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MINISTRY OF ECONOMY AND ENERGY PUBLIC PROCUREMENT AGENCY. THE ACCESSION PROCESS TO EU IN THE FIELD OF PUBLIC CONTRACTS IN THE RE PUBLIC OF BULGARIA. Monika Dimitrova “The New Public Procurement Procedures and Instruments” Ankara, Turkey – 5-6 February 2008. ACCESSION PROCESS. - PowerPoint PPT Presentation
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Monika Dimitrova“The New Public Procurement Procedures and Instruments”
Ankara, Turkey – 5-6 February 2008
MINISTRY OF ECONOMY AND ENERGYMINISTRY OF ECONOMY AND ENERGYPUBLIC PROCUREMENT AGENCYPUBLIC PROCUREMENT AGENCY
THE THE ACCESSION ACCESSION PROCESS TO EU IN THE PROCESS TO EU IN THE
FIELD OF PUBLIC FIELD OF PUBLIC CONTRACTS INCONTRACTS IN THE THE
REREPUBLIC PUBLIC OFOF BULGARIA BULGARIA
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ACCESSION PROCESS
1988 – Diplomatic relations with EC;1988 – Diplomatic relations with EC;1990 - Convention on TBE relations 1990 - Convention on TBE relations
signed (PHARE);signed (PHARE);1993 – 1995 – European agreement for 1993 – 1995 – European agreement for
Association;Association;1995 – Request for membership;1995 – Request for membership;2000 – 2004 – Accession negotiations;2000 – 2004 – Accession negotiations;2005 – Approval for accession by the EP;2005 – Approval for accession by the EP;25 April 2005 – EU Treaty 25 April 2005 – EU Treaty
of Accession endorsed of Accession endorsed and SIGNED.and SIGNED.
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EU REPORTS
1998 1998 1999 1999 2000 2000 2001 2001 2002 2002 2003 2003 2004 2004 2005 2005
Regular reports by the EC Regular reports by the EC to the to the Council on further progress Council on further progress
achieved achieved by Bulgariaby Bulgaria
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1998 EU REPORT – public procurement
““Bulgaria’s progress on the effective Bulgaria’s progress on the effective implementation of the public implementation of the public
procurement concept hasprocurement concept hasbeen limited. However, it has committed been limited. However, it has committed itself to becoming a contracting party to itself to becoming a contracting party to
the WTOthe WTOAgreement on Government Agreement on Government
ProcurementProcurement””..““The scale of progress still required The scale of progress still required
calls for considerablecalls for considerableand sustained efforts, both in and sustained efforts, both in
approximation of legislation and in the approximation of legislation and in the establishment ofestablishment of
structures to implement it, particularly structures to implement it, particularly as regards public procurementas regards public procurement….”
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1999 EU REPORT – public procurement
““Concerning Concerning public procurementpublic procurement, a new , a new law was adopted in August 1999 which law was adopted in August 1999 which
takes on thetakes on thebasic principles of the Community basic principles of the Community
acquisacquis..””..
““There is at present no central There is at present no central Public Public Procurement Procurement Office but…. Adequate Office but…. Adequate
structures need tostructures need tobe set up for the control of public be set up for the control of public
procurement procedure”procurement procedure”
““In many areas notably public In many areas notably public procurement,procurement,…….……., significant , significant efforts are now necessary in efforts are now necessary in
implementation and enforcement implementation and enforcement of lawsof laws””
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2000 EU REPORT – public procurement
““In the area of public procurement the In the area of public procurement the legislation is legislation is partiallypartially in line with the in line with the acquis acquis and aand a number of number of amendments amendments will be requiredwill be required, including clear rules , including clear rules
on legal remedies foron legal remedies for unsuccessful unsuccessful bidders. Substantial work is required in bidders. Substantial work is required in
order to ensure that legislation isorder to ensure that legislation isfully and properly applied by the public fully and properly applied by the public
authorities/utilities concerned authorities/utilities concerned throughout thethroughout the country. The country. The
administrative capacityadministrative capacity of the of the DirectorateDirectorate responsible for public responsible for public
procurement procurement needs to be strengthenedneeds to be strengthened in order to ensure effective in order to ensure effective
implementationimplementation.””..
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2002 EU REPORT – public procurement
““An An amendedamended public procurement act public procurement act is is in force but some further changes arein force but some further changes are
sstill required to ensure till required to ensure full full compatibility with the acquis compatibility with the acquis and a and a
public procurement agencypublic procurement agency still needs still needs to be established to to be established to ensure transparent ensure transparent
public procurement procedures atpublic procurement procedures at central and regional levelcentral and regional level.””..
““In the area of public procurement, a In the area of public procurement, a significant step forward was taken by significant step forward was taken by
amending theamending the Law on public Law on public procurement, with effect from May procurement, with effect from May
20022002””..
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2003 EU REPORT – public procurement
““In the field of public procurement, the In the field of public procurement, the situation is not yet satisfactory. The situation is not yet satisfactory. The
draftdraft legislation that has been prepared legislation that has been prepared still contains shortcomings that have to still contains shortcomings that have to
be dealt with inbe dealt with in order to attain full order to attain full alignment with the alignment with the acquis acquis A weak A weak administrative structure exists atadministrative structure exists at
central level in the area of policy and central level in the area of policy and law making, co-ordination and provision law making, co-ordination and provision ofof operational support, monitoring and operational support, monitoring and control. control. Further efforts are required to Further efforts are required to ensure fullensure full alignment on the alignment on the acquis acquis and and to establish an independent body with to establish an independent body with clearly defined status,clearly defined status, functions and functions and
qualified staff able to effectively apply qualified staff able to effectively apply the national procurement legislationthe national procurement legislation through monitoring, review and help through monitoring, review and help
desk activities.desk activities.””..
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2004 EU REPORT – public procurement
““In the field of public procurement, the In the field of public procurement, the adoption of a new adoption of a new Law on public Law on public
procurement inprocurement in March 2004March 2004 and its entry and its entry into force in October 2004 represent an into force in October 2004 represent an important step towardsimportant step towards alignment. alignment. ….. …..
Another important feature of the Law is the Another important feature of the Law is the introduction of changes in the appeal introduction of changes in the appeal
system,system, according to which a according to which a Court of Court of ArbitrationArbitration is established to streamline and is established to streamline and improve theimprove the processing of complaints. The processing of complaints. The
Law provides for the establishment of a Law provides for the establishment of a PublicPublic Procurement AgencyProcurement Agency under the under the
Ministry of Economy. Ministry of Economy. ….….The Agency The Agency is is responsible for carrying out overallresponsible for carrying out overall coordination in this sector and for coordination in this sector and for
implementing the public procurement implementing the public procurement system.system.””..
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BODY RESPONSIBLE FOR PUBLIC PROCUREMENT
1998 – 2004 1998 – 2004 DIRECTORATEDIRECTORATE WITHIN THE COUNCIL WITHIN THE COUNCIL
OF MINISTERSOF MINISTERS
2004 TILL PRESENT MOMENT2004 TILL PRESENT MOMENTPUBLIC PROCUREMNT AGENCYPUBLIC PROCUREMNT AGENCY
WITHIN THE MINISTRY OF ECONOMY WITHIN THE MINISTRY OF ECONOMY AND ENERGYAND ENERGY
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PUBLIC PROCUREMENT AGENCY
CHALLENGESCHALLENGES
LEGISLATION IN COMPLIANCE WITH LEGISLATION IN COMPLIANCE WITH THE THE
EUROPEAN IN THE FIELD OF PPEUROPEAN IN THE FIELD OF PP
STRENGTHENING OF THE STRENGTHENING OF THE ADMINISTRATIVE CAPACITYADMINISTRATIVE CAPACITY
PUBLICITY AND TRANSPARENCY IN PUBLICITY AND TRANSPARENCY IN ACTIONACTION
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ROLE AND FUNCTIONS OF THE PP AGENCYROLE AND FUNCTIONS OF THE PP AGENCY
Ankara, Turkey – 5-6 February 2008
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ROLE AND FUNCTIONS OF THE PP AGENCYROLE AND FUNCTIONS OF THE PP AGENCY
EXECUTIVE DIRECTOREXECUTIVE DIRECTOR
INFORMATION SECURITY OFFICERINFORMATION SECURITY OFFICER
SECRETARY GENERALSECRETARY GENERAL
““FEALA” DIRECTORATEFEALA” DIRECTORATE ““MAMPP” DIRECTORATEMAMPP” DIRECTORATE ““EDB” DIRECTORATEEDB” DIRECTORATE
““ML” UNITML” UNIT
““MS” UNITMS” UNIT
““CNCTS” UNITCNCTS” UNIT
““ISPPR” UNITISPPR” UNIT
STRUCTURE OF THE STRUCTURE OF THE PPAPPA
Ankara, Turkey – 5-6 February 2008
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ROLE AND FUNCTIONS OF THE PP AGENCYROLE AND FUNCTIONS OF THE PP AGENCY
Main powers of the Executive Director of Main powers of the Executive Director of the PPAthe PPA
Issue methodological Issue methodological guidelines on the guidelines on the application of PPLapplication of PPL Maintain a Public Procurement Maintain a Public Procurement RegisterRegister Elaborate drafts of the acts in the field Elaborate drafts of the acts in the field of public procurementsof public procurements Coordinate the activities relating to the Coordinate the activities relating to the training of all participants in the public training of all participants in the public procurement processprocurement process
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PUBLIC PROCUREMENT AGENCY
PAPERS AND EFFORTS SUPPORTING PAPERS AND EFFORTS SUPPORTING THE IMPROVEMENT OF THE PUBLIC THE IMPROVEMENT OF THE PUBLIC
PROCUREMNT SYSTEMPROCUREMNT SYSTEM
2004 - INSTITUTIONAL DEVELOPMENT PLAN /SIGMA/;2004 - INSTITUTIONAL DEVELOPMENT PLAN /SIGMA/;
2004 - TWINNING LIGHT PROJECT /PHARE/;2004 - TWINNING LIGHT PROJECT /PHARE/;
2005 - ACTION PLAN;2005 - ACTION PLAN;
2005 – 2007 - NATIONAL STATEGY;2005 – 2007 - NATIONAL STATEGY;
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NATIOANAL STRATEGYNATIOANAL STRATEGY
Adopted by the Council of Ministers on November 10, Adopted by the Council of Ministers on November 10, 2005.2005.
FOR DEVELOPMENT OF PUBLIC PROCUREMENT AND FOR DEVELOPMENT OF PUBLIC PROCUREMENT AND CONCESSIONS SECTORS CONCESSIONS SECTORS
FOR 2005-2007FOR 2005-2007
Put in line the Bulgarian legislation in the field of
public contracts in compliance with the
European
Strengthening and development of
the administrative capacity
Insurance of publicity, transparency, fair competition, equal
treatment, non-discrimination
NATIONAL STARTEGY
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PUBLIC PROCUREMENT LEGISLATION
LAWSLAWS1997 – LAW ON AWARD OF STATE 1997 – LAW ON AWARD OF STATE AND MUNICIPALITY PROCUREMNT;AND MUNICIPALITY PROCUREMNT;1999 – PUBLIC PROCUREMNT LAW;1999 – PUBLIC PROCUREMNT LAW;2004 – PUBLIC PROCUREMNT LAW;2004 – PUBLIC PROCUREMNT LAW;
AMENDMENTS OF LAWAMENDMENTS OF LAW
2002 – AMENDMENTS ON PUBLIC 2002 – AMENDMENTS ON PUBLIC PROCUREMNT LAW;PROCUREMNT LAW;2006 - AMENDMENTS ON PUBLIC 2006 - AMENDMENTS ON PUBLIC PROCUREMNT LAWPROCUREMNT LAW
Ankara, Turkey – 5-6 February 2008
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EUROPEAN LEGISLATION IN THE FIELD OF PUBLIC CONTRACTS
DirectiveDirective 20042004//1818/Е/ЕCC
DirectiveDirective 20042004/1/177/Е/ЕCC
Ankara, Turkey – 5-6 February 2008
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DirectiveDirective 89/665/Е89/665/ЕEECC DirectiveDirective 92/13/Е92/13/ЕECEC
Ankara, Turkey – 5-6 February 2008
DIRECIVES 89/665/ECC AND 92/13/ECC
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EUROPEAN LEGISLATION IN THE FIELD OF PUBLIC CONTRACTS
PRINCIPLES to be adopted
open, fair andopen, fair and transparent transparent manner manner of awardingof awarding equal treatment for all firms equal treatment for all firms improving the quality improving the quality lowering the pricelowering the price
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DIRECTIVES 2004/18/EC AND 2004/17/EC
Adoption and publishingAdoption and publishing
March, April March, April 20042004
Key words for the legislative Key words for the legislative packagepackage
Updating Updating SimplificationSimplification
FlexibilityFlexibility
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DIRECTIVES 89/665/EEC AND 93/12/EECDIRECTIVES 89/665/EEC AND 93/12/EEC
SCOPESCOPEPPublic contracts and worksublic contracts and works
cconcessions covered by the Public oncessions covered by the Public ProcuremenProcurement Directivest Directives
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DIRECTIVES 89/665/EEC AND 93/12/EECDIRECTIVES 89/665/EEC AND 93/12/EEC
OBJECTIVES to be adopted
increase the guarantees for transparency and nondiscrimination allowing effective and rapid action to be taken when there is an alleged breach of the Public Procurement Directives providing economic operators with the assurance that all tender applications will be treated equally
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STEP BY STEP TO THE HARMONIZATIONSTEP BY STEP TO THE HARMONIZATION
NATIONAL TEAM - WG2004 2005-2006
Ministry of EconomyCouncil of MinistersLegal advisersPublic procurement agency
Ministry of Economy and EnergyPublic procurement agency
Secondary legislation to be developed and acts for the Arbitration within the PPA
Legislation (primary and secondary) in the field of public contracts
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STEP BY STEP TO THE HARMONIZATIONSTEP BY STEP TO THE HARMONIZATION
HANDBOOK ON PUBLIC PROCUREMENT – ELABORATED MARCH 2005
/assist the participants in the procurement process/
try for interpretation of the PP legislation
step-by-step guidelines for organizing award procedures
templates of documents administrative documents
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STEP BY STEP TO THE HARMONIZATIONSTEP BY STEP TO THE HARMONIZATION
PEER REVIEWS
FIRST - EARLY 2005, a peer review realized by SIGMA, requested by the European Commission to conduct a
comprehensive assessment of the public procurement system in Bulgaria;
LAST ONE – FEBRUARY 2006 organized by the European commission with
participation of MS’s experts
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STEP BY STEP TO THE HARMONIZATIONSTEP BY STEP TO THE HARMONIZATION
MEETINGS WITH DG INTERNAL MARKET/EC
Advisory committee
Working groups within the EC
PPN
Bilateral meetings – Brussels - Sofia
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STEP BY STEP TO THE HARMONIZATIONSTEP BY STEP TO THE HARMONIZATION
MEETINGS WITH DG INTERNAL MARKET/EC/2004- 2006/
The most important tool for successful fulfillment of the requirements for
compliance of the national legislation with the Acquis communautaire
Bilateral meetings – Brussels - SofiaParticipants at the meetings:
representatives of PPA, CM, MEE, MF, MT, MSAAR, CPC, MFA, Mission of
Bulgarian, DEC, SFIA, BNAO and etc.
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LAW FOR AMENDMENTS OF THE PPLLAW FOR AMENDMENTS OF THE PPL
LAW FOR AMENDMENTS OF THE LAW FOR AMENDMENTS OF THE PUBLIC PROCUREMENT LAW PUBLIC PROCUREMENT LAW
(LAPPL)(LAPPL)
DIRECTIVES OF THE EUROPEAN DIRECTIVES OF THE EUROPEAN UNIONUNION
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LAW FOR AMENDMENTS OF THE PPLLAW FOR AMENDMENTS OF THE PPL
Objectives of the LawObjectives of the Law
Compliance of the Bulgarian Compliance of the Bulgarian legislation in the field of public legislation in the field of public contract with the Europeancontract with the European Passing of the public contracts to Passing of the public contracts to the so called “green zone” the so called “green zone” Avoiding the possibility of imposing Avoiding the possibility of imposing preventive clause, envisage in the preventive clause, envisage in the Pre-accession agreementPre-accession agreement
Ankara, Turkey – 5-6 February 2008
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SECONDARY LEGISLATION SECONDARY LEGISLATION
Rules for the implementation of Rules for the implementation of the Public procurement law the Public procurement law //RIPPLRIPPL//
Ordinance for awarding small Ordinance for awarding small public contracts public contracts //OASPCOASPC//
Ordinance for conditions and Ordinance for conditions and order for award of special public order for award of special public contracts contracts //OCOASPCOCOASPC/ /
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NEW STANDARD FORMSNEW STANDARD FORMS
What enforced the changesWhat enforced the changes
RegulationRegulation №1564/2005 №1564/2005 Reflection of the new changes in the Reflection of the new changes in the legislation frameworklegislation frameworkDocumentsDocuments NoticesNotices – – different types regarding different types regarding the value of the contract and the value of the contract and publication of the information publication of the information Other contracts, related to the Other contracts, related to the awarding of the public contractsawarding of the public contracts
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NEW LEGAL FRAMEWORK IN NEW LEGAL FRAMEWORK IN BULGARIABULGARIA
1 JULY 2006
SECONDARYSECONDARY
LEGISLATIONLEGISLATION
NEW STANDARDNEW STANDARD
FORMSFORMS
PUBLIC PROCUREMENT LAWPUBLIC PROCUREMENT LAW
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ROLE AND FUNCTIONS OF THE PP AGENCYROLE AND FUNCTIONS OF THE PP AGENCY
Powers of the Executive DirectorPowers of the Executive Director
In case of violation of the PPL In case of violation of the PPL alert the competent authoritiesalert the competent authorities reviewing before the CPC acts of the reviewing before the CPC acts of the contracting authorities/entities contracting authorities/entities violating Art. violating Art. 25, 25, ParPar. 5 . 5 file claims in court for declaring file claims in court for declaring public contracts ineffectivenesspublic contracts ineffectiveness
Collect and Collect and summarize the case law on summarize the case law on application of PPLapplication of PPL
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REVIEW OF AWARD PROCEDURESREVIEW OF AWARD PROCEDURES
New momentsNew moments
Acts of the contracting Acts of the contracting authorities/entities authorities/entities – – individual individual administrative acts administrative acts Competent authorities Competent authorities – – CPC and CPC and SACSAC
ConsequencesConsequences
Closure of the Arbitration court Closure of the Arbitration court within the PPAwithin the PPA
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REVIEW SYSTEM IN BULGARIAREVIEW SYSTEM IN BULGARIA
PPL- 2004 г. AMENDED PPL – 2006
What is subject to review
The decisions of the contracting authorities/entities stated in Art.120
Each decision, action or lack of action of the CA/CE
Who can be a party
Candidate in the procedure
Each interested person
Competent body
District courts
Regional courts
Arbitration court
CPC
SAC
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FIRST INSTANCEFIRST INSTANCECOMMISSION FOR PROTECTION OF COMPETITIONCOMMISSION FOR PROTECTION OF COMPETITION
SECOND INSTANCESECOND INSTANCE SUPRIME ADMINISTRATIVE COURTSUPRIME ADMINISTRATIVE COURT
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REVIEW SYSTEM IN BULGARIA
REVIEW BODIES IN THE FIELD REVIEW BODIES IN THE FIELD OF PUBLIC CONTRACTS OF PUBLIC CONTRACTS
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Purpose of amendmentsPurpose of amendments Achievement of rapidity and an efficiency of the review proceeding
AdvantagesAdvantages Possibility for setting aside an infringement in the public award procedure prior to the conclusion of the public contract
Ankara, Turkey – 5-6 February 2008
REVIEW SYSTEM IN BULGARIA
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CHANGESCHANGES
PROCEDURES BEFORE CPC The claim may be submitted by any person having or having had an interest to the conclusion of the public contract or the framework agreement The submission of the claim shall not suspend the contract award procedure Impose of the interim measures with decision Review of the decision before the SAC – 7 day period for proceeding Pass the decision – in two months after the claim
REVIEW OF THE DECISION - 14 day period before the SACAnkara, Turkey – 5-6 February 2008
REVIEW SYSTEM IN BULGARIA
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REVIEW STATISTICS OF THE CPC
PERIOD 1 JULY 2006 – 31 MARCH 2007PERIOD 1 JULY 2006 – 31 MARCH 2007
288 claims
196 proceedings(73 pending)
123 concluded with decision/ruling
41 terminated 82 considered at issue
17 inadmissibility
24 withdrawn claims
37 violations found
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CONTROL AUTORITIESCONTROL AUTORITIES
Public Public procurement procurement agencyagency
State State financial financial inspection inspection agencyagency
National National Audit officeAudit office
TRIPARTITE AGREEMENTTRIPARTITE AGREEMENT
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COOPERATION COOPERATION
WITH OTHER AUTHORITIES AND ORGANIZATIONSWITH OTHER AUTHORITIES AND ORGANIZATIONS
State gazetteState gazetteMedias Medias USAID – Open USAID – Open Initiative Initiative governmentgovernment
SIGMA and othersSIGMA and others..
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PPA ACTIVITIES PPA ACTIVITIES TO ASSIST ALL PARTICIPANTS IN TO ASSIST ALL PARTICIPANTS IN THE AWARDING PROCESSTHE AWARDING PROCESS
• Statements in writingsStatements in writings• Instructions at the PPA websiteInstructions at the PPA website
““HotHot” ” (telephone)(telephone) lineline
Public contracts Public contracts handbookhandbook
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PUBLICITY AND TRANSPARANCYPUBLICITY AND TRANSPARANCY
Public procurement registerPublic procurement register
Possibility for Possibility for on-lineon-line filling up of filling up of notices notices
Free of charge registration for Free of charge registration for extended search under the pattern extended search under the pattern chose by the user chose by the user
Free of charge subscription to Free of charge subscription to receiving of defined informationreceiving of defined information
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PUBLICITY AND TRANSPARANCYPUBLICITY AND TRANSPARANCY
E - NotificationE - Notification
E - TenderingE - Tendering
ЕЕ - awarding with the possibility for - awarding with the possibility for using using ЕЕ -- auction auction
E - management of the contract E - management of the contract –– E E-- OrderingOrdering, Е-, Е-InvoicingInvoicing
E-procurement – step ahead to the uniform European market
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PRACTICEPRACTICE
PUBLIC PROCUREMENT REISTER PUBLIC PROCUREMENT REISTER FOR FOR 20020066
8 8 763763 public contracts (procurement)public contracts (procurement)
6 6 500500 contractedcontracted
11 823 11 823 7751 78151 781 BGN without VATBGN without VAT
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PRACTICEPRACTICE
Awarding procedures depending on the legal act
42%
58%
PPLOASPC
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PRACTICEPRACTICE
Awarding procedures depending on Awarding procedures depending on the object of the public contractthe object of the public contract
1836
3820
32
2634 works
supplies
services
design contest
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PRACTICEPRACTICE
Types of procedures under the PPLTypes of procedures under the PPL
2331
57
510
786
2 16
0
500
1000
1500
2000
2500 Open
Restricted
Negotiated with priorpublication
Negotiated withoutpublication
Competative dialogue
design contest
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PRACTICEPRACTICE
Types of procedures under OASPCTypes of procedures under OASPC
3943
11
1064
28 15
0
500
1000
1500
2000
2500
3000
3500
4000Open contest
Public auction
Negotiated with callfor competition
Stock deal
design contest
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Ankara, Turkey – 5-6 February 2008
PRACTICEPRACTICE
Public contracts depending on the Public contracts depending on the contracting authority/entitycontracting authority/entity
21%
79%
UtilitiesClassic sector
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Ankara, Turkey – 5-6 February 2008
THE PPA WEB SITE
0 10000 20000 30000 40000 50000
January
March
May
July
September
November
Per month
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Ankara, Turkey – 5-6 February 2008
LESSONS LEARNED
Follow strictly the Follow strictly the recommendations of the EC;recommendations of the EC; Use the assistance of EU Use the assistance of EU instruments – PHARE, SIGMA, TAIEX, instruments – PHARE, SIGMA, TAIEX, etc.etc. Take into account the opinion of as Take into account the opinion of as much participants in the public much participants in the public contracts as you can;contracts as you can; Be prepared for rapid and concrete Be prepared for rapid and concrete actions;actions; Make a good and professional team;Make a good and professional team; Convince the government of the Convince the government of the great importance of the issues in the great importance of the issues in the field of PC;field of PC;Etc.Etc.
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THANK YOU FOR YOUR THANK YOU FOR YOUR ATTENTION!ATTENTION!