What’s new in the area of public procurement | KPMG | BG

New developments in public procurement

New developments in public procurement

See what is changing following the entry in force of the new Public Procurement Act.

See what is changing following the entry in force of the new Public Procurement Act.

The bidding and award of public contracts is now easier and clearer following the entry in force of the new Public Procurement Act in April of this year.

The Act takes into account the challenges the tenderers have had and the best practice gained over the past almost 12 years since the first transposition of European Union provisions for public procurement in Bulgaria. It sets out a
framework which is complemented by Implementing Regulations with more details about certain technical aspects.

In parallel with the adoption of the new Act, there are also changes in the fees collected in appeal procedures in relation to public procurement. Flat rates fees apply which are now significantly lower unlike the previous tariff.    

Here is a summary of the some of the new elements in the Act:

  • E-procurement will be introduced in stages: electronic exchange of information and bidding as of July 2017 until the complete e-management of contracts, including payments, by 2020. 
  • The “Innovation Partnership” procedure is introduced. It will be applied when the contracting authority needs to obtain an innovative product, service or works and these needs cannot be met through the solutions available in the market. In such cases, the contracting authority will negotiate with one or more partners who will carry out the respective research and development activities. 
  • Other important aspects of the Act include changes in the thresholds for procedures to be held under the Act, shorter time-limits for collection of bids, optimization of the content and purpose of the buyer profile, reduction in the number of documents submitted by bidders, incl. self-declaration, a new approach to dividing tenders into lots and reserving procurement for economic entities which hire persons with disabilities or at a disadvantage, as well as options for a more flexible performance of public procurement contracts. 

KPMG’s professionals in Bulgaria provide complex and specific advisory services in the area of public procurement and the overall chain supply process and can assist you in finding optimal solutions, risk management and compliance with regulatory requirements.

For more information about our services check out our Procurement Advisory page. 

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