The Company has built an efficient procurement system based on the principles of information openness, transparency, equality, and development of fair competition.

In 2023, procurement activities in KEGOC JSC were carried out in accordance with the Procedure for procurement by Samruk-Kazyna JSC and organizations, fifty or more percent of voting shares (participatory interests) of which are directly or indirectly owned by Samruk-Kazyna JSC on the right of ownership or trust management, approved by the Board of Directors of Samruk-Kazyna JSC.

The priorities of procurement activities are:

• purchase of goods from organizations of disabled persons included in the Register of Disabled Persons’, Organizations of the Group of companies of Samruk-Kazyna JSC (individuals with disabilities engaged in entrepreneurial activities) producing the purchased goods;
• purchase of goods from producers of the goods to be purchased, which are included in the Register of producers of the Group of companies of Samruk-Kazyna JSC;
• procurement among qualified potential suppliers.

In procurement, the model of pre-qualification of potential suppliers is applied, i.e. the process of evaluation of potential suppliers for compliance with the qualification requirements defined in accordance with the above-mentioned procedure, carried out through questionnaires and audits.

During pre-qualification, potential suppliers are evaluated according to the following criteria:

• legal component;
• organization of the potential suppliers contractual work;
• resources of a potential supplier;
• ensuring the quality of goods, works, and services;
• project and risk management; occupational health and safety;
• environmental protection, etc.

KEGOC JSC also took measures provided for by the procedure for supporting producers of goods purchased during procurements.

Potential suppliers may not participate in procurements conducted by the Company if:

• the potential supplier or its subcontractor (co-executor), or a consortium member is included in the register of unscrupulous participants of public procurement and (or) in the register of unscrupulous participants of procurement, and (or) in the list of unreliable potential suppliers (vendors) of Samruk-Kazyna JSC, and (or) in the list of debtors, in respect of which a court decision to declare them bankrupt has entered into legal force;
• the potential supplier and (or) the subcontractor (co-exe­cutor) engaged by it, and (or) their manager, and (or) founders (shareholders) are included in the list of organizations and persons connected with financing of terrorism and extremism, or in the list of organizations and persons connected with mass destruction proliferation, financing of weapons of mass destruction, in the order established by the Law of the Republic of Kazakhstan ‘On counteraction to lega­lization (laundering) of proceeds of crime and financing of terrorism’;
• the potential supplier and (or) the subcontractor (co-­executor) engaged by it, and (or) their founders (shareholders) are legal entities, whose place of registration is a state or territory included in the list of states with preferential taxation approved by the authorized state body in charge of ensuring the receipt of taxes and other obligatory payments to the budget.

In this regard, when conducting procurement procedures, potential suppliers are checked for the presence or absence of restrictions established by the Procedure.

Consideration of appeals/complaints of potential suppliers against actions (inaction) of the procurement organizer, tender commission, or expert procurement commission is also conducted. Based on the results of the review, decisions are made on confirmation/non-confirmation of the arguments set out in appeals/complaints.

For the convenience of interaction with suppliers, procurement procedures are conducted through the electronic procurement portal of Samruk-Kazyna JSC (www.zakup.sk.kz), which ensures attraction of a larger number of suppliers of goods, works and services and a competitive environment that promotes the efficiency of procurement activities.

The current Annual Plan of Procurement of Goods, Works and Services and Long-term Plan of Procurement of Goods, Works and Services of KEGOC JSC are published on the procurement portal of Samruk-Kazyna JSC (www.zakup.sk.kz), as well as on the website (www.kegoc.kz) in the section ‘Procurement’.

In 2023, KEGOC JSC share of in-country value in procurement of goods, works and services was 67%, including 70% for goods (excluding electricity from near abroad) and 65% for procurement of works and services. In Energoinform JSC, the share of in-country value was 21.52% for goods and 97.3% for works and services.