Public Procurement Service Announces KRW 33.2 Trillion Public Construction Orders for This Year... 70% Early Orders in First Half

[Asia Economy (Daejeon) Reporter Jeong Il-woong] The Public Procurement Service (PPS) announced that the total amount of public construction projects to be ordered this year is 33.2 trillion won, of which 70% is expected to be ordered early in the first half of the year.

On the 27th, the PPS released the "2022 Public Sector Facility Construction Order Plan." The execution plan scale for the facility construction sector this year is a total of 33.2471 trillion won, a 4% increase compared to last year (31.9785 trillion won).

Among this, the central procurement scale is 9.2247 trillion won, and the remaining 24 trillion won will be ordered independently by local governments and public institutions through individual systems or the Korea ON-line E-Procurement System (KONEPS).

Specifically, the scale of facility construction projects to be ordered by local governments this year is 12.196 trillion won, an 11.3% increase from last year's 10.9611 trillion won. Major ordering institutions include Gyeonggi-do (2.0285 trillion won), Gwangju-si (1.3388 trillion won), Jeonnam-do (1.1988 trillion won), and Gangwon-do (877.9 billion won).

The total amount ordered by public institutions is 16.758 trillion won, a 1.1% increase compared to last year (16.5738 trillion won). This is analyzed to be due to an increase in new orders in the railway sector and energy-related projects. Major ordering institutions include Korea Electric Power Corporation (KEPCO) (3.4538 trillion won), Korea Rail Network Authority (3.0477 trillion won), Korea Water Resources Corporation (2.4296 trillion won), and Korea Expressway Corporation (1.8124 trillion won).

Central administrative agencies plan to order a total of 4.2931 trillion won this year. This is a 3.4% decrease compared to last year (4.4436 trillion won). Major ordering institutions include the Ministry of Land, Infrastructure and Transport (1.4589 trillion won), Ministry of Oceans and Fisheries (1.3829 trillion won), Ministry of Justice (414.5 billion won), and Ministry of Education (130.2 billion won).

The PPS plans to promote economic revitalization through public procurement by ordering early 23.2722 trillion won (70% of the total) within the first half of this year.

Kang Sung-min, Director of the Facility Project Bureau at the PPS, said, "This year's order plan contains detailed information such as ordering institutions, order timing, and construction scale, which can be used diversely for construction companies' business and bidding strategy establishment." He added, "Above all, the PPS will focus all efforts on revitalizing the domestic economy, which has been depressed due to COVID-19, by ordering 70% of the total order amount early in the first half of this year."

This content was produced with the assistance of AI translation services.