PRIMES[2] Legal & Policy Framework of GPP

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Overview

1) Principles of public

procurement

2) Procurement policy

3) Procurement legislation

4) Relevant case law

5) Public procurement procedures

6) GPP resources & links

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Principles of public procurement

Non-discrimination (equal access to contract)

Equal treatment (e.g. same deadlines for all)

Transparency (no favouritism nor arbitrariness)

Proportionality (measures appropriate to objectives)

Link to subject matter (tender criteria linked to subject

matter)

Overview

1) Principles of public procurement

2) Procurement policy

3) Procurement legislation

4) Relevant case law

5) Public procurement procedures

6) GPP resources & links

© Image courtesy of FreeDigitalPhotos.net

Procurement policiesInternational rules

The EU is bound by the conditions of the General

Procurement

agreement (GPA) of the World Trade Organisation (WTO) on

fair international competition for public contracts. The GPA

has 39 members including the 27 EU countries. The

agreement bans discrimination in the awarding of public

contracts and lays down procedural rules.

Source: Buy Smart + online: http://www.buy-smart.info/media/file/843.BuySmart_General.pdf

Procurement policiesEU policies for GPP

2008 political target: 50 % of tendering procedures to be “green”

by 2010

Monitoring in 2012: 50 % target not reached

Development of GPP criteria: for 21 priority products / services in

cooperation with Member States and stakeholders [as of 4.2014]

Supporting tool: “Buying green! Handbook” including– Implementation of GPP

– Procurement process

– Life Cycle Cost (LCC) approach

– Key sectors: buildings, food products, electricity, timber

Source: Buy Smart + online: http://www.buy-smart.info/media/file/843.BuySmart_General.pdf

Procurement policiesEU policies for GPP

Source: 2012, CEPS, The uptake of green public procurement in the EU 27

Procurement policies[Your country]

[Please list here any GPP relevant policies such as

National Action Plans (NAPs) on GPP at the national or

sub-national level in your country]

Overview

1) Principles of public procurement

2) Procurement policy

3) Procurement legislation

4) Relevant case law

5) Public procurement procedures

6) GPP resources & links

© Image courtesy of FreeDigitalPhotos.net

Procurement legislationApplicability

Public procurement is governed by EU Directives,

regulations and national legislation.

For smaller contracts under certain thresholds there is

more flexibility in the awarding of these contracts

which are subject only to national rules and EU

principles.

Procurement legislationEU Directives

Directive 2014/24/EU (replacing directive

2004/18/EC)

Directive 2014/25/EU (replacing directive

2004/17/EC)

They come into force on 17 April 2014. EU member

states have 2 years to transpose them in national

legislation (except for e-procurement, where the

deadline is September 2018).

Procurement legislationDirectives apply to =/> thresholds for:

Works contracts, subsidised works contracts and works

concession contracts:

5,186,000 EUR

Product supply and services:

130,000 EUR (central government authorities)

207,000 EUR (decentralised public authorities and

entities)

414,000 EUR (utility – e.g. for energy, transport -

sectors.

750 000 EUR for certain public service contracts for social

and other specific services[In force since 1st January 2014 (regulation 1336/2013)]

Procurement legislation2014 EU Directives: main changes (general)

Increased simplicity and flexibilityE.g.: Only the winning company needs to submit all proof for qualifying. A self-declaration that it fulfils these conditions is sufficient to participate.

More support for European SMEsE.g.: The turnover required to participate in public procurement will be limited to a maximum of double the estimated contract value.

Stronger measures against conflicts of interest, favoritism and corruptionE.g.: Public purchasers must reject any abnormally low bids because of violation of EU or international social, environmental and labour laws.

New procedure: Innovation Partnership

Procurement legislation2014 EU Directives: main changes (green)

E-procurement to become standard

Use of MEAT strengthenedPublic authorities able to base their decision on the best life cycle cost of the goods offered. The CO2 footprint of products could be decisive.

Compliance with applicable environmental obligations stemming from EU, international and national law – non-compliance can lead to exclusion from tender procedure.

Procurement legislation2014 EU Directives: main changes (green)

Labels: under certain conditions public purchasers can

refer to a specific label or eco-label when laying down the

environmental characteristics of the works, goods or

services they wish to purchase.

Production process: Public purchasers can consider

all factors of the production process, provision or trading,

even where such factors do not form part of the material

substance of the product.

Procurement legislationSector specific EU legislation

Energy End-Use Efficiency and Energy Services

Directive (2006/32/EC)

Energy Star Regulation (N° 106/2008)

Clean Vehicles Directive (2009/33/EC)

EcoDesign Directive (2009/125/EC)

Energy Labelling Directive (2010/30/EC)

Energy Performance of Buildings Directive

(2010/31/EC)

Energy Efficiency Directive (2012/27/EC)

Procurement legislation[Your country]

[Please list here any procurement/GPP relevant

legislation at the national (e.g. implementation of 2014

Directives) or sub-national level in your country]

Overview

1) Principles of public procurement

2) Procurement policy

3) Procurement legislation

4) Relevant case law

5) Public procurement procedures

6) GPP resources & links

© Image courtesy of FreeDigitalPhotos.net

Concordia Bus (2002)- Concordia Bus vs. Helsinki- Emissions and noise levels as award criteria- ECJ: “most economic offer” not only criteria

Wienstrom Case (2003)- Carinthia vs. EVN AG & Wienstrom- Weighting: 45% green electricity and 55% price- ECJ: first time “green” production method recognised

”Dutch Coffee Case” (2012)- EC vs. Prov. Nord-Holland- Use of technical specifications, selection and award

criteria linked to the environmental and social characteristics

- ECJ: award criteria may concern fair trade production characteristics

Relevant case law

Overview

1) Principles of public procurement

2) Procurement policy

3) Procurement legislation

4) Relevant case law

5) Public procurement

procedures

6) GPP resources & links

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Public procurement procedures

Open procedureIn an open procedure, any interested economic operator may submit a

tender.

Restricted procedureIn the case of restricted procedures, any economic operator may request to participate and only candidates invited to do so may submit a tender.

Negotiated procedureIn a negotiated procedure, the contracting authority consults the economic operators of its choice and negotiates the terms of the contract with them.

Competitive dialogueA contracting authority may make use of the competitive dialogue for complex contracts if it is not able to define by itself the technical solutions to satisfy its needs or is not able to specify the legal and/or financial make-up of a project. Large infrastructure projects would seem to lend themselves to this type of dialogue.Source: Buy Smart + online:

http://www.buy-smart.info/media/file/843.BuySmart_General.pdf

Framework Agreements (FA)

Agreements between one or more contracting authorities

and one or more economic operators

FA regard in particular the price and, where appropriate,

the quantity envisaged.

Maximum term of FA is four years (to be extended

exceptionally)

Participating public authorities and economic operators

must be clearly identified

Overview

1) Principles of public procurement

2) Procurement policy

3) Procurement legislation

4) Relevant case law

5) Public procurement procedures

6) GPP resources & links

© Image courtesy of FreeDigitalPhotos.net

GPP ResourcesEU level

GPP criteria for > 20 product and service groups

Helpdesk to disseminate information and answer

inquiries

Monitoring on GPP implementation status in EU

Other Information on practical and policy aspects

EU GPP website: http://

ec.europa.eu/environment/gpp/index_en.htm