Today the director general of JSC Rosseti, Oleg Budargin, gave a report at the conference "223-FZ - Corporate Procurement for the Benefit of the Country," organized as part of the Russia-wide forum-exhibition "Goszakaz-2015. For honest procurement." In attendance at the event were representatives of large state-owned companies and public organizations, who are experts in the field of procurement activities.

The head of Rosseti said, that bringing order to procurements - is one of the most important and tremendous tasks, standing before company heads.

"At the present time at Rosseti about 98% of procurements are carried out electronically, all procurements with an initial value exceeding 5 million roubles are mandatorily rebid. Both in the executive office and in both subsidiaries meetings are held with advisory bodies on procurement activities with the participation of representatives of public organizations. All of this allows us to achieve significant savings," he added.

As of year-end 2014, as a result of optimization of procurement activities, Rosseti group achieved an economic effect of 36.1 billion roubles, which amounted to 8.8% of the total sum of procurements.

Today, more than 57% of all procurements are conducted through public call. According to statistics, in 2014, the average number of participants in purchasing procedures of JSC Rosseti was 4 companies. Additionally, the average number of participants in government orders (in 2013), according to data from the Federal Anti-Monopoly Service of Russia, was 2.4 (request for quotation, open auction) and 1.7 (open competition).

Rosseti will continue to reduce the percentage of procurements from a single source. If in 2013 that percentage amounted to 4.3% of the total volume, then in 2014 it was lowered to 3.7%.

The Rosseti Group is actively implementing the provisions of the "road map," approved by order of the Russian Government, to improve the access of representatives of small and medium enterprises (SMEs) to their procurement procedures. In 2013 representatives of SMEs were winners in less than 19% of procurements conducted. In 2014 this number rose to 24.1%.

Work is progressing purposefully in policy implementation of import substitution, and program development is ending for import substitution.

Import substitution is a federal issue, and here the company is taking an active part in developing and implementing necessary changes to acting law.

For example, the procurement law (223-FZ), looking at the possibilities of establishing government priorities for two groups of suppliers - for small and medium enterprises, and also for domestic manufacturers.

Additionally, the head of Rosseti noted, for small and medium enterprises, today there are already significant results in solving this task, and for domestic manufacturers there are no regulations, consequently, costumers have no legal basis to provide for any preferences for them.

"In matters of amending the regulatory documents, we count on the support and joint efforts of organizations such as the ARPF," said Oleg Budargin.

In conclusion, the head of Rosseti emphasized that all enterprises of the Rosseti group are open for dialogue, ready to answer any questions, discuss proposals, and respond quickly to constructive criticism.

In turn, Anton Getta, project leader for ARPF "For Honest Purchasing" thanked Oleg Budargin for the open and constructive interaction of JSC Rosseti with ARPF, and also gave the company high marks for its activities in improving the efficiency of expenditures of budgetary funds in public procurement.