Joint report on parallel audit of Procurement of public building and corruption prevention

Report ID: 41

In January 2011, the Supreme Audit Office of the Czech Republic (Czech SAI - NKÚ) and the Bundesrechnungshof of Germany (German SAI - BRH) agreed to conduct parallel audits both of the EU-wide awarding of building contracts and of corruption prevention.

The audit focused on the application of EU procurement law as transposed into national law and corruption prevention of contracts for building construction and road construction and/or transport infrastructure. The audit also covered contract awards below the EU thresholds with a view to corruption prevention.

The working groups of the two SAIs compared the legal frameworks and administrative regulations in the Czech Republic and in Germany and the results of their parallel audits which they conducted specifically in the fields of building construction and road construction.

The two SAIs´ audit findings are summarised in the joint report.

SOURCE: https://www.nku.cz/en/publications-ocuments/other-publications/procurement-of-public-building-and-corruption-prevention---joint-report-on-parallel-audit-nku-and-brh-id6067/

Parallel audit of the use of public funds for motorway construction

Report ID: 65

The European motorway network forms the backbone of the passenger and freight transport in the European Union. As this situation will remain unchanged for the time being, investments in the expansion and maintenance of the European Motorway network are very important. Thus, examining the use of public funds for financing motorway construction projects is a key responsibility of Supreme Audit Institutions.

This report informs about the findings produced by the parallel audit missions regarding the funds spent on building the A 73 motorway (A 73) in Germany (section Thuringia/Bavaria satate border - Lichten - fels) and the D 1 motorway (D 1) in the Slovak Republic (section Vrtizer - Hricovske Podhradie). The audit missions focused on the public procurement procedure and a comparison of building standards and costs relative to the A 73 and the D 1. In the years 2009 to 2011, the audits were performed by the German SAI and the Slovak SAI in their respective country in order to share their findings and make comparisons.

The parallel audits found that by awarding the public works contract concerning the D 1 to a general contractor, competition was restricted placing small and medium sized enterprises at a disadvantage.

The expenses on building the two motorways increased considerably owing to the general increase in construction costs, the hike in value added tax (VAT) and, above all, the inadequate preparatory works performed by the respective national road works administrations. The two administrations did not or not adequately invite tenders for required work and services, with the result that supplementary agreements had to be subsequently concluded. Since the costs stipulated in these agreements were fixed in an environment with reduced or even no competition the contractors were able to enforce higher prices.

PARALLEL AUDIT OF ROAD BORDER CHECK POINTS ON THE POLISH UKRANIAN BORDER

Report ID: 149

On July 2004, the SAIs of Poland and Ukraine signed a cooperation plan for years 2004-2005 that included the course of performed audits and the advancement of a parallel audit carried out on the Polish-Ukrainian border.

On the Polish – Ukranian border (around 530 km) there are six road border check points in Dorchusk (Yagodyn on the Ukranian side), Zosin ( Ustylug), Hrebenne (Rava-Rus”ka), Korczowa (Krakovets), Medyka (Shegin) and Kroscienko (Smi¨nytsya).

The SAIs of Poland and Ukraine carried out a parallel audit of road border check points on the Polish-Ukranian border on the basis of the audit programme developed by the Polish party. The Ukranian party adjusted the scope of the audit to the legal regulations and financial and organizational conditions of Ukraine.

The main objective of the audit was to assess the preparation of road border check points for appropriate border control. The audit covered the years 2000 – 2004( 1sta quarter). The two bodies conducted the audit with regard to the activities of competent institutions of the two countries in order to prepare road border check points for appropriate customs clearance.

Source: https://rp.gov.ua/upload-files/IntCooperation/IntAudits/31-07-2005%2009-00-00/Polish_Ukrainian_border.pdf

Estimating the efficiency of the state bodies activities on the border control check points between the Russian Federation, Belarus, Lithuania, and Poland for the control of the movement of goods and vehicles

Report ID: 116

In october 2008, the Accounts Chamber of the Russian Federation, the  Audit Office of Lithuania, the Committee of State Control of the Republic of Belarus and  the Supreme Chamber of Control of the Republic of Poland signed a Cooperation Agreement in order to conduct a parallel audit  on estimating the efficiency of the state bodies (services) activities on the border control check points between their respective countries in the course of the goods and vehicles movement within the period from September to October of 2008.

The Parties proceeded from the assumption that the parallel audit, performed in the frames of their national law will help carrying out the following tasks: to improve efficiency of the state authorities (services), which take charge of control over the movement of goods and vehicles on the border control check points between the Russian Federation, Republic of Belarus, Republic of Lithuania, and Republic of Poland, and to create conditions, which contribute to the optimization of cargo traffic.

Source: https://www.vkontrole.lt/en/docs/Memorandum_with_supplement_eng.pdf

AFROSAI-E and IDI Cooperative Audit on Extractive Industries

Report ID: 253

Under the framework of the IDI/AFROSAI-E Cooperative Audit Project on Extractive Industries,  a series of parallel performance audits on the topic of National Content in the oil and gas sector took place between 2014 and 2015 with the participation of the SAIs of Ghana, Kenya, Nigeria, South Africa, South Sudan, Tanzania and Uganda.

The original purpose of the project was to help SAIs identify risk areas in the Extractive Industries area and help them formulate an audit approach that they could execute. The ultimate goal was that each SAI should complete an audit on a topic related to public sector management of the extractive industries sector. 

The SAIs  conducted a performance audit to examine, among others, the benefits in terms of increased local employment and use of local suppliers that result from the oil and gas industry. The SAIs drew a distinction between local and national, because in some countries the governments were concerned with benefit accruing to nationals, whereas others had specific aims of seeing benefits accruing to local communities affected by the oil and gas industry. 

The report outlines the methods applied by the project, the results achieved and the experiences for future projects of this type.