Infrastructure developers want flexibility in public procurement

At INFRA ry's congress, concerns were raised about the public sector's procurement know-how and procurement procedures unsuitable for the infrastructure sector. Procurement models that increase the contractor's freedom could save millions of tax euros.

The number of employees and financial room for maneuver in the public sector – municipalities and the state – will decrease in the next few years as the population ages. In the future, roughly the current number of roads, bridges, technical networks and green areas will have to be maintained with a thinner tax base than at present.

Infrastructure developers still see the situation as bright. There are still numerous, so far little-used means by which public infrastructure construction can be made more efficient while saving tax euros. For example, there is still much room for improvement in the purchasing and management of planning services.  

"Constraint in the planning phase of infrastructure work is reflected in the implementation phase even in multiple costs, when unclear and incomplete plans have to be interpreted on the construction site. Consulting the contractors already in the planning phase would save the construction site from many surprises that raise costs", reminds INFRA ry, which is holding its Liittopäivii in Tampere.

Rigid legislation hinders changes Current procurement legislation also weakly supports innovation and overall economy in infrastructure tenders. Often, after receiving the request for a quote, the contractor already sees that the ordered work could be done cheaper and smarter. However, it is not possible to make alternative offers. In the construction phase, innovation is again drowned in bureaucracy, because the decision-making chain of a consultant-led project is too heavy.  

"Many of the current practices are not suitable for the infrastructure sector. Practices that emphasize cooperation and increase the contractor's freedom of action would flexibly bring innovations to use both during the bidding phase and during the work", INFRA's chairman Jukka Juola amount.  

Flexibility would also bring clear savings to taxpayers. "For example, in the Rantaväylä project in Tampere, almost 20 percent of the cost estimate was cut by utilizing the alliance model that invests in cooperation and innovation", CEO of Lemminkäinen Infra Oy Harri Kailasalo says.

FOR MORE INFORMATION:

Jukka Juola, chairman INFRA ry, jukka.juola(a)andament.fi, 0400 586 010
Paavo Syrjö, CEO INFRA ry, paavo.syrjo(a)infra.fi, 040 560 1803  
Harri Kailasalo, managing director, Lemminkäinen Infra Oy, harri.kailasalo(a)lemminkainen.com, 0400 401 538

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