Bid-rigging and collusion in climate projects Where the biggest losses happen (and why) Procurement and construction are the two stages with the most significant value at risk. In many countries, between 13% and 20% of the GDP is allocated through public procurement. Estimates suggest 10–25% of contract value is lost to corruption in some settings. These losses result in thinner concrete, undersized culverts, and shorter-lived assets (World Bank; UNODC-cited figures). Bid-rigging & collusion: A narrow circle of firms takes turns “winning,” chilling competition. Tailored specs: Requirements subtly exclude honest competitors (brand-name materials, unrealistic timelines, unnecessary certifications). Change-order abuse: Lowball to win; profit on variations. Front companies: Real owners hide; sanctions lists fail to bite. Supervision capture: The same insiders sign off on their own work. Evidence from open contracting reforms indicates that publishing end-to-end data, ...
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