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Public procurement procedures

In Lithuania, the procurements by private legal entities are not regulated by the legislation.  Therefore enterprises may choose suppliers of goods, providers of services and contractors according to their needs. And most frequently, they contact only one supplier/provider which is well-known to them or is recommended by their acquaintances. However, when they carry out procurements under the projects financed from the public funds, i.e. under the European Economic Area and Norwegian Financial Mechanisms and the budget of the Republic of Lithuania, the enterprises must comply with the main principles of public procurement procedures, i.e. the principles of equal treatment, non-discrimination, mutual recognition, proportionality and transparency, i.e. to ensure as efficient use of the public funds as possible.

The contracting authorities shall carry out public procurements in accordance with the Law on Public Procurement of the Republic of Lithuania (Official Gazette, 1996, No. 84-2000; 2013, No. 112-5575) (hereinafter referred to as the Law on Public Procurement).

Non-contracting authorities  shall follow the Description of the Procedure for Conduct and Supervision of Procurement by the Legal Entities that are not the Contracting Authorities under the Law on Public Procurement of the Republic of Lithuania during Implementation of the Projects under the European Economic Area and Norwegian Financial Mechanisms approved by the Order No. 1K-145 of 16 April 2013 of the Minister of Finance of the Republic of Lithuania which sets quite simple procurement procedures for the non-contracting authorities which receive the grant under the European Economic Area and Norwegian Financial Mechanisms 2009-2014.

What is a non-contracting authority?

A Non-Contracting Authority (hereinafter referred to as the NCA) shall mean the legal entity (institution, organization) which is not in compliance with the criteria set in Article 4 of the Law on Public Procurement and is not subject to the provisions of this law, however which implements or plans to implement the projects co-financed under the European Economic Area and Norwegian Financial Mechanisms 2009-2014. Both project promoter and its partners conducting procurements may not be treated as the NCA.  

When one becomes a contracting authority?

The project promoter that received 50% or more of the eligible expenditure of the project from the programme under the EEA or Norwegian Financial Mechanism 2009-2014 shall conduct the procurement for that project in compliance with the national public procurement law as though the Project Promoter were a contracting authority in accordance with Article 1 paragraph 9 of the Directive 2004/18/EC of the European Parliament and of the Council of 31 March 2004 on the coordination of procedures for the award of public works contracts, public supply contracts and public service contracts. This part shall be applied mutatis mutandis to project partners.

Please be advised that the public institution Central Project Management Agency will not conduct the procedures of public procurement in the projects.  Responsibility for approval of procurement documents and conduction of procurement procedures in accordance with the procurement plan coordinated with the CPMA will fall upon the project promoters. However during implementation of the project, the project managers of the CPMA will monitor the public procurement procedures organized by the project promoters as follows:

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