NATIONAL PROCUREMENT IN LATVIA Dins Merirands Member of the Board Eiropas dzelzceļa līnijas April 25, 2017

THE ROLE OF EDZL IN LATVIA Land Aquisition Design for Local Facilities Construction Communication and Administration

Public Procurement Public procurement is of crucial importance, because it is one of the market-based instruments to be used in order to achieve smart, sustainable and inclusive growth, while at the same time ensuring the most efficient use of public funds. / The Europe 2020 strategy /

PROCUREMENT PRINCIPLES Open, public Interoperability Procurement method Design & Build where efficient. Procurements in two phases – first prequalification, second technical and financial proposal. Procurements conducted within a scope of national and EU procurement legislation. Documentation in Latvian and English. Common technical parameters, interoperable with EU railway network. Uniform principles Supervision Cooperation Based on common guidelines, templates and common requirements for supplier qualifications Experience on 1435 mm and 1520 mm system demands cooperation between national and international companies, experts. Owners and technical supervision, FIDIC engineers, on-spot visits, quality and compliance control.

NEW PROCUREMENT LAW Announcement before March 1, 2017 Previous public procedure provisions New Public Procurement Law came into force on March 1, 2017 (transposing Directive 2014/24/EU; repealing Directive 2004/18/EC) Announcement after March 1, 2017

ASPECTS OF PROCUREMENT PROCEDURE Specially designed application forms Language for procurement rules and application References Procurement Commission competent, accurate, independent and fair Administrative issues Electronic signature, etc.

Major changes in procurement procedures publication of the procurement plan – from June 1, 2017; electronical application; the minimal deadlines for application; the complaints’ procedure.

ELECTRONICAL APPLICATIONS The submission of electronical applications: for public supplies or services 135 000 EUR and more for public works 5 225 000 EUR and more from October 1, 2017 for public supplies or services 135 000 EUR - for public works 5 225 000 EUR - from April 1, 2018

OPEN / RESTRICTED PROCEDURE all interested suppliers are entitled to submit tenders; selection of tenderers and assessment of submitted tenders proceed in one stage. Open procedure all interested suppliers may request the right to participate (first stage); however, tenders may only be submitted by those candidates, which are invited by the commissioning authority (second stage). Restricted procedure

Public Procurement Law – contract price margins public supplies or services public works The application of national procurement procedures (under relevant contract price margins announced by the EU) 42 000 EUR - 134 999,99 EUR 170 000 EUR - 5 224 999,99 EUR Switch to the regulation of EU procurement procedures 135 000 EUR + 5 225 000 EUR +

open procedure – deadlines (dayS) Type of procurement Under relevant contract price margins announced by the EC Over relevant contract price margins announced by the EC Simple 20 35 Simple + publication of a prior informational announcement 15 Urgency Applications submitted electronically 30 If amendments are introduced At least one half of the initial deadline, but not less then 7 days

RESTRICTED procedure – deadlines (dayS) Type of procurement Under relevant contract price margins announced by the EC Over relevant contract price margins announced by the EC Phase of procurement Applications (1st stage) Tenders (2nd stage) Simple 20 30 Simple + publication of a prior informational announcement 10 Urgency 15 Applications submitted electronically 25 If amendments are introduced At least a half of the initial deadline (but not less then 7 days)

COMPLAINTS’ PROCEDURE In order to submit a complaint in the Procurement Monitoring Bureau regarding the results of procedure candidates and tenderers have to deposit 0,5% of estimated contract price, but not more than: 15 000 EUR for public works; 840 EUR for public supplies un services. If the estimate contract price can not be set or it is not indicated in public procurement documentation, deposit is: 3 400 EUR for public works; * Deposit can be submitted as a bank guarantee, insurance for a specific amount of money or a payment for a specific amount of money to the Procurement Monitoring Bureau.

Information SIA «Eiropas dzelzceļa līnijas» invites any interested supplier to follow announced public procurement procedures on: SIA «Eiropas dzelzceļa līnijas» home page - http://edzl.lv/lv/iepirkumi The Procurement Monitoring Bureau home page - https://www.iub.gov.lv/lv/iubsearch/pt/_pr/ Tenders Electronic Daily - „Official Journal of the European Communities” - http://ted.europa.eu/