerks' personal responsibility for individual orders. Tenders could have their "guarantors," such as the minister or his deputy or ministerial section head, Ondracka said.

($1=17.852 crowns)