It was learned from Chenzhou Finance Bureau, Chenzhou government procurement accumulated to 4.34 billion yuan from 2009 to 2011, among which 3.9 billion yuan was actual expenditure. That is to say, Chenzhou government cut down the expenditure to 534 million yuan with a saving rate of 12.04%.
In the current 3 years, taking the first place in Hunan province, Chenzhou launched many reformations for government cars purchase. Such as centralized procurement of government cars, “last eliminated system” for designated supplier, online auction for protocol supply, designated procurement for quota projects and etc.. All of these realized the separation from usufruct to configuration option of the government cars.
What is Government Procurement?
Government procurement, also called public tendering or public procurement, is the procurement of goods and services on behalf of a public authority, such as a government agency. With 10 to 15% of GDP in developed countries, and up to 20% in developing countries, government procurement accounts for a substantial part of the global economy.
To prevent fraud, waste, corruption or local protectionism, the law of most countries regulates government procurement more or less closely. It usually requires the procuring authority to issue public tenders if the value of the procurement exceeds a certain threshold.
Government procurement is also the subject of the Agreement on Government Procurement, a plurilateral international treaty under the auspices of the WTO.