Tender prices: Growing problem in public procurements

The Centre for Civil Communications (CCC) is regularly monitoring the implementation of public procurement procedures in Macedonia from 2008 onwards, i.e. from the entry in effect of the new Law on Public Procurements, drafted in line with the European Commission’s Directives.
17/10/20148

Tender prices: Growing problem in public procurements

Once “lowest price” was introduced as the single criterion on awarding public procurement contracts, and e-auctions are mandated for all tender procedures, there are numerous examples of tender procedures that have attained extremely low prices whereby likely is that the company awarded the procurement contract will not be able to perform it completely, under the required quality and quantity, as indicted therein. Contracting authorities are of the same opinion and demand introduction of safeguarding mechanism from extremely low prices that might endanger quality performance of procurement contracts.