Quarterly Journal of Governance Knowledge

Quarterly Journal of Governance Knowledge

An analysis of the imperatives to enhance Public Procurement for Innovation (PPI) to support knowledge-based companies in the water and power industry of Iran

Document Type : Original Article

Authors
Kiarash Fartash 1
MOhamad sadegh Khayatyan 2
1 Faculty Member, Institute for Science and Technology Studies, Shahid Beheshti University, Tehran, Iran.
2 Institue for Science and Technology Studies, Shahid Beheshti University, Tehran, Iran.
10.22034/jokog.2024.201820
Abstract
Despite the high importance of public procurement for innovation (PPI) in developed countries, this policy tool has received less attention from policymakers and researchers in Iran. The significance of public procurement policies has made it one of the industrial development policies in some countries. On the other hand, the critical role of small and medium enterprises (SMEs) and knowledge-based companies in technology development and national economic development has been emphasized in many developing countries, including Iran. In this regard, the purpose of this article is to review the public procurement process with an emphasis on PPI and support domestic SMEs. To this end, related laws and policies to support public procurement in the country and several countries with comparable conditions to Iran (Brazil, Turkey, South Korea, and India) have been reviewed. Based on the findings, consideration has been adjusted to policies to support the supply of innovation in the country's public procurement to an acceptable level. However, there are various challenges and issues in its implementation. Nevertheless, what is seen in the country's public procurement system, especially in the PPI, is the weakness in implementing and enforcement of policies to stimulate the demand side of innovation. Therefore, ten policy suggestions and solutions resulting from policy analysis and interviews with domestic stakeholders, as well as an international comparative study, have been provided. These are all for further support and create a role for SMEs and domestic knowledge-based companies in public procurement and foster technology development and innovation of these companies through public procurement.
Keywords
Public Procurement for Innovation (PPI)
Innovation Policy
Water and Power Industry
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Quarterly Journal of Governance Knowledge
Volume 2, Issue 2
Spring 2024
Pages 60-97