Ukraine

The Cabinet of Ministers allowed the Innovation Fund to purchase defense technologies without applying standard procedures

The Cabinet of Ministers of Ukraine approved amendments to paragraph 9 of the document “Features of public procurement of goods, works and services for customers provided for by the Law of Ukraine “On public procurement”, for the period of the legal regime of martial law in Ukraine and within 90 days from the date of its termination or cancellation”.

According to the government’s decision, the Innovation Development Fund received the right to carry out procurement of special innovative technologies – in particular, robotics, unmanned systems, dual-purpose and military developments – without applying standard procurement procedures or simplified procurements provided for current legislation. These changes concern the procurement necessary to ensure the activities of the NEXT experimental unit.

“The development and testing of combat drones, ground robots, and water platforms requires fast and flexible supply of components. Traditional procurement procedures provide for competition, and for the realities of the front, it is necessary to make purchases mainly from manufacturers. Simplification will allow the Fund to directly receive the necessary technologies and equipment for accelerated testing, adaptation, and transfer to the military. This will strengthen our technological advantage and help save the lives of defenders”, — said Deputy Minister of Economy, Environment, and Agriculture Andriy Telyupa.

The specifics of public procurement for the period of martial law are determined by the Resolution of the Cabinet of Ministers No. 1178 of October 12, 2022. The document regulates the procedure and conditions for conducting procurement in wartime, provides for a ban on procurement from citizens and companies of aggressor states, and also establishes the requirement to adhere to the principles of transparency, fair competition, and effective use of budget funds, as defined by the Law “On Public Procurement”.

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