Contributed By Sarbu Partners
The Romanian public procurement legal framework is heavily influenced by EU legislation, specifically EU Directive 24/2014 on Public Procurement and EU Directive 25/2014 on Sectoral Procurement, which aim to harmonise procurement procedures across EU member states and promote competition, transparency and equal treatment.
The key primary Romanian public procurement legislation includes:
In addition to these primary laws, other legal provisions have to be taken into account due to the Romanian legal system. Public procurement typically involves public funds, so foreign participants must comply with Law No 500/2002 on Public Finances and Law No 273/2006 on Local Public Finances. The provisions of Law No 101/2016 are supplemented by the Law on Administrative Procedure, Law No 554/2004 and the Romanian Civil Procedure Code, Law No 134/2010.
The Romanian public procurement system is further shaped by secondary legislation, which establishes procedural rules for the awarding of contracts:
Tertiary public procurement legislation in Romania takes the form of guidelines issued by the National Public Procurement Agency (the “Agenția Națională pentru Achiziții Publice” or ANAP) and provides practical guidance on the implementation of public procurement rules to contracting authorities and economic operators in complying with the law.
Although case law is not formally recognised as a source of law in Romania, it plays an important role in the interpretation and application of public procurement legislation. In particular:
In conclusion, public procurement legislation in Romania is governed by: primary legislation (Law No 98/2016, Law No 99/2016 and Law No 101/2016) which transpose EU law into Romanian law; secondary legislation (G.D. No 394/2016 and G.D. No 395/2016); and tertiary legislation (the ANAP guidelines). Together, these sources ensure transparency, fairness and alignment with EU public procurement standards.
The following entities are subject to public procurement regulation in Romania:
Contracting Authorities in Romania
According to Article 4 of Law No 98/2016, contracting authorities are:
Non-Contracting Authorities in Romania
According to Article 6 of Law No 98/2016, non-contracting authorities must apply procurement regulations when awarding contracts for works or services, provided that the following conditions are met:
Economic Operators in Romanian Public Procurement
As defined in Article 3(1)(jj) of Law No 98/2016, an economic operator includes any natural or legal person (public or private), or any group or association of these persons, that offers to carry out works, supply products or provide services. This includes temporary associations formed between these various entities.
Contracts Subject to Procurement Regulation in Romania
Under the Romanian Public Procurement Regulation, a public procurement contract is defined as a contract for pecuniary interest, assimilated by law to an administrative act, concluded in writing between one or more economic operators and one or more contracting authorities, having the execution of works, the supply of products or the provision of services as its objective.
In Romania, the following types of contracts are subject to procurement regulations:
Minimum Value Thresholds in Romanian Public Procurement
Article 134 of G.E.O. No 114/2011, lays down certain legal value thresholds for procurements related to national defence and security:
Article 12 of Law No 99/2016 lays down certain legal value thresholds for sectoral procurements:
Article 7 of Law No 98/2016 lays down certain legal value thresholds for classic procurement contracts, depending on its objective:
The contracts with estimated values (excluding VAT) lower than the thresholds mentioned above are subject to simplified procedures or direct award (see 2.3 Tender Procedure for the Award of a Contract).
Romanian public procurement law allows EU and non-EU entities to have broad access. Contract award procedures in Romania are open to interested parties from various jurisdictions, provided they meet specific criteria.
Entities from the following jurisdictions are eligible to participate.
The Romanian Public Procurement Regulation imposes key obligations on contracting authorities to ensure a fair, transparent and efficient award procedure, in line with the fundamental principles of Romanian public procurement: non-discrimination; equal treatment; transparency; proportionality; and responsibility.
Contracting authorities must secure the necessary funds for the procurement process and contract execution before starting any procedure, ensuring financial viability. They are also required to publish a contract notice that is accessible to all interested economic operators, promoting transparency and competition.
Furthermore, Romanian contracting authorities must establish clear and fair qualification and award criteria that align with public needs and prevent any unfair advantages. This ensures the process serves the public interest without bias.
Finally, avoiding conflicts of interest is essential in Romanian public procurement. Authorities must prevent any personal interests from influencing the procurement process, maintaining fairness and integrity throughout. These obligations help uphold the credibility and accountability of the public procurement system, benefiting both the public and private sectors.
The Romanian Public Procurement Regulation mandates the prior advertisement of regulated contract award procedures. The law ensures that contracting authorities adhere to transparency and publication obligations throughout the award procedure.
All relevant notices must be published on the Electronic System for Public Procurements (the “Sistemul Electronic de Achiziții Publice” or SEAP), an online platform designed for accessing information on public procurement procedures in Romania. Additionally, for contracts that meet or exceed the thresholds (see 1.3 Types of Contracts Subject to Procurement Regulation), contracting authorities are required to publish notices in the Official Journal of the European Union (the “OJEU”).
The prior information notice is one of the key elements that must be published at the beginning of a Romanian public procurement award procedure. It includes several crucial pieces of information such as the:
Additionally, the notice provides information on the contracting authority and the deadline for submitting tenders. Alongside the prior information notice, the award documentation is also published to ensure equal access for all potential bidders.
The award documentation provides detailed guidelines for economic operators interested in participating in the procurement procedure. It typically contains two parts: the technical and financial sections. The technical part includes specifications, execution plans, time schedules and material or equipment lists. The financial section outlines the financial requirements that tenders must meet, aligned with the technical specifications. Furthermore, the award documentation includes procedural rules and templates that bidders must follow when submitting their tenders.
Preliminary market consultations are allowed in Romanian public procurement. Contracting authorities are allowed to carry them out before initiating the contract award procedure. Preliminary market consultations are particularly applicable when the authority intends to procure goods, services or works that are technically complex or involve rapid technological advancements, as well as those with significant financial or contractual challenges.
In these cases, the contracting authority may organise a market consultation by publishing a consultation notice on the SEAP. This allows the authority to engage with a variety of independent experts, other public entities or economic operators, in order to gather valuable insights. The objective is to clarify the requirements and ensure the procurement process is well-prepared. The consultations may involve discussions about potential technical, financial or contractual solutions, the overall procurement strategy (eg, how to divide the contract into lots), and whether alternative tenders should be considered.
The information obtained during these consultations may be used to shape the procurement process, as long as it does not compromise the principles of competition, non-discrimination or transparency. If the contracting authority incorporates suggestions or advice from these consultations, it must ensure that these actions do not give any unfair advantage to certain participants.
Furthermore, the contracting authority is obligated to publish the results of the market consultation on the SEAP before or at the time of launching the official award procedure. In cases where a participant has contributed suggestions during the consultation, the authority must take steps to ensure that this does not result in any conflict of interest or distort the competitive process.
Tender Procedures in Romanian Public Procurement
Romanian public procurement law provides several procedures for awarding contracts, each with its own structure and specific rules. They are as follows.
Negotiations in Romanian Public Procurement Procedures
Negotiations are permissible in certain procedures, notably the competitive procedure with negotiation, competitive dialogue, innovation partnership and negotiated procedure without prior publication. However, there are key restrictions:
In Romanian public procurement, the choice of the awarding procedure is subject to criteria established by law, including:
The Romanian Public Procurement Regulation permits contracting authorities to make direct purchases in specific circumstances, based on the estimated value of the procurement (excluding VAT) which will be below certain values. Under Law No 98/2016, the thresholds for direct contract awards are:
Direct procurement is carried out with the aim of ensuring the efficient use of public funds, whilst also ensuring that the principles of non-discrimination, equal treatment, transparency and proportionality are respected.
Contracting authorities have certain obligations regarding direct purchases:
Contracting authorities also have certain rights regarding direct contract award:
Procurement documents are subject to certain obligations regarding the timing of the publication under the Romanian Public Procurement Regulation. This is to ensure transparency throughout the awarding procedure. Contracting authorities are required to publish the following notices and documents on the SEAP at designated times:
For contracts with an estimated value equal to or greater than the legal thresholds, contracting authorities are also required to publish notices in the OJEU.
During the procurement process, the following documents must be published to ensure transparency:
Additionally, decisions made by jurisdictional bodies regarding complaints are also published, with party names anonymised.
The time limits for the receipt of expressions of interest or the submission of tenders are subject to the Romanian Public Procurement Regulation.
In open procedures, the time limit for submitting tenders is at least 35 days from the date the contract notice is sent for publication in the OJEU. This time limit may be reduced to at least:
In restricted procedures and competitive procedure with negotiations, for the first phase of the procedure, the time limit for the submission of requests to participate is at least 30 days from the date the contract notice is sent for publication. This time limit may be reduced to at least 15 days in emergency situations.
For the second stage, the time limit for the submission of tenders will be at least 30 days from the date of the invitation to participate in the second phase being sent for publication. This time limit may be reduced to at least:
In competitive dialogue and innovation partnership, the time limit for the submission of requests to participate is at least 30 days from the date the contract notice is sent for publication.
In the case of a single-stage simplified procedure, the time limit for the submission of tenders will be at least:
In the case of a single-stage simplified procedure conducted in multiple stages, the time limit for the submission of requests to participate will be at least ten days from the date the simplified contract notice is sent for publication. The time limit for the submission of tenders will be at least:
In emergency situations, the time limits may be reduced to at least:
Besides the grounds for exclusion (see 2.11 Exclusion of Tenders), Romanian public procurement law establishes specific criteria that interested parties must meet to be eligible for participation in an award procedure. The criteria can be divided into qualification and selection criteria:
The selection and qualification criteria (along with the award criteria) should align with the requirements outlined in the award documentation and reflect the nature and complexity of the public procurement contract.
Romanian contracting authorities often use similar experience as a qualification or selection criterion to assess whether the economic operators have successfully completed tasks similar to those required by the contract. In this regard, it is important to outline that while similar experience criterion is lawful, requiring tenderers to have experience in exactly the same type of contract would be overly restrictive and contrary to the principle of proportionality.
In Romanian public procurement, it is possible to limit participation in a procurement process to a small number of qualified candidates in certain procedures, such as the restricted procedure, competitive procedure with negotiation, competitive dialogue and innovation partnership.
The shortlist is determined based on the application of the selection criteria. The contracting authority can narrow down the pool of qualified candidates to a select group who will be invited to submit initial tenders.
However, the Romanian contracting authorities must ensure that there is a sufficient number of candidates to maintain effective competition and, in any case:
In order to determine the winner of an award procedure in Romania, the tenders are evaluated on the basis of several criteria.
Exclusion grounds are initially applied in order to determine which candidates should be excluded from the procedure. qualification criteria and, if the case may be, selection criteria works in conjunction in order to identify the candidates have the capacity to perform the contract and, if they are, are eligible to submit offers for the next stage. Finally, the award criteria are applied in order to determine which bidder is the most suitable to perform the contract.
The award criteria, as outlined in the award documentation, must be objective and ensure proportionality either in terms of the benefit to the contracting authority from awarding the contract to a particular economic operator and ensuring that the winning economic operator can execute the contract efficiently while also receiving the economic benefits that motivated their tender.
Romanian public procurement law provides the following awarding criteria:
These broad criteria give contracting authorities flexibility in defining the specifics based on the contract type. For example, the term “quality” in the price-quality ratio could vary depending on factors like project duration, material requirements or the tenderer’s experience.
Under the Romanian Public Procurement Regulation, the contracting authorities are required to exclude from the contract award procedure, under certain conditions, any economic operators who:
In most cases, the contracting authorities are required to request clarifications from the economic operators, who may submit documents proving their capacity to perform the contract and demonstrate that they have taken corrective action to restore their market credibility and resolve the issues leading to their exclusion.
Transparency obligations are a key concern when it comes to public procurement procedures carried out in Romania, as the Romanian public procurement law establishes general provisions for publication and transparency of procurement documents, including the evaluation methodology. Contracting authorities also have a legal obligation to ensure by electronic means, through the SEAP, direct, full, unrestricted and free of charge access of economic operators to the procurement documents from the date of publication of the contract notice.
The contracting authority must make these criteria and evaluation methods transparent and publicly available. Once published, the evaluation methodology cannot be modified.
The evaluation methodology allows the contracting authority to request clarifications from tenderers during the evaluation process. These clarifications are typically related to minor omissions, mathematical errors, unclear statements or similar issues. However, it is important to emphasise that the clarification process is only meant to provide further details or explanations regarding existing tender elements. It does not allow for modifications or additions to the tenders.
In a Romanian public procurement award procedure, the contracting authority has an obligation to notify each candidate/tenderer of the decisions reached as regards:
The contracting authority must state the specific reasons for the rejection clearly in the notification.
As for the methodology, following the general rule for communication in Romanian public procedure, the rejection notice must be sent electronically, but in exceptional cases, other means of communication may be used.
Under the Romanian Public Procurement Regulation, the contracting authority must send a notification to the successful bidder within three days of the decision being made, informing them that their tender has been accepted and that the authority agrees to proceed with the public procurement contract.
This decision is communicated through the final procedure report, which must be prepared within specific time limits, depending on the type of procedure:
The Romanian public procurement law does not specify an obligation to grant prior hearing to bidders before a contracting authority’s decision is taken.
The Romanian Public Procurement Regulation provides for a “standstill period” between the notification of the contract award decision and the conclusion of the contract.
According to Law No 101/2016, the minimum “standstill period” is:
This “standstill period” ensures that all parties have time to review the decision before the contract is finalised.
Breaching the “standstill period” provision represents a ground for annulment of the public procurement contract under the Romanian Public Procurement Regulation. As an exception, the court may keep the contract but may limit its effects or impose a fine on the contracting authority, ranging from 1% to 5% of the contract’s value.
In Romanian public procurement, the review of the contracting authority’s decisions can be made in two ways under Law No 101/2016 (which aligns with EU Directive 89/665/EEC):
The Romanian public procurement framework guarantees economic operators the freedom to choose the most suitable option for them. The main distinction between the procedure in front of the CNSC and in front of the state courts lies in the cost structure (see 4.8 Costs Involved in Challenging Decisions).
The decisions of the CNSC and the state courts on complaints can both be appealed to the competent Court of Appeal. The CNSC’s decision is based on both legal grounds and reasons related to the merits of the decision. The decisions of the national courts can be further appealed through recourse.
The Romanian Public Procurement Regulation provide several remedies for addressing breaches in public procurement award procedures.
Remedies Available to Romanian Contracting Authorities
Upon receiving a complaint, the contracting authority may take the remedial action it deems necessary following contestation within three days. This can include actions such as cancelling and revising an evaluation report that contained errors, such as incorrectly calculated scores for a tenderer or revoking a decision that rejected a tenderer.
If the complainant is satisfied with the corrective actions taken, they may submit a waiver request to the contracting authority and to the Council. Once this request is made, no further actions will be taken and the authority will not be required to provide its opinion on the matter.
If the remedies do not fully address the concerns, the complainant may seek a partial waiver. In this case, the contracting authority will continue to review the remaining issues, and the CNSC will still need to evaluate those aspects.
Remedies Ordered by the CNSC
The CNSC plays a critical role in remedying procurement issues. Notably, the contracting authority can only conclude the contract after the CNSC has issued its decision, under the sanction of absolute nullity.
Once the CNSC admits a complaint, it may:
However, there are two important exceptions:
In cases where the contracting authority cannot comply with the CNSC’s decision without breaching procurement law principles, it has to cancel the entire procurement procedure by law.
Romanian public procurement law provides for the suspension of the award procedure of a public procurement contract, as an interim measure available in public procurement.
The CNSC has the authority, only upon the request of an interested party, to suspend a contract award procedure if certain conditions are met. These are as follows.
The contracting authority is required to provide its perspective on the suspension request and may, on its own initiative, decide to suspend the procedure.
If these conditions are met, the CNSC can issue a provisional suspension of the award procedure, halting any further actions until the complaint is resolved.
The CNSC is obligated to make its decision within three days of receiving the suspension request. The CNSC’s decision can be appealed within five days from its communication before the Court of Appeal.
The Romanian Public Procurement Regulation gives any individual or entity who believes their rights or legitimate interests have been affected by the actions of a contracting authority the standing to challenge the contracting authority’s decisions.
According to Law No 101/2016, a person is considered “injured” if they are an economic operator with an interest in a procurement procedure and have been or are at risk of being harmed by the contracting authority’s act, which can produce legal effects, or by the failure to address a request regarding the award procedure within the prescribed legal timeframe.
To have standing to challenge a decision of a Romanian contracting authority, two key conditions must be met:
This means that third parties, such as subcontractors or suppliers, do not have standing to challenge the decisions of the contracting authority on behalf of the tenderer, as they lack a direct interest in the resolution of the case. In the case of a tenderer being an association, any member of the association has the right to challenge the contracting authority’s decision.
The time limits for challenging the decisions of a contracting authority under the Romanian Public Procurement Regulation are the following:
According to the ANAP, the average length of a complaint in public procurement proceedings in Romania was 33 days in 2023.
According to the CNSC, the total number of complaints brought before the CNSC in 2023 was 3,668.
In Romanian public procurement, the administrative-jurisdictional procedure for challenging the contracting authorities’ decisions is free of charge. Although the procedure before the CNSC does not involve a fee, a security is required.
The amount of the security varies based on the estimated value of the contract:
The judicial procedure before the national courts involves a legal fee of 2% of the estimated contract value having to be paid, but no more than RON100 million (approximately EUR20 million), but does not require a security.
Romanian public procurement law permits the modification of a public procurement contract after it has been awarded without initiating a new award procedure in any of the following situations (subject to certain conditions):
When any of these conditions apply, the contracting authority and the contractor may agree on a contract modification, typically documented through an addendum detailing the changes.
Besides the specific cases of contract termination detailed in 5.3 Prerogatives of the Awarding Authority, the Romanian Public Procurement Regulation does not specifically provide grounds for terminating public procurement contracts. Instead, the general termination grounds stated by the Romanian Civil Code apply: the performance of the contract; the expiration of the contract term; the fulfilment or non-fulfilment of a condition; or the impossibility of performance due to unforeseen circumstances, etc.
Romanian public procurement legislation grants contracting authorities several special prerogatives due to the public nature of the contracts involved.
Firstly, contracting authorities have the right to unilaterally terminate a contract in the following circumstances:
The authority’s right of unilateral termination must be included in the award documentation.
Based on another special prerogative provided in Romanian public procurement law, the contracting authority may declare a tender non-compliant and exclude the economic operator from the award procedure if the tender includes proposed amendments to the contract terms laid out in the award documentation and those proposals are clearly disadvantageous to the contracting authority. If the tenderer is notified of this issue and does not agree to withdraw the terms, they may be eliminated from the procedure.
Lastly, the contracting authority is empowered to issue periodic documents during the contract’s execution, specifically every 90 days after the contract’s signing. These documents must record the status of the contract, any delays or deficiencies in its implementation and any damages caused by the fault of the contractor. These interim reports hold the same legal value as the final completion documents.
In a recent decision on Romanian public procurement, the importance of balancing confidentiality and transparency was addressed. The CNSC highlighted that bidders must prove confidentiality claims with evidence, not just declarations. In this case, the winning bidders failed to provide this evidence and the contracting authority incorrectly withheld documents from the complaining bidder. The contracting authority had to grant access to non-confidential parts of the bid within one working day of the request. By not verifying confidentiality claims and denying access, the authority violated transparency laws. The ANAP’s March 2023 guidance further supports the need for substantiated confidentiality, ensuring fairness in public procurement.
In another case, the CNSC decided that the principle of transparency prevents a contracting authority from rejecting a tender that meets the documentation requirements based on reasons not outlined in the documentation. The CNSC further highlighted that if certain tasks under the contract require specific licences or qualifications, the contracting authority must clearly ask for the proof at the tender submission stage. If this request is not made, the selected tenderer will be expected to meet these requirements during the execution of the contract, rather than at the time of tender submission.
At the time of writing, there are no legislative amendments under consideration. Given that the Romanian Public Procurement Regulation is frequently amended in relation to the adjustment of value thresholds, it is expected that these amendments will be made, which will take factors such as inflation and exchange rates into account.
In 2024, the public procurement legislation in Romania underwent significant changes, the most remarkable being introduced be G.E.O. No 52/2024. Among the major changes are the emphasis on using the best price-quality ratio criterion, especially for contracts with environmental impact, requiring authorities to include ecological factors in the evaluation of offers.
Additionally, the provisions related to price adjustments in the case of legislative or administrative changes were modified, removing the obligation for the authorities to adjust prices in the event of delays which cannot be attributed to the contractor. However, contracting authorities are allowed to include price adjustment clauses in service or goods contracts lasting up to 24 months and in works contracts lasting up to six months.
A provision was also introduced allowing negotiation without prior publication of a participation notice, but only in cases of extreme urgency caused by unforeseeable events.
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