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Public Procurement

Greek legal framework on public procurement - Most important laws

1) Presidential Decree 60/2007 “About the coordination of the contractual procedures in the field of public contracts regarding public projects, supplies and services” (Government Gazette A’ num.64/16.3.2007)

With this Presidential Decree Greek legislation is harmonized with EU legislation, especially with Directive num. 2004/18/EU.

Field of application:

It is enforceable in contracts of public projects, supplies and services which are not excluded under articles 10-18 of the above decree (indicatively we may refer to public contracts in the field of telecommunications, energy, water supply, post services, real estate leasing, financial services, labor services, research and development, which are excluded) and are of higher estimated value comparing to the minimum required value set out in article 6.

A brief of the Law:

The decree provides for three kinds of auctions: (a) open auctions, (b) restricted request for tenders, (c) tenders under the process of negotiation, and (d) tenders under the process of “competitive dialogue” (according to article 22 of the Pr. Decree/ relevant article 28 of the Directive 2004/18/EU).

The Authorities for the assignment should act towards the participating parties under the terms of equity and transparency. Detailed rules upon publishing procedures of the call for the tenders, the offers requirement and the prerequisites for the selection of the provider are therefore included.

 2) Law 3886/2010 “Public Contracts: Judicial protection upon their assignment” (Government Gazette issue A’ num. 173/30.9.2010)

With this law Greek legislation is harmonized with EU legislation, especially with Directives num. 89/665/EU and 92/13/EU.

Field of application:

It is enforceable in: (a) juridical disputes that arise during the process of assignment of a public contract, prior to the final conclusion of the contract to a bidder, on the terms that the debatable contract is governed by Directives 2004/17/EU and 2004/18/EU and (b) cancellation of illegal public contracts on the grounds of article 8.

A brief of the law:

By the law 3886/2010, replacing previous law 2522/1997, changes in the procedure of filing juridical claims about the assignment of a public contract to an opponent bidder are introduced. The above law also affects the deadlines and the procedure of filing a petition for a restrain order before civil courts (prior to the assignment of a public contract).

It also regulates the requirements and the procedure of cancelling an illegal public contract and the terms under which any party suffering financial damage from it may ask for compensation.

3) Presidential Decree 118/2007 “Regulation on Public Procurements” (Government Gazette issue A’ num. 150/10.7.2007)

It is the fundamental law for the regulation of public procurements.

Field of application:

Public auctions executed by the Government and other legal entities of public law for the supply of commodities, except from the cases set out in article 1 par. 2 of the law.

A brief of the law:

The Decree provides for three types of auctions: (a) open auctions, (b) restricted request for tenders, and (c) “unofficial” auctions. Under the article 2, the minimum content requirements of the calls for tenders are provided plus the general rule that the terms of them should clear and coherent to the participants.

Formalities and required certificates for the participating parties are regulated in detail. Indicatively participants should file together with their offer: letter of guarantee for the amount of 5% on the total budget of the assignment, extract of penal records, corporate certificates of non bankruptcy, tax certificates ect. The process of filing the tenders, opening and examination of tenders as well as the deadlines for each step are also regulated. The last part of the law provides for the time period when the public contract has been signed and regulates certain issues upon its execution.

4) Presidential Decree 59/2007 “Procedures regarding contract conclusion in the markets of water supplies, energy, transportation and postal services” (Government Gazette issue A’ num. 63/16.3.2007)

With this Decree Greek legislation is harmonized with EU legislation, especially with Directive num. 2004/17/EU.

Field of application:

The decree covers the procedure of filing tenders and the requisitions of assignment of public contacts regarding services provided in the market of: (a) gas, electricity and heat energy, (b) water supplies, (c) transportation services, (d) postal services, and (e) extraction of gas, carbon or other solid fuel, and (f) concession of public airports or ports to private transporters, under the terms that the transaction is of a minimum value set out in articles 16-17. It is notable that public contracts regarding markets that are fully deregulated and open to price competition are not subject to this decree.

A brief of the law:

The decree provides for three types of auctions: (a) open auctions, (b) restricted request for tenders, and (c) auctions after negotiations. It also contains special provisions on the procedure and the required documents co-filed with the tenders, provisions on the publication of the call for tenders, regulation on the execution of the auction, the project assignment and the relevant notifications.

5) Law 2286/1995: “Procurements of the Public Sector and relevant provisions” (Government Gazette issue A’ num. 19/1.2.1995)

Field of application:

The law regulates procurements of commodities of any kind managed by (a) the Government (b) decentralized local government authorities (O.T.A.), (c) legal entities of public law, (d) Public companies and organizations, (e) Banks of ownership controlled by the government (f) state companies of private law and the affiliated with the above mentioned entities companies

A brief of the law:

The law provides for the central planning, assignment and execution of public contracts of procurement, as well as for the special procedure in cases that the materials to be supplies are of significant economic value. Assignment and execution of contracts managed by the Government and legal entities of public law are indicted to be regulated by the Presidential Decree 118/2007 (see above). Furthermore it contains the general framework on the participation requirements for the auctions covered by this law.

6) Law 3433/2006 “Procurements in defense equipment for Hellenic Army”   (Government Gazette issue A’ num. 20/7.2.2006)

Field of application:

Subject to this law are only auctions announced and executed for the purpose of supply the Hellenic Army with the defense material and equipment specified for every member-sate in the EU Treaty in addition to the relevant Greek Minister of National Defense decisions.

A brief of the law:

The law provides for three types of auction procedures: (a) the open auctions, (b) invitations to bid upon government agreements between states regarding defense material and the relevant supply and (c) negotiations procedure. Managing Authority for the auctions is the General Secretariat of Defense Equipment and Investments of the Ministry of National Defense. The law regulates in detail the publication of the call for tenders, the deadlines of the auction, the requirements and the documentation filed together with an offer, rules upon bids evaluation and award of the contract. Finally the execution of the public contact and certain liabilities of the supplier are also provided.

7) Law 3669/2008 “Ratification and codification of the legislation regarding construction of public works” (Government Gazette issue A’ num. 116/18.6.2008)

Field of application:

The law is applicable in every auction regarding construction of public works scheduled and managed by every legal entity of the Public Sector.

A brief of the law:

With this law unified rules for every construction project are introduced for all public construction projects. Types of auction procedures under this law are: (a) the open auctions, (b) auctions based on the prequalification of construction companies, (c) direct assignment or auctions within limited number of participants and (d) “unofficial” auctions. Rules upon the publicity requirements and the transparency of the procedures are set out in detail, as well as the legal framework and the methods used for the evaluation and election of the bidder-construction company that finally undertakes the project. It is notable that special requirements in accordance to environmental law are also provided under this law. Finally, special provisions on the juridical claim procedures regarding issues covered by this law are also provided.

Special topics:

Remedies against actions of the Administration in relation to public procurement bids according L.3886/2010

Changes introduced by law 3978/2011 in Defense procurements