3 billion liras were saved by bulk fuel purchases for the public

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Lerato Khumalo

The General Directorate of the State Supply Office (DMO) of the Ministry of Treasury and Finance saved 3 billion lira within the scope of the work initiated for the bulk fuel supply to public institutions.

According to the information obtained by the AA correspondent from the Ministry, DMO, as the central purchasing institution, started its financial intermediary service as a pilot in 2020 for the supply of fuel needed by public institutions and organizations.

With the project, it was possible to benefit from the advantages of central procurement to the maximum extent, to provide high levels of savings, and to provide quality, fast and standard service to public institutions.

The pricing method, which was planned to obtain a discount on the pump price, turned into a dynamic discount calculation and update model covering a 3-year period and based on updating the rate every 6 months.

A VOLUME OF 950 MILLION LITERS WAS REACHED

Within the scope of DMO’s financial intermediation service, the Public Fuel Vehicle Automation System (KamuTOS) was launched, with which public institutions and organizations can manage their fuel supply processes electronically.

Through KamuTOS, institutions can add their license plates, track and approve fuel purchases, and make payments. In the new period, automatic collection transactions will also be carried out through this system.

With this model, a transaction volume of approximately 950 million liters was achieved, saving approximately 3 billion lira at today’s prices.

“IT PROVIDES PUBLIC NEEDS ADVANTAGEOUSLY”

Minister of Treasury and Finance Mehmet Şimşek also pointed out the importance of the bulk purchasing model implemented by DMO and explained that the work initiated to supply the fuel needs of public institutions and organizations with a centralized and standard purchasing method, and that purchases were made in accordance with the specified standards.

Stating that they enable public institutions to meet their needs in an advantageous and ideal way, Şimşek said:

“Thus, while the services provided by public institutions and organizations for citizens continue, the price advantage and public human resources provided are also enabled to be utilized in other areas. Within the scope of the Public Savings and Efficiency Package, we make it essential for public procurements to be carried out through DMO. With the understanding of making expenditures on public procurement more efficient “We will continue to expand the scope of savings-oriented central public procurement policies. Next year, it will be essential to supply the fuel needed by public institutions and organizations through DMO within the scope of central fuel supply.”