Launch of the Public Procurement Law Research CouncilThe Public Procurement Service (PPS), inaugurated the "Public Procurement Law Research Council" on October 23 at the PPS Hall of the Seoul Regional Office of PPS and collaborated with the Korea Institute of Procurement (KIP) to hold the council’s first seminar, where participants discussed topics including AI in procurement regulation, appropriate discretion in bid participation restrictions, and more.   The seminar gathered over 50 attendees from government, academia, and legal fields, including key figures from PPS, KIP, MOJ(Ministry of Justice) and DAPA(Defense Acquisition Program Administration).   In a written welcome message, PPS Vice Administrator Baek Seung-bo expressed hope that the research council would build an organic network among relevant agencies, fostering collaboration on the future direction of procurement systems and related laws. "We hope that this gathering of expertise will serve to advance procurement policy and legal frameworks," he noted.   Additionally, in congratulatory remarks, KIP President Lee Sang-yun expressed his vision for the council to operate with a spirit of communication, collaboration, and leadership across government, industry, and academia. "Hopefully, making full use of research findings, the council can create informed public opinion and suggest practical policy solutions that will form a robust public procurement network," he said.   The seminar sessions included a discussion on AI and public procurement and the issue of bid participation restrictions.   The first presentation, led by Professor Lee Sang-yong of Konkuk University Law School, was titled “The Paradigm of AI Regulation – Implications for Procurement Procedures.” Professor Lee compared AI regulatory trends in Korea with those in the EU and U.S., examining inherent risks and the ideal direction for regulation in public procurement.   Next, Attorney Jung Won of Yulchon, discussed the purchase of AI models, products, and services, exploring how AI could be used in procurement processes. Dr. Kim Dae-sik from KIP contributed to the discussion by addressing the impact of AI technology development on the procurement market and suggesting new roles of PPS.   The second session featured the presentation entitled “Bid Participation Restrictions and Administrative Discretion – Trends in Case Law.” made by Lee Eung-ju, Head of PPS’s Procurement Litigation Team. He outlined various forms of discretionary power in bid eligibility restrictions, advocating for a departure from mechanical penalties in favor of fair administrative discretion. He further suggested that the judiciary should respect the discretionary scope of administrative agencies.   Attorney Kim Tae-wan from Kim & Chang emphasized the need for discretion through alternatives like fine-based penalties and administrative guidance. In addition, PPS secretary official Lee Jeong-min introduced the Chevron Doctrine and relevant case law from the U.S., prompting discussions on the scope of interpretative authority of administrative bodies.   The Public Procurement Law Research Council plans to expand participation opportunities to ensure a broad spectrum of voices from legislative, administrative, and judicial fields. The council will continue its efforts to explore legal and procedural improvements, bringing practical issues to the forefront and working toward globally aligned standards.   PPS Administrator Lim Ki-keun remarked, “With the launch of the Public Procurement Law Research Council, we will actively listen to diverse perspectives from academia, law, and industry to foster a sound procurement market and system.” He added, “We will strengthen our research activities through regular seminars and close communication with relevant agencies such as the Ministry of Justice, DAPA, universities, research institutions, legal circles, and procurement companies.”

The 4th Anniversary of Public Procurement DayPublic Procurement Drives Business Innovation and the Future as “A Partner to Businesses, a Light of Innovation, and a Star of the Future”The 4th Anniversary of Public Procurement Day is to be a chance to renew the resolve towards the vision and role of public procurement in leading corporate innovation and the future as a Partner to SMEs, Start-ups and Innovative Companies▶ PPS AD Lim Ki-keun (fifth from the right) is at the opening ceremony for the 4th anniversary of Public Procurement Day at the aT Center, Seoul on the 26th of September, 2024 ▶ AD Lim(third from the left) is looking at 80 government-designated Innovative Products during the event   The event is taking place from September 26 to 27 at the Exhibition Hall II of the aT Center in Yangjae-dong, Seoul, under the theme "A Partner to Businesses, a Light of Innovation and a Star of the Future."   The Public Procurement Day (September 30 each year) is a statutory commemorative day designated in 2020 under the 'Government Procurement Act' to increase social awareness and interest in the importance of public procurement and to promote its progress. *                Establishment of Article 8 of the 'Government Procurement Act' (March 31, 2020), designating the opening date of the Korea On-line E-Procurement System (September 30, 2002) as 'Public Procurement Day.   More than 100 attendees are expected at the opening ceremony, including former heads of the Public Procurement Service(PPS), representatives from economic organizations, and officials from overseas procurement agencies.   And the New-growth Product Exhibition showcasing over 80 government-designated innovative products will be held concurrently, highlighting outstanding technological capabilities and achievements in improving public services.   In particular, the exhibition will feature products, including from those ODA-funded(Korea International Cooperation Agency) and the Tech Market (Ministry of Economy and Finance and Korea Expressway Corporation), developed through government-wide collaboration, allowing attendees to experience them firsthand. Additionally, products from successful startups that have secured investments during Investor Relation sessions with policy financial institutions such as Industrial Bank of Korea and D.CAMP will also be on display.   Various events have been organized to facilitate market access both home and abroad for the designated innovative products. These include one-on-one consultations with user institutions, briefings on the demonstration purchase system for the innovative products, export coordination initiatives, and investment presentations, all aimed at supporting market access through public procurement.   In addition, 108 awards, including the Presidential Commendation, will be presented to individuals and organizations such as public institutions and businesses that have contributed to public procurement. On top of that, winners of the innovative idea competition for public demand, aimed at elementary, middle, and high school students, will also be recognized. *        Presidential Commendations (6 awards), Prime Minister's Commendations (6 awards), Minister of Economy and Finance Commendations (20 awards), Minister of Education Commendations (3 awards), and Administrator of Public Procurement Service Commendations (72 awards).   At the 'Innovative Product Public Procurement Competition,' seven public institutions and eight innovative companies will present cases of improving public services through innovative products.   To support the "Growth Ladder for Startups," PPS will host the "Scouter Demo Day," an initiative where the private sector leads the discovery of inventive products outside the procurement market with public participation for designating genuinely inventive products. Additionally, an IR session with the IBK Changgong will be held in support of innovative companies   Moreover, under the theme 'K-Public Procurement Going Global,' the international procurement workshop and training for KONEPS-adopting nations will be held with procurement officials from 14 countries, including Uzbekistan, to strengthen Korea's global leadership in the governmenr procurement sector. Various events will also take place to support the entry of procurement companies into overseas markets, including a G-PASS award ceremony and briefings on related initiatives. * G-PASS company :‘Government Performance ASSured’ company   Deputy Prime Minister and Minister of Economy and Finance Choi Sang-mok stated in a video message, "The scale of public procurement in Korea has grown into a substantial market, accounting for 9.3% of its Gross Domestic Product (GDP). Through strategic public procurement, the government will actively support the nurturing of innovative companies, the protection of vulnerable groups in society and of the environment, and the response to supply chain challenges."   Song Eon-seok, the Chairman of the National Assembly's Strategy and Finance Committee, delivered a video message stating, "We will spare no effort in ensuring that public procurement becomes a strong supporter of regional community development and the national economy."   Lim Ki-keun, Administrator of the Public Procurement Service, stated, "Marking the 4th anniversary of Public Procurement Day, I would reaffirm that the true owners of procurement policies are the businesses that continuously strive for technological development. Public procurement will actively beef up their growth through collaboration."   He also stated, "PPS will take the lead in ensuring that the innovative spirit of our companies, combined with government support, grows into a shining light of innovation that can elevate them to become global unicorns–stars of the future."