Authors

Piotr Majda¹;  ¹ UCL SSEES, UK

Discussion

This study investigates the pervasive influence of informal governance mechanisms on the public procurement system in Russian regions, focusing on the application of a process-tracing methodology and social network analysis (SNA). Through an analysis of over 41 thousand procurement contracts signed between 2016 and 2020 in one of the Ural regions, I reveal a concerning pattern of abnormal contract accumulation, particularly within the energy sector, linked to politically connected conglomerate. Preliminary findings underscore a systemic lack of competition, with approximately 30% of tenders awarded through single-sourcing procedures, favouring state-connected enterprises. Leveraging SNA, I identify a tightly interconnected network of actors, with notable concentrations of power around influential businessmen and state entities, leading to monopolistic tendencies and rent-seeking behaviours. Importantly, this study highlights the pervasive influence of these informal networks on regional procurement processes, calling for interventions to disrupt these networks and strengthen institutional transparency and accountability.