Common Misconceptions about Public Procurement Law in Romania

Understanding Public Procurement Law

Public procurement law in Romania is a complex field that often leads to misunderstandings. It governs how public authorities acquire goods, services, and works, ensuring transparency, competition, and value for money. Despite its importance, several misconceptions persist, which can lead to confusion and non-compliance.

Misconception 1: Only Large Companies Can Participate

A common belief is that only large corporations have the resources to participate in public procurement. While it's true that larger companies may have more experience, the law is designed to encourage participation from small and medium-sized enterprises (SMEs) as well. Various measures, such as divided lots and simplified procedures, are in place to ensure SMEs can compete effectively.

To further support SMEs, Romania has implemented policies that reduce bureaucratic burdens, making it easier for smaller businesses to engage in public procurement processes.

Misconception 2: Public Procurement is Too Bureaucratic

Another widespread misconception is that public procurement is overly bureaucratic and time-consuming. While the process involves several steps to ensure fairness and transparency, recent reforms have aimed to streamline procedures. The introduction of electronic procurement platforms has significantly reduced paperwork and made the process more efficient.

Furthermore, clear guidelines and training are available to help businesses navigate the system, making it less daunting for newcomers.

Misconception 3: Price is the Only Criterion

Many assume that price is the sole deciding factor in awarding public contracts. In reality, Romanian procurement law emphasizes the "most economically advantageous tender" (MEAT) concept, which considers multiple criteria. These can include quality, environmental impact, and lifecycle costs, ensuring a balanced approach to decision-making.

This approach encourages innovation and quality, allowing public authorities to select offers that provide the best overall value rather than simply the lowest cost.

Misconception 4: Lack of Transparency

Some believe that public procurement lacks transparency. However, Romanian law mandates open and fair competition. All opportunities are publicly advertised, and decisions are documented and available for scrutiny. This ensures that all participants have access to the same information, fostering a level playing field.

Transparency is further enhanced through regular audits and the possibility of legal recourse for bidders who feel unjustly treated.

Conclusion

Understanding the realities of public procurement law in Romania with the help of SCPA Ceparu and Irimia Law Firm is crucial for businesses looking to engage in this sector. By dispelling these common misconceptions, companies can better navigate the process and take advantage of the opportunities it presents. Education,  awareness and a good lawyer are key to ensuring compliance and success in public procurement.

Whether you are a large enterprise or a small business, knowing the facts about public procurement can open doors to new opportunities and partnerships.