The FBRK editorial team continues its series of articles analysing the largest government procurements of 2024 in the regions of Kazakhstan.
Today, our focus is on Akmola Region, where the most expensive contracts were in sports, infrastructure and healthcare. Let's look at each of them in detail.
FOOTBALL INVESTMENTS: 1.35 BILLION TENGE
In March 2024, the Department of Physical Culture and Sports of Akmola Region signed a major contract with FC Okzhetpes worth 1.2 billion tenge. The funds were allocated for the preparation and participation of the teams in the Kazakhstan Football Championship. The funding was distributed between the women's team (77.4 million tenge) and the First League team (1.12 billion tenge).
Notably, in November 2024, an additional procurement of services for the First League team followed, amounting to 150 million tenge. Both deals were concluded on a 'single source' basis without a tender, justified by Okzhetpes' status as the only professional football club in the region. This practice is standard when financing regional clubs.
The contracts provide for comprehensive club support: from team selection and training process support to payment of entry fees and travel expenses. Specific sporting targets were set for the teams — no lower than sixth place in their respective leagues by the end of the season.
It is worth noting that the investment in the football club yielded tangible results. In 2024, Okzhetpes from Kokshetau played in the First League of Kazakhstan and achieved significant success, finishing first in the league table. The team played 28 matches, winning 20, drawing 3 and losing 5. Their goal difference was 61 goals scored and 16 conceded, earning Okzhetpes 63 points. This result secured the club's promotion to the Kazakhstan Premier League for the 2025 season.
Okzhetpes also took part in the 2024 Kazakhstan Cup, but the team was eliminated from the tournament at the Round of 16 stage, losing to Astana in a penalty shootout 8-9. Nevertheless, 2024 was a successful year for Okzhetpes, marked by their return to the top flight of Kazakh football.
Interesting detail: the customer and supplier are effectively interconnected. FC Okzhetpes is a state enterprise under the very same Department of Physical Culture and Sports that acts as the customer for the services. This is a standard funding scheme for regional sports teams.
ELECTRICITY SUPPLY FOR A NEIGHBOURHOOD: OVER 1 BILLION TENGE
In May 2024, the Construction Department of Kokshetau City purchased an electricity supply network and a transformer substation from Sinegor-Grain LLP for the Saryarka neighbourhood. The transaction amount exceeded 1 billion tenge. The project aimed to provide electricity to key social facilities: a public service centre, polyclinics, a kindergarten for 280 children, a school for 1,200 students, and a regional hospital.
The project's technical specifications are impressive: at least 20 km of cable lines, power lines with a capacity of at least 10 kV, and a dual-transformer substation 10/0.4 kV. The equipment was manufactured by the Kazakh company Tekhpromresurs in 2023. Notably, the delivery period was just 21 calendar days with a one-year warranty.
However, the documentation does not contain information on the competitiveness of the supplier selection procedure or justification of the project cost, making it difficult to assess the efficiency of budget expenditure.
SANITARY AND EPIDEMIOLOGICAL SERVICES: 938.3 MILLION TENGE
The Department of Sanitary and Epidemiological Control of Akmola Region signed two major contracts with the RSE 'National Centre of Expertise' for the provision of comprehensive sanitary and epidemiological services in 2024.
The first contract, from February 2024, worth 1.07 billion tenge, was later reduced by almost 30% — to 752.6 million tenge. The agreement included laboratory research, disinfection and pest control until the end of the year and was financed under the 'Public Health Protection' programme.
In September 2024, the department concluded a second contract with the same supplier for 185.7 million tenge. The funds were allocated for conducting laboratory measurements and focal disinfection in areas of natural foci (of diseases).
Both contracts were concluded using the simplified 'single source' procedure. The chosen procurement method was justified by the need to ensure the continuity of the sanitary and epidemiological service's work in the region.
The significant reduction in the amount of the first contract likely indicates optimisation of budget expenditure and adjustment of the scope of required services during the year. In both cases, the supplier was obliged to use only certified agents and equipment permitted in the Republic of Kazakhstan and the Customs Union countries.
CONCLUSIONS
Analysis of the largest government procurements in Akmola Region shows the prevalence of the 'single source' procurement method. This method is justified by the need to ensure process continuity, as in the case of sanitary and epidemiological services, or by the special status of the supplier, as in the situation with the region's only professional football club.
The funding for FC Okzhetpes is in line with the generally accepted practice of supporting regional sports teams. In this case, the budget investment proved justified — the team not only met the minimum target (no lower than sixth place) but also achieved the maximum result, finishing first in the First League and securing a place in the Premier League for the following season.
Also noteworthy is the significant reduction in the amount of the contract for sanitary and epidemiological services — by almost a third of the originally planned amount, which may indicate an adjustment of budget priorities during the year.
Recall that we previously wrote about the largest government procurements in Almaty. You can read more about the capital's most expensive contracts via this link.
The editorial team will continue to monitor the situation in the field of government procurement and will present an analysis of other regions of the country in future articles.
To be continued...