Public procurement made easier

European Union procedures governing the award of contracts via public procurement are to be simplified. They are also to be made more accessible, through reforms encouraging governments to use the internet to advertise projects.

The European Commission has proposed a package of amendments to its public procurement directives that already insist on competitive tendering for public contracts and equal treatment for all tenderers. These regulations also say procurement dealing should be conducted clearly and transparently, but Brussels has now acknowledged that its own laws leave a lot to be desired regarding simplicity. As a result, it is proposing that:

l The three old Directives, covering supplies, services and works, are to be consolidated in a single user-friendly text set out to reflect the normal order of an award procedure that will guide users through all the stages of the process.

l For complex contracts, the new arrangements would allow talks between awarding authorities and tenderers to determine contract conditions.

l Public-sector buyers would be able to specify requirements in terms of performance and not only regarding standards.

If the proposals are backed by EU ministers, public authorities would also be able to advertise and conclude contracts on-line. The package also encourages the use of electronic tendering, for instance, by shortening the time required to publish notices.

Internal Market Commissioner Frits Bolkestein said: "Public procurement in the EU represents the equivalent of half the German economy, some 1,000 billion euros (£600bn)."