OVERPRICING IN FUEL PROCUREMENT IN MINAS GERAIS MUNICIPALITIES: a comparative analysis for 2021.
bidding, price, costs, public and private.
The purpose of this work is to systematically analyze, through economic theory, the reasons for variations in prices in the acquisition of fuel in the public and private sectors of Minas Gerais City Halls. Government purchases are preceded by bidding, a legal and formal procedure with rules described in a Notice to be followed by companies interested in supplying goods and providing services to the public administration. Compliance with these rules requires costs that are not perceived in the private market and would impact price formation. The costs that bidding companies have in terms of qualification, preparation of proposals and execution of the contract can, in a certain way, influence the construction of the price paid by the public entity, as they would be operational costs that are not part of transactions between private individuals. The amounts paid by the public entity are sometimes compared with the market price, but this may be different. Understand the dynamics of the cost structures that bidding companies experience to be successful in the bidding. Understanding the peculiarities that exist in operating in the public market can justify the differences in prices charged. The average market price reported by the National Petroleum, Natural Gas and Biofuel Agency (Anp) were compared with those practiced in 31 municipalities in Minas Gerais. Compliance has been verified for some municipalities, which suggests that the costs of these bidding companies can be met by payments at market prices. However, the opposite also occurs, in these cases, their variations above the market are broken down and the factors that contribute to this occurrence are discussed.