Operations of and changes in the joint procurement unit

The year 2019 was a year of great changes for Hansel. As of 2 September 2019, the company has been a central contracting authority for the entire public sector. At that time, the state sold 35% of Hansel’s shares to the Association of Finnish Local and Regional Authorities, and the required amendments of the Act on a Limited Liability Company Called Hansel Oy took effect. Due to the reorganisation of the company and its ownership, employees of KL-Kuntahankinnat Oy, which was owned by the Association of Finnish Local and Regional Authorities, were transferred to Hansel Ltd as existing employees.

Hansel’s goal is to generate savings for society by opening up public procurement of goods and services to competition and providing its customers with procurement expert services. The tasks and role of a central contracting authority are defined in legislation on public procurement and the Act on a Limited Liability Company Called Hansel Oy. The company’s customers are also specified in the Act on a Limited Liability Company Called Hansel Oy. They include ministries and their agencies, certain other government agencies and – as of the beginning of 2019 – municipalities, joint municipal authorities, parishes and other contracting authorities in the regional administration. Joint procurement produces major savings in prices, quality and process expenses.

Through responsibly run operations, a central contracting authority promotes high-quality procurement and equal, non-discriminatory treatment of suppliers during the tendering process. Hansel’s objectives also include to promote open competition and organise tendering processes in a manner that fosters efficient market operations. Hansel’s operations are funded by service fees for joint procurement and the sales of expert services. The maximum service fee that may be charged is based on purchases made, and it is 1.50% of the contract value. The average service fee in 2019 was 0.96% (0.99% in 2018).