The talk about electronic land tenders in Ukraine began in the summer of 2018. Then it was proposed to hold such auctions through ProZorro.Sale.

This solution has many advantages:

Transparency of bidding – a business card of ProZorro and ProZorro.Sale.
Lack of bureaucracy – the process takes place online, the system of electronic documents is used.
No need for personal presence at the auction – you can participate there from any point.
A large number of participants – an opportunity to attract both new users and old followers of ProZorro.
Replenishing the state treasury – an active competitive environment will contribute to obtaining the most favorable price for plots of land.

Accordingly, the concentration of bidding in one place will help to eliminate the factor of fragmentation and negate the territorial restrictions. Regulation of the procedure for conducting land sales takes place in accordance with the Land Code.
The first land tenders in Ukraine took place on October 18 – the lease rights for 10 agricultural plots were sold. There were from two to six interested people on each plot. As a result, the average rent per year is four times bigger than the starting rate.
The most expensive lot was a plot of 18 hectares in the Kirovograd region.
According to the results of these trades, the state treasury will annually receive more than UAH 600 thousand. Therefore, even according to the first results, one can pay attention to the positive financial effect on local budgets – the rates on electronic auctions significantly exceed those that can usually be seen on offline ones.

Participation in land tenders

The first experience of conducting land sales in the online format immediately demonstrates the prospects of this scheme. While the project is in the pilot stage, it is possible to adjust the system, review and correct all the technical nuances and prepare for the final and complete transition to electronic land auctions.

The state owns about 10 million hectares of land. 4 million hectares are on lease, another 2 million hectares are not used and not transferred to the property. However, these plots are farmed, and people engaged in this often broke auctions in the past. An electronic bidding scheme will help avoid such scenarios.
The classic method of participation in land auctions – registration on one of the ProZorro e-procurement platforms (SmartTender.biz is a pretty good variant) and the choice of the plot of interest. Participants pay a registration fee and enter the auction on a specific day. The winner is determined by the only criterion – the highest price offered. At the end of the auction, the parties sign a lease agreement.