PRIMES [2] Legal & Policy Framework of GPP Presented by (Insert own logo)

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

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 policies International 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:

Procurement policies EU 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 ]  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:

Procurement policies EU 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 legislation Applicability 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 legislation EU 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 EU member states have 2 years to transpose them in national legislation (except for e-procurement, where the deadline is September 2018).

Procurement legislation Directives 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 EUR for certain public service contracts for social and other specific services [In force since 1 st January 2014 (regulation 1336/2013)]

Procurement legislation 2014 EU Directives: main changes (general)  Increased simplicity and flexibility E.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 SMEs E.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 corruption E.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 legislation 2014 EU Directives: main changes (green)  E-procurement to become standard  Use of MEAT strengthened Public authorities able to base their decision on the best life cycle cost of the goods offered. The CO 2 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 legislation 2014 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 legislation Sector 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 © Image courtesy of FreeDigitalPhotos.net

Public procurement procedures Open procedure In an open procedure, any interested economic operator may submit a tender. Restricted procedure In the case of restricted procedures, any economic operator may request to participate and only candidates invited to do so may submit a tender. Negotiated procedure In a negotiated procedure, the contracting authority consults the economic operators of its choice and negotiates the terms of the contract with them. Competitive dialogue A 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:

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 Resources EU 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: