Public Procurement Service (PPS) visits BBG in Vienna

On April 8–9, 2025, BBG welcomed a delegation from the South Korean Public Procurement Service (PPS) to Vienna. The focus of the visit was on high-level exchange and strategic discussions on the future of public procurement – with an emphasis on innovation, sustainability, and digitalisation.

A particular highlight was the comparison between the two countries’ E-Procurement systems – Austria’s BBG e-shop and South Korea’s KONEPS, one of the largest digital procurement platforms in the world. BBG aims to learn from this successful model and has organised a targeted knowledge exchange with South Korea.

Day 1: Connecting and Strategic Dialogue

The first day centred on connecting our organisations and began with an official welcome by BBG Managing Director Martin Ledolter and a bilateral meeting with the head of the South Korean procurement authority, Administrator Kikeun Lim.

Strategic discussions followed at the working level, with participation from IÖB and naBe representatives. Prior to this, each organisation was introduced in detail. Key topics included strategic approaches to promoting innovative and sustainable public procurement.

PPS Key Figures (2023):

  • Goods & Services: KRW 37 trillion (est. EUR 23 billion)
  • Construction & Infrastructure: KRW 14 trillion (est. EUR 9 billion)

A special focus was placed on innovation and innovation promotion. PPS actively positions itself as a first buyer of innovative solutions. Two forward-thinking approaches were presented:

  • International partners can have their suppliers' innovative products tested by Korean contracting authorities.
  • Conversely, PPS provides tested Korean innovations to international public authorities for pilot testing.
  • Strategic needs assessments and pilot purchases can be directly funded through the PPS budget.
  • Export promotion is supported via international pilot and demonstration projects, possibly linked to Official Development Assistance (ODA).
  • Support for SMEs through targeted demand for innovative, high-quality solutions.

Sustainability is another key pillar of PPS. The KONEPS platform lists more than 11,000 eco-labelled products. Green Public Procurement (GPP) has proven highly effective as in 2017 alone, GPP contributed to saving 665,000 tonnes of CO₂ equivalents and the creation of over 4,415 green jobs. It is actively used as a catalyst for transitioning to a climate-friendly, resource-efficient economyA key feature of the KONEPS Shopping Mall is its integration with a certification system overseen by the Ministry of Environment, with product data continuously updated in a database connected to KONEPS.

Day 2: Digital Procurement in Practice

Day two focused on the demonstration of KONEPS. PPS presented the platform’s impressive functionality and scale as an end-to-end system that covers the entire procurement process.

KONEPS Key Figures:

  • 69,000 public institutions and 572,000 suppliers as active users
  • More than 11,000 green-certified products in the KONEPS Shopping Mall with a purchase in 2023 of KRW 60.2 billion (est. EUR 41 million)
  • Integration with 227 government systems, including:
    • Inno-KONEPS – a central platform for innovation procurement
      • 2,280 registered innovations
      • KRW 2.7 trillion (approx. EUR 1.9 billion) in cumulative pilot purchase volume
    • Venture Mall for start-ups
      • 26,618 registered products
      • KRW 702 billion (approx. EUR 433 million) in total sales
  • A particularly impressive aspect: Although the legal payment term is 5–7 days, in practice, payments are made within just 4 hours after delivery.

The visit concluded with discussions on potential areas for future cooperation. BBG showed strong interest in PPS's model of innovation support through pilot projects and of course KONEPS. Both sides are willing to explore opportunities for further joint initiatives. 

In the afternoon, the delegation departed, leaving behind valuable insights and inspiration for BBG, naBe, and IÖB.

We sincerely thank the PPS delegation for the open and constructive exchange in Vienna and we look forward to continuing this promising dialogue and the connecting of our two organisations. 

For more detailed information regarding Korea’s Green Public Procurement (GPP) system, the following article by the Open Contracting Partnership may be of interest: https://www.open-contracting.org/2024/09/25/how-south-korea-enables-its-green-transition-through-green-public-procurement/

 

Picture of the group
Mr. Hong, Jeongki Director System Development, Team of Next Generation KONEPS Office (PPS), Mr. Kang, Minki Assistant Director International Cooperation Division (PPS), Mr. Wie, Seungbok Procurement Attaché and First Secretary (Embassy of the Republic of Korea in the UK), Mr. Martin Ledolter Managing Director BBG, Mr. LIM, Kikeun Administrator Head of Public Procurement Service, Ms. Kim, Hyekyeong Director for International Cooperation (PPS), Mr. Shin, Bongki Deputy Director for International Cooperation (PPS), Ms. Shin, Jihee Interpreter Officer, Assistant International Cooperation Division (PPS)