The new EU Public Procurement Directive is a landmark piece of legislation that will shape the public procurement landscape for years to come.
The new Directive will impact on all areas of public sector procurement and suppliers will need to consider how the changes will affect their tender strategies and processes as we move towards the next set of Public Contracts Regulations in 2014.
The UK Government has informed the public sector that it is keen to start implementation as early as possible, so the sooner private sector companies start to adopt the proposals that impact on them directly, the better placed they will be when the UK and Scottish Regulations are published.
For suppliers, the process of bidding for public contracts should be quicker, less costly and less bureaucratic, enabling suppliers to compete more effectively (Cabinet Office PPN 05/13)
The changes include giving the public sector greater ability to exclude suppliers at the selection stage, if they are guilty of evidenced poor past performance, as well as significant revisions to the timescales and the introduction of a new categorisation, Services to the Person, which replaces the current Part B regime.
Are you prepared for the changes?
Ahead of the introduction of the new EU Directives, we talk to Senior PASS Consultant Eddie Regan about the forthcoming changes.
Why is the new EU Public Procurement Directive important?
Eddie: The new EU Directives for procurement, utilities and concessions will significantly impact on the current practices of both the public and private sectors, due to the reinforcement of the Treaty principles aligned to the introduction of social considerations in procurement. Social considerations are a hot topic for buyers and suppliers, and with the recent introduction of the Public Services (Social Value) Act 2013 in the UK, public bodies now have a legal requirement to consider the social good offered by bidders during the procurement process as well as price and quality.
How important is it for suppliers to be aware of social considerations when presenting tender responses?
Eddie: With publication of the new EU Directives impending, including social and environmental benefits in tender responses will be more essential than ever to succeed.
The new EU Public Procurement Directive will impact on all areas of procurement in the public sector as we move towards the next set of Public Contracts Regulations in 2014, but what areas are set to change the most?
Eddie: The new Public Procurement Directive sees significant change in areas such as services to the person, the removal of the Part B services regime, revision of both timescales and thresholds, the introduction of two new procurement procedures and changes to the selection and award criteria, to name but a few. Overall the new Directive will significantly impact on the processes, procedures and methodologies of buyers and suppliers, requiring contracting authorities to rewrite their procurement strategies.