For electricity and gas, Italian public administrations are required to obtain supplies through contracts or framework agreements awarded by Consip and regional purchasing centres; purchasing independently is subject to obtaining more advantageous conditions. This paper analyses the relationship between the procurement method adopted by Italian municipalities for energy expenditures and the costs incurred for these supplies.
Using a unique dataset including payments made by Italian municipalities between 2019 and 2022, recorded on the Siope+ platform, we find that centralized purchasing is associated with savings compared with direct procurement. Our analysis confirms the effectiveness of procurement centralization in the case of municipal energy expenses and highlights the potential areas for cost reduction through greater commitment to such arrangements.
