ESM Skopje faces audit for major procurement irregularities

The State Audit Office has identified significant irregularities in the planning, implementation, and execution of public procurement at ESM Skopje. An audit of 27 procurement procedures revealed that many contracts did not comply with legal regulations, transparency standards, or financial planning requirements.

Key findings include the payment of €2.29 million for an additive that remained unused and expired, and €2.48 million for a gas engine purchased through a non-public negotiation process under alleged extreme urgency; the engine remained uninstalled due to a lack of basic infrastructure. Additionally, €1.72 million was paid for equipment relocation services that were never utilized.

The audit noted that over 70 percent of the total value of contracts in 2024 went to only six economic operators, and many procedures received only a single bid. Auditors also found instances of technical specifications being tailored to favor specific brands and the bypassing of legal thresholds for procurement without proper procedures.

Reports indicate that ESM Director Vasko Kovachevski is under investigation following these findings, with allegations suggesting he may have facilitated lucrative contracts for specific interest groups.