Draft New Edition of the Law on Public Procurement presented by the EU Project



On 21 April 2017, the Draft New Edition of the Law on Public Procurement prepared by the EU Project in line with the Ukrainian Government’s Public Procurement Reform Strategy/Road-Map was presented to the Ministry of Economic Development and Trade, Anti-Monopoly Committee, Cabinet of Ministers and the Verkhovna Rada representatives.

During the roundtable the EU Project team presented a proposal of  a revised Public Procurement Law to address the commitments under the Public Procurement Reform Strategy/Road-Map of February 2016. The latter provides for the drafting of a new version of the Law of Ukraine “On Public Procurement” to include definitions of the key public procurement terms and to incorporate a range of provisions in the EU Public Procurement Directives which are not yet, or not fully, reflected in Ukrainian law.

Among other amendments, it was proposed that the New Edition included, in particular, widened and clarified qualification criteria and exclusion grounds, technical specifications and award criteria (including introduction of tender evaluation criteria for life-cycle costs and abnormally low tenders); introduced methods for calculating the estimated value of a public contract for the purposes of choosing a procurement procedure; created legal grounds for the participation of a group of economic operators (consortia) in procurement procedures; introduced the restricted procedure and the new article on Centralised Procurement Body.

Following the Roundtable, the relevant explanatory Advisory Note will be submitted to the Ministry of Economic Development and Trade for their comments.It will then be a matter for the MEDT to formally issue a Draft New Edition of the Law on Public Procurement, having examined and assessed the proposals.

Mr. Oleksandr Starodubtsev, Head of the Public Procurement Regulation Department, Ministry of Economic Development and Trade, welcomed the participants and expressed his gratitude to the Project team for their assistance and the significant amount of work done with regards to legislation approximation.

Dr. Eugene Stuart, Project Leader, said: “With a mandate to assist with the approximation of the Ukrainian procurement legislation, the Project has brought forward a package of solutions in a form of the full text of the New Edition of the Law on Public Procurement to harmonise it with the EU standards. Some new provisions were introduced; some were tightened up in accordance with the EU Directives. Yet the Draft which will be presented today is prepared with regards to the Ukrainian reality and situation conditions.” Dr. Stuart added that the Project was working in parallel with the Secretariats in the Verkhovna Rada to raise awareness and to alert the Parliament about further and the priority changes to the public procurement legislation, which derive from the approximation Strategy, and the commitments under the Association Agreement.