### in order to guarantee the opening up to competition of procurement by entities operating in the water , energy , transport and postal services sectors , provisions should be drawn up coordinating procurement procedures in respect of contracts above a certain value . such coordination is needed to ensure the effect of the principles of the treaty on the functioning of the european union and in particular the free movement of goods , the freedom of establishment and the freedom to provide services as well as the principles deriving therefrom , such as equal treatment , non - discrimination , mutual recognition , proportionality and transparency . in view of the nature of the sectors affected by such coordination , the latter should , while safeguarding the application of those principles , establish a framework for sound commercial practice and should allow maximum flexibility . ### in order to guarantee the opening up to competition of procurement by entities operating in the water , energy , transport and postal services sectors , provisions should be drawn up coordinating procurement procedures in respect of contracts above a certain value . such coordination is needed to ensure the effect of the principles of the treaty on the functioning of the european union and in particular the free movement of goods , the freedom of establishment and the freedom to provide services as well as the principles deriving therefrom , such as equal treatment , non - discrimination , mutual recognition , proportionality and transparency . in view of the nature of the sectors affected by such coordination , the latter should , while safeguarding the application of those principles , establish a framework for sound commercial practice and should allow maximum flexibility at every level of the public procurement procedure , particularly favouring small and medium - sized enterprises . public procurement rules have to respect the distribution of competences as enshrined in article 14 tfeu and the protocol no 26 thereof . the application of those rules should not interfere with the freedom of public authorities to decide how they carry out their public service tasks .


### those sector - specific measures must be complemented by an adaptation of the public procurement directives empowering contracting entities to pursue the objectives of the europe 2020 strategy in their purchasing strategies . it should hence be made clear that contracting entities can determine the most economically advantageous tender and the lowest cost using a life - cycle costing approach , provided that the methodology to be used is established in an objective and non - discriminatory manner and accessible to all interested parties . the notion of life - cycle costing includes all costs over the life - cycle of a works , supplies or services , both their internal costs and their external costs , provided they can be monetised and monitored . common methodologies should be developed at the level of the union for the calculation of life - cycle costs for specific categories of supplies or services ; whenever such a methodology is developed its use should be made compulsory . ### those sector - specific measures must be complemented by an adaptation of the public procurement directives empowering contracting entities to pursue the objectives of the europe 2020 strategy in their purchasing strategies . it should hence be made clear that contracting entities can determine the most economically advantageous tender and the lowest cost using a life - cycle costing approach , provided that the methodology to be used is established in an objective and non - discriminatory manner and accessible to all interested parties . the notion of life - cycle costing includes all costs over the life - cycle of a works , supplies or services , both their internal costs and their external costs , provided they can be monetised and monitored . common methodologies should be developed at the level of the union for the calculation of life - cycle costs for specific categories of supplies or services ; adopted in close consultation with stakeholders , including industry ; whenever such a methodology is developed its use should be made compulsory .


### member states may provide that contracting entities may apply innovation partnerships as regulated in this directive . member states may decide not to transpose into their national law innovation partnerships or to restrict the use of it to certain types of procurement . ### member states shall provide that contracting entities may apply innovation partnerships as regulated in this directive .


### contracting entities may decide not to award a contract to the tenderer submitting the best tender where they have established that the tender does not comply , at least in an equivalent manner , with obligations established by union legislation in the field of social and labour law or environmental law or of the international social and environmental law provisions listed in annex xiv . ### contracting entities shall not award a contract to the tenderer submitting the best tender where they have established that the tender does not comply with obligations in the field of social and labour law or environmental law established by union or national legislation or collective agreements which apply in the place where the work , service or supply is performed , or by the international social and environmental law provisions listed in annex xiv or with obligations in the field of intellectual property law .


### where a member state or , where the legislation of the member state concerned provides for it , a contracting entity considers that , on the basis of the criteria set out in article 27 and , a given activity is directly exposed to competition on markets to which access is not restricted , it may submit a request to establish that this directive does not apply to the award of contracts or the organisation of design contests for the pursuit of that activity . ### where a member state or , where the legislation of the member state concerned provides for it , a contracting entity considers that , on the basis of the criteria set out in article 27 and , a given activity is completely or partially , even with regard to single sectors or segments of it , directly exposed to competition on markets to which access is not restricted , it may submit a request to establish that this directive does not apply to the award of contracts or the organisation of design contests for the pursuit of that activity or of a single sector or segment of it .


### the term of a framework agreement shall not exceed four years , save in exceptional cases duly justified , in particular by the subject of the framework agreement . ### a framework agreement shall not exceed the term put in place by national provisions of the individual member states . the term of a framework agreement regarding the maintenance is based on the life cycle of the work or supply .


### contracts should be awarded on the basis of objective criteria that ensure compliance with the principles of transparency , non - discrimination and equal treatment . those criteria should guarantee that tenders are assessed in conditions of effective competition , also where contracting entities require high - quality works , supplies and services that are optimally suited to their needs . as a result , contracting entities should be allowed to adopt as award criteria either ' the most economically advantageous tender ' or ' the lowest cost ' , taking into account that in the latter case they are free to set adequate quality standards by using technical specifications or contract performance conditions . ### contracts should be awarded on the basis of objective criteria that ensure compliance with the principles of transparency , non - discrimination and equal treatment . these criteria should guarantee that tenders are assessed in conditions of effective competition , at the same time ensuring that contracting authorities require high - quality works , supplies and services that are optimally suited to their needs and which include factors linked to socially - sustainable production process criteria and involve disadvantaged persons . as a result , contracting entities should be allowed to adopt as award criteria ‘ the most economically advantageous tender’ , taking into account the fact that they must make reference to adequate quality standards by using technical specifications or contract performance conditions .


### contracting entities may use electronic auctions in which new prices , revised downwards , and / or new values concerning certain elements of tenders are presented . ### only for standardised services and supplies contracting entities may use electronic auctions in which new prices , revised downwards , and / or new values concerning certain elements of tenders are presented . service contracts and works ' contracts having as their subject - matter intellectual property , such as the design of works , may not be the objects of electronic auctions .


### the contracting entity shall request economic operators to explain the price or costs charged , where all of the following conditions are fulfilled : ### the contracting entity shall request economic operators to explain the price or costs charged , where at least five tenders have been submitted and one of the following conditions is fulfilled :


### procurement within the meaning of this directive is the purchase or other forms of acquisition of works , supplies or services by one or more contracting entities from economic operators chosen by those contracting entities , provided that the works , supplies or services are intended for the pursuit of one of the activities referred to in articles 5 to 11 . ### procurement within the meaning of this directive is the purchase of works , supplies or services via public contracts by one or more contracting entities from economic operators chosen by those contracting entities , provided that the works , supplies or services are intended for the pursuit of one of the activities referred to in articles 5 to 11 . procurement within the meaning of this directive is the acquisition of works , supplies or services by means of public contracts by one or more contracting entities from economic operators chosen by those contracting entities .


### the notion of conflict of interests shall at least cover any situation where the categories of persons referred to in paragraph 2 have , directly or indirectly , a private interest in the outcome of the procurement procedure , which may be perceived to impair the impartial and objective performance of their duties . ### the notion of conflict of interests shall cover any situation where the categories of persons referred to in paragraph 2 have , directly or indirectly , a private interest in the outcome of the procurement procedure , which may be perceived to impair the impartial and objective performance of their duties .


### the labels are established in an open and transparent procedure in which all stakeholders , including government bodies , consumers , manufacturers , distributors and environmental organisations may participate , ### the labels are established in an open and transparent procedure in which all relevant stakeholders , including government bodies , consumers , manufacturers , trade unions , distributors , social and environmental organisations may participate , .


### other categories of services continue by their very nature to have a limited cross - border dimension , namely what are known as services to the person such as certain social , health and educational services . those services are provided within a particular context that varies widely amongst member states , due to different cultural traditions . a specific regime should therefore be established for contracts for those services , with a higher threshold of eur 1 000 000 . in the particular context of procurement in those sectors , services to the person with values below this threshold will typically not be of interest to providers from other member states unless there are concrete indications to the contrary , such as union financing for transborder projects . contracts for services to the person above this threshold should be subject to union - wide transparency . given the importance of the cultural context and the sensitivity of those services , member states should be given wide discretion to organise the choice of the service providers in the way they consider most appropriate . the rules of this directive take account of that imperative , imposing only observance of basic principles of transparency and equal treatment and making sure that contracting entities are able to apply specific quality criteria for the choice of service providers , such as the criteria set out in the voluntary european quality framework for social services of the european union ' s social protection committee . member states and / or contracting entities remain free to provide those services themselves or to organise social services in a way that does not entail the conclusion of public contracts , for example through the mere financing of such services or by granting licences or authorisations to all economic operators meeting the conditions established beforehand by the contracting entity , without any limits or quotas , provided such a system ensures sufficient advertising and complies with the principles of transparency and non - discrimination . ### other categories of services continue by their very nature to have a limited cross - border dimension , namely what are known as services to the person such as certain social , health and educational services . those services are provided within a particular context that varies widely amongst member states , due to different cultural traditions . for a better quality of those services in contracts , a specific regime should be established with a higher threshold of eur 1 000 000 . in the particular context of procurement in those sectors , services to the person with values below this threshold will typically not be of interest to providers from other member states unless there are concrete indications to the contrary , such as union financing for transborder projects . contracts for services to the person above this threshold should be subject to union - wide transparency . given the importance of the cultural context and the sensitivity of those services , member states should be given wide discretion to organise the choice of the service providers in the way they consider most appropriate . the essential role and wide discretion of national , regional and local authorities in providing , commissioning and organising services of general interest is also in line with protocol on services of general interest , article 14 of the treaty on the functioning of the european union and article 36 of the charter of fundamental rights . the rules of this directive take account of that imperative , imposing only observance of basic principles of transparency and equal treatment and making sure that contracting entities apply specific quality criteria for the choice of service providers , such as the criteria set out in the voluntary european quality framework for social services of the european union ' s social protection committee . member states and / or contracting entities remain free to provide those services themselves or to organise social services in a way that does not entail the conclusion of public contracts , for example through the mere financing of such services or by granting licences or authorisations to all economic operators meeting the conditions established beforehand by the contracting entity , without any limits or quotas , provided such a system ensures sufficient advertising and complies with the principles of transparency and non - discrimination .


### contracting entities shall indicate in the specifications whether or not they authorise variants and , if so , the minimum requirements to be met by the variants and any specific requirements for their presentation . where variants are authorised , they shall also ensure that the chosen award criteria can be usefully applied to variants meeting those minimum requirements as well as to conforming tenders which are not variants . ### contracting entities shall indicate in the specifications the minimum requirements to be met by the variants , any specific requirements for their presentation and they shall also ensure that the chosen award criteria can be usefully applied to variants meeting those minimum requirements as well as to conforming tenders which are not variants .


### at least 90 % of the activities of that legal person are carried out for the controlling contracting authority or for other legal persons controlled by that contracting authority ; ### the activities in their entirety of that legal person are carried out for the controlling contracting authority or for other legal persons controlled by that contracting authority or with respect to the provision of services of general interest ;


### research and innovation , including eco - innovation and social innovation , are among the main drivers of future growth and have been put at the centre of the europe 2020 strategy for smart , sustainable and inclusive growth . contracting entities should make the best strategic use of public procurement to spur innovation . buying innovative goods and services plays a key role in improving the efficiency and quality of public services while addressing major societal challenges . it contributes to achieving best value for money as well as wider economic , environmental and societal benefits in terms of generating new ideas , translating them into innovative products and services and thus promoting sustainable economic growth . this directive should contribute to facilitating procurement of innovation and help member states in achieving the innovation union targets . a specific procurement procedure should therefore be provided for which allows contracting entities to establish a long - term innovation partnership for the development and subsequent purchase of a new , innovative product , service or works provided it can be delivered to agreed performance levels and costs . the partnership should be structured in such a way that it can provide the necessary ‘ market - pull’ incentivising the development of an innovative solution without foreclosing the market . ### research and innovation , including eco - innovation and social innovation , are among the main drivers of future growth and have been put at the centre of the europe 2020 strategy for smart , sustainable and inclusive growth . public authorities should make the best strategic use of public procurement to drive innovation . buying innovative goods and services plays a key role in improving the efficiency and quality of public services while addressing major societal challenges . it contributes to achieving best value for public money as well as wider economic , environmental and societal benefits in terms of generating new ideas , translating them into innovative products and services and promoting sustainable economic growth . an innovative procurement model is detailed in the commission ' s communication on pre - commercial procurement1 . this model promotes the take up in the procurement of research and development services which do not fall within the scope of this directive . this model , which has been written into this directive , is recognised and will be available for all contracting authorities to consider . this directive should however contribute to facilitating the public procurement of innovation more generally , and help member states in achieving the innovation union targets . where a need for the development of an innovative product , service or works and the subsequent purchase of the resulting output cannot be met by solutions already available on the market , contracting authorities should have access to a specific procurement procedure in respect of contracts falling within the scope of this directive . this new procedure should allow contracting authorities to establish an innovation partnership for the development and subsequent purchase of new , innovative products , services or works , provided that these can be delivered to agreed performance levels and costs . the procedure should be based on the rules applying to the competitive procedure with negotiations and contracts should be awarded on the sole basis of the most economically advantageous tender , which is the most suited to comparing tenders for innovative solutions . whether the innovation partnership concerns a very large project or a smaller project , it should be structured in such as a way that it can provide the necessary ' market pull ' , incentivising the development of innovative solutions without foreclosing the market . contracting authorities should therefore not misuse innovation partnerships to prevent , restrict or distort competition . __________________ 1 com 799 final : communication from the commission to the european parliament , the council , the european economic and social committee and the committee of the regions on pre - commercial procurement : driving innovation to ensure sustainable high quality public services in europe .


### the requirements for the label only concern characteristics which are linked to the subject - matter of the contract and are appropriate to define the characteristics of the works , supplies or services that are the subject - matter of the contract ; ### the requirements for the label are appropriate to define the characteristics of the works , supplies or services that are the subject - matter of the contract ;


### contracting entities may decide not to award a contract to the tenderer submitting the best tender where they have established that the tender does not comply , at least in an equivalent manner , with obligations established by union legislation in the field of social and labour law or environmental law or of the international social and environmental law provisions listed in annex xiv . ### contracting entities may decide not to award a contract to the tenderer submitting the best tender where it has been established that the tender does not comply with obligations established by union or national legislation in the field of social and labour law or environmental law or of the international social and environmental law provisions listed in annex xiv .


### the notion of conflict of interests shall at least cover any situation where the categories of persons referred to in paragraph 2 have , directly or indirectly , a private interest in the outcome of the procurement procedure , which may be perceived to impair the impartial and objective performance of their duties . ### the notion of conflict of interests shall at least cover any situation where the categories of persons referred to in paragraph 2 have , directly or indirectly , a common interest in the outcome of the procurement procedure , which may be perceived to impair the impartial and objective performance of their duties .


### contracting entities may take account of variants which are submitted by a tenderer and meet the minimum requirements specified by the contracting entities . ### contracting entities shall take account of variants which are submitted by a tenderer and meet the minimum requirements specified by the contracting entities .


### joint awarding of contracts by contracting entities from different member states currently encounters specific legal difficulties , with special reference to conflicts of national laws . despite the fact that directive 2004 / 17 / ec implicitly allowed for cross - border joint public procurement , in practice several national legal systems have explicitly or implicitly rendered cross - border joint procurement legally uncertain or impossible . contracting entities from different member states may be interested in cooperating and in jointly awarding contracts in order to derive maximum benefit from the potential of the internal market in terms of economies of scale and risk - benefit sharing , not least for innovative projects involving a greater amount of risk than reasonably bearable by a single contracting entity . therefore new rules on cross - border joint procurement designating the applicable law should be established in order to facilitate cooperation between contracting entities across the single market . in addition , contracting entities from different member states may set up joint legal bodies established under national or union law . specific rules should be established for such form of joint procurement . ### joint awarding of contracts by contracting entities from different member states currently encounters specific legal difficulties , with special reference to conflicts of national laws . despite the fact that directive 2004 / 17 / ec implicitly allowed for cross - border joint public procurement , in practice several national legal systems have explicitly or implicitly rendered cross - border joint procurement legally uncertain or impossible . contracting entities from different member states may be interested in cooperating and in jointly awarding contracts in order to derive maximum benefit from the potential of the internal market in terms of economies of scale and risk - benefit sharing , not least for innovative projects involving a greater amount of risk than reasonably bearable by a single contracting entity . therefore new rules on cross - border joint procurement designating the applicable law should be established in order to facilitate cooperation between contracting entities across the single market . in addition , contracting entities from different member states may set up joint legal bodies established under national or union law . specific rules should be established for such form of joint procurement . similarly , in the context of cross - border public procurement , it is absolutely necessary to clarify the aspects relating to intellectual property law .


### the most economically advantageous tender referred to in point of paragraph 1 ) from the point of view of the contracting entity shall be identified on the basis of criteria linked to the subject - matter of the contract in question . ### the most economically advantageous tender referred to in paragraph 1 from the point of view of the contracting entity shall be identified on the basis of criteria linked to the subject - matter of the contract in question . those criteria may include , in addition to the price or costs , other criteria linked to the subject - matter of the contract in question . costs shall be assessed using a cost - effectiveness approach , such as a life - cycle costing approach , under the conditions set out in article 77 . price shall be the decisive award criterion in the case of highly standardised products and services . other criteria may include :


### at least 90% of the activities of that legal person are carried out for the controlling contracting authorities or other legal persons controlled by the same contracting authorities ; ### at least 90 % of the average total turnover of that legal person is generated by means of activities carried out for the controlling contracting authorities or other legal persons controlled by the same contracting authorities ;


### not all contracting entities may have the internal expertise to deal with economically or technically complex contracts . against this background , appropriate professional support would be an effective complement to monitoring and control activities . on the one hand , this objective can be achieved by knowledge sharing tools offering technical assistance to contracting entities ; on the other hand , business , not least smes , should benefit from administrative assistance , in particular when participating in procurement procedures on a cross - border basis . ### not all contracting entities , and particularly local authorities , may have the internal expertise to deal with economically or technically complex contracts . against this background , appropriate professional support constitutes an effective complement to monitoring and control activities . on the one hand , this objective can be achieved by knowledge sharing tools offering technical assistance to contracting entities ; on the other hand , business , and in particular smes , should benefit from administrative assistance , in particular when participating in procurement procedures on a cross - border basis .


### at least 90% of the activities of that legal person are carried out for the controlling contracting authority or for other legal persons controlled by that contracting authority ; ### at least 90 % of the average total turnover of that legal person is generated by means of activities carried out for the controlling contracting authority or for other legal persons controlled by that contracting authority ;


### contracts may be subdivided into homogenous or heterogeneous lots . article 13 applies . ### with a view to maximizing competition and access of smes to public procurement , contracts may be subdivided into lots . article 13 applies .


### electronic means of information and communication can greatly simplify the publication of contracts and increase the efficiency and transparency of procurement processes . they should become the standard means of communication and information exchange in procurement procedures . the use of electronic means also leads to time savings . as a result , provision should be made for reducing the minimum periods where electronic means are used , subject , however , to the condition that they are compatible with the specific mode of transmission envisaged at union level . moreover , electronic means of information and communication including adequate functionalities can enable contracting authorities to prevent , detect and correct errors that occur during procurement procedures . ### electronic means of information and communication can greatly simplify the publication of contracts and increase the efficiency and transparency of procurement processes covered by this directive . they should become the standard means of communication and information exchange in procurement procedures . the use of electronic means also leads to time savings . as a result , provision should be made for reducing the minimum periods where electronic means are used , subject , however , to the condition that they are compatible with the specific mode of transmission envisaged at union level . moreover , electronic means of information and communication including adequate functionalities can enable contracting authorities to prevent , detect and correct errors that occur during procurement procedures .


### where contracting entities choose to award a contract to the most economically advantageous tender , they must determine the award criteria on the basis of which they will assess tenders in order to identify which one offers the best value for money . the determination of these criteria depends on the subject - matter of the contract since they must allow the level of performance offered by each tender to be assessed in the light of the subject - matter of the contract , as defined in the technical specifications , and the value for money of each tender to be measured . furthermore , the chosen award criteria should not confer an unrestricted freedom of choice on the contracting entity and they should ensure the possibility of effective competition and be accompanied by requirements that allow the information provided by the tenderers to be effectively verified . ### where contracting entities award a contract to the most economically advantageous tender , they must determine the award criteria on the basis of which they will assess tenders in order to identify which one offers the best value for money . the determination of these criteria depends on the subject - matter of the contract since they must allow the level of performance offered by each tender to be assessed in the light of the subject - matter of the contract , as defined in the technical specifications , and the value for money of each tender to be measured . furthermore , the chosen award criteria should not confer an unrestricted freedom of choice on the contracting entity and they should ensure the possibility of effective competition and be accompanied by requirements that allow the information provided by the tenderers to be effectively verified .


### where tenders appear to be abnormally low for other reasons , contracting entities may also request such explanations . ### contracting entities may also request explanations concerning price or costs indicated in a tender when other conditions , than those indicated in paragraph 1 , are fulfilled for instance if the price or cost indicated in a tender is significantly lower than prices or costs indicated in other tenders or than a price or costs estimated by the contracting authority , and the probability that the price or cost is abnormally low is very high .


### contracting entities may decide not to award a contract to the tenderer submitting the best tender where they have established that the tender does not comply , at least in an equivalent manner , with obligations established by union legislation in the field of social and labour law or environmental law or of the international social and environmental law provisions listed in annex xiv . ### contracting entities shall not award a contract to the tenderer submitting the best tender where they have established that the tender does not comply with obligations in the field of social and labour law or environmental law established by union or national legislation or collective agreements which apply in the place where the work , service or supply is performed , or by the international social and environmental law provisions listed in annex xiv or with obligations in the field of intellectual property law .


### the most economically advantageous tender referred to in point of paragraph 1 ) from the point of view of the contracting entity shall be identified on the basis of criteria linked to the subject - matter of the contract in question . ### the most economically advantageous tender from the point of view of the contracting authority shall be identified on the basis of criteria linked to the subject - matter of the public contract in question .


### procurement within the meaning of this directive is the purchase or other forms of acquisition of works , supplies or services by one or more contracting entities from economic operators chosen by those contracting entities , provided that the works , supplies or services are intended for the pursuit of one of the activities referred to in articles 5 to 11 . ### procurement within the meaning of this directive is the purchase of works , supplies or services via public contracts by one or more contracting entities from economic operators chosen by those contracting entities , provided that the works , supplies or services are intended for the pursuit of one of the activities referred to in articles 5 to 11 . procurement within the meaning of this directive is the acquisition of works , supplies or services by means of public contracts by one or more contracting entities from economic operators chosen by those contracting entities .


### where the value of a modification can be expressed in monetary terms , the modification shall not be considered to be substantial within the meaning of paragraph 1 , where its value does not exceed the thresholds set out in article 12 and where it is below 5% of the price of the initial contract , provided that the modification does not alter the overall nature of the contract . where several successive modifications are made , the value shall be assessed on the basis of the cumulative value of the successive modifications . ### where the value of a modification can be expressed in monetary terms , the modification shall not be considered to be substantial within the meaning of paragraph 1 , where its value does not exceed the thresholds set out in article 12 and where it is below 15 % of the price of the initial contract , provided that the modification does not alter the overall nature of the contract . where several successive modifications are made , the value shall be assessed on the basis of the cumulative value of the successive modifications .


### contracts should be awarded on the basis of objective criteria that ensure compliance with the principles of transparency , non - discrimination and equal treatment . those criteria should guarantee that tenders are assessed in conditions of effective competition , also where contracting entities require high - quality works , supplies and services that are optimally suited to their needs . as a result , contracting entities should be allowed to adopt as award criteria either ' the most economically advantageous tender ' or ' the lowest cost ' , taking into account that in the latter case they are free to set adequate quality standards by using technical specifications or contract performance conditions . ### contracts should be awarded on the basis of objective criteria that ensure compliance with the principles of transparency , non - discrimination and equal treatment . those criteria should guarantee that tenders are assessed in conditions of effective competition , while ensuring that entities may also require high - quality works , supplies and services that are optimally suited to their needs as long as they are linked to the subject matter of the contract . as a result , contracting entities should be allowed to adopt as award criteria preferably ' the most economically , socially and environmentally advantageous tender ' in line with the principle of cost - effectiveness and adequate quality .


### contracting entities shall indicate in the specifications whether or not they authorise variants and , if so , the minimum requirements to be met by the variants and any specific requirements for their presentation . where variants are authorised , they shall also ensure that the chosen award criteria can be usefully applied to variants meeting those minimum requirements as well as to conforming tenders which are not variants . ### contracting entities shall indicate in the specifications the minimum requirements to be met by the variants , any specific requirements for their presentation and they shall also ensure that the chosen award criteria can be usefully applied to variants meeting those minimum requirements as well as to conforming tenders which are not variants .


### however , the first subparagraph shall not apply in the event of universal or partial succession into the position of the initial contractor , following corporate restructuring operations or insolvency , of another economic operator that fulfils the criteria for qualitative selection initially established provided that this does not entail other substantial modifications to the contract and is not aimed at circumventing the application of this directive . ### however , the first subparagraph shall not apply in the event of universal or partial succession into the position of the initial contractor , following corporate restructuring operations , as a result of a contract clause , or insolvency of another economic operator that fulfils the criteria for qualitative selection initially established provided that this does not entail other substantial modifications to the contract and is not aimed at circumventing the application of this directive .


### arbitration and conciliation services ; ### arbitration and conciliation services , or the actions of a public official who is obliged to be independent and impartial ;


### the most economically advantageous tender referred to in point of paragraph 1 ) from the point of view of the contracting entity shall be identified on the basis of criteria linked to the subject - matter of the contract in question . ### the most economically advantageous tender referred to in paragraph 1 from the point of view of the contracting authority shall be identified on the basis of criteria linked to the subject - matter of the public contract in question . those criteria shall include , in addition to the price or costs , other criteria linked to the subject - matter of the public contract in question .


### the price or cost charged is more than 50 % lower than the average price or costs of the remaining tenders ; ### the price or cost indicated in a tender is more than 50 % lower than the average price or cost of the remaining tenders


### member states shall ensure that contracting entities may take into account the need to ensure quality , continuity , accessibility , availability and comprehensiveness of the services , the specific needs of different categories of users , the involvement and empowerment of users and innovation . member states may also provide that the choice of the service provider shall not be made solely on the basis of the price for the provision of the service . ### member states shall ensure that contracting entities may take into account the need to ensure quality , continuity , accessibility , availability and comprehensiveness of the services , the specific needs of different categories of users , the involvement and empowerment of users and innovation and consumers’ protection and social inclusion . member states may also provide that the choice of the service provider shall not be made solely on the basis of the price for the provision of the service .


### contracts should be awarded on the basis of objective criteria that ensure compliance with the principles of transparency , non - discrimination and equal treatment . those criteria should guarantee that tenders are assessed in conditions of effective competition , also where contracting entities require high - quality works , supplies and services that are optimally suited to their needs . as a result , contracting entities should be allowed to adopt as award criteria either ‘ the most economically advantageous tender’ or ‘ the lowest cost’ , taking into account that in the latter case they are free to set adequate quality standards by using technical specifications or contract performance conditions . ### contracts should be awarded on the basis of objective criteria that ensure compliance with the principles of transparency , non - discrimination and equal treatment . these criteria should guarantee that tenders are assessed in conditions of effective competition , at the same time ensuring that contracting authorities require high - quality works , supplies and services that are optimally suited to their needs and which include factors linked to socially sustainable production process criteria and decent jobs . as a result , contracting entities should be allowed to adopt as award criteria either ' the most economically advantageous tender ' or ' the lowest cost ' , taking into account that in the latter case they should refer to adequate quality standards by using technical specifications or contract performance conditions .


### without prejudice to national laws , regulations or administrative provisions on the remuneration of certain services , the criteria on which contracting entities shall base the award of contracts shall be one of the following : the most economically advantageous tender ; b ) the lowest cost . ### without prejudice to national laws , regulations or administrative provisions on the remuneration of certain services , the criteria on which contracting authorities shall base the award of public contracts shall be : the most economically , socially and environmentally advantageous tender ; b ) the lowest cost . the criterion referred to in point takes in general precedence over the criterion referred to in point ;


### contract modifications shall not be considered substantial within the meaning of paragraph 1 where they have been provided for in the procurement documents in clear , precise and unequivocal review clauses or options . such clauses shall state the scope and nature of possible modifications or options as well as the conditions under which they may be used . they shall not provide for modifications or options that would alter the overall nature of the contract . ### contract modifications shall not be considered substantial within the meaning of paragraph 1 where they have been provided for in the procurement documents in clear , precise and unequivocal review clauses or options , or where they are a result of errors or omissions in the procurement documents provided by the contracting authorities or entities . such clauses shall state the scope and nature of possible modifications or options as well as the conditions under which they may be used . they shall not provide for modifications or options that would alter the overall nature of the contract .


### contracting entities that wish to purchase works , supplies or services with specific environmental , social or other characteristics should be able to refer to particular labels , such as the european eco - label , national eco - labels or any other label provided that the requirements for the label are linked to the subject - matter of the contract , such as the description of the product and its presentation , including packaging requirements . it is furthermore essential that those requirements are drawn up and adopted on the basis of objectively verifiable criteria , using a procedure in which stakeholders , such as government bodies , consumers , manufacturers , distributors and environmental organisations can participate , and that the label is accessible and available to all interested parties . ### contracting entities that wish to purchase works , supplies or services with specific environmental , social or other characteristics should be able to refer to particular labels , such as the european eco - label , national eco - labels or any other label provided that the requirements for the label are linked to the subject - matter of the contract , such as the description of the product and its presentation , including packaging requirements . it is furthermore essential that those requirements are drawn up and adopted on the basis of objectively verifiable criteria , using a procedure in which stakeholders , such as government bodies , consumers , manufacturers , distributors , social organisations and environmental organisations can participate , and that the label is accessible and available to all interested parties .


### public procurement plays a key role in the europe 2020 strategy as one of the market - based instruments to be used to achieve a smart , sustainable and inclusive growth while ensuring the most efficient use of public funds . for that purpose , the current public procurement rules adopted pursuant to directive 2004 / 17 / ec of the european parliament and of the council of 31 march 2004 coordinating the procurement procedures of entities operating in the water , energy , transport and postal services sectors and 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 have to be revised and modernised in order to increase the efficiency of public spending , facilitating in particular the participation of small and medium - sized enterprises in public procurement and to enable procurers to make better use of public procurement in support of common societal goals . there is also a need to clarify basic notions and concepts to ensure better legal certainty and to incorporate certain aspects of related well - established case - law of the court of justice of the european union . ### public procurement plays a key role in the europe 2020 strategy as one of the market - based instruments to be used to achieve a smart , sustainable and inclusive growth while ensuring the most efficient use of public funds . for that purpose , the current public procurement rules adopted pursuant to directive 2004 / 17 / ec of the european parliament and of the council of 31 march 2004 coordinating the procurement procedures of entities operating in the water , energy , transport and postal services sectors and 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 have to be revised and modernised in order to enable public procurers to make better use of public procurement in support of sustainable development and other common societal goals , thereby increasing the efficiency of public spending , ensuring the best possible outcome in cost - benefit ratio terms and facilitating in particular the participation of small and medium - sized enterprises in public procurement . there is also a need to simplify eu rules on public procurement , particularly with regard to the method used to achieve the sustainability objectives which should be included in public procurement policy , and to clarify basic notions and concepts to ensure better legal certainty and to incorporate certain aspects of related well - established case - law of the court of justice of the european union .


### research and innovation , including eco - innovation and social innovation , are among the main drivers of future growth and have been put at the centre of the europe 2020 strategy for smart , sustainable and inclusive growth . contracting entities should make the best strategic use of public procurement to spur innovation . buying innovative goods and services plays a key role in improving the efficiency and quality of public services while addressing major societal challenges . it contributes to achieving best value for money as well as wider economic , environmental and societal benefits in terms of generating new ideas , translating them into innovative products and services and thus promoting sustainable economic growth . this directive should contribute to facilitating procurement of innovation and help member states in achieving the innovation union targets . a specific procurement procedure should therefore be provided for which allows contracting entities to establish a long - term innovation partnership for the development and subsequent purchase of a new , innovative product , service or works provided it can be delivered to agreed performance levels and costs . the partnership should be structured in such a way that it can provide the necessary ‘ market - pull’ incentivising the development of an innovative solution without foreclosing the market . ### research and innovation , including eco - innovation and social innovation , are among the main drivers of future growth and have been put at the centre of the europe 2020 strategy for smart , sustainable and inclusive growth . public authorities should make the best strategic use of public procurement to drive innovation . buying innovative goods and services plays a key role in improving the efficiency and quality of public services while addressing major societal challenges . it contributes to achieving best value for public money as well as wider economic , environmental and societal benefits in terms of generating new ideas , translating them into innovative products and services and promoting sustainable economic growth . an innovative procurement model is detailed in the commission ' s communication on pre - commercial procurement1 . this model promotes the take up in the procurement of research and development services which do not fall within the scope of this directive . this model , which has been written into this directive , is recognised and will be available for all contracting authorities to consider . this directive should however contribute to facilitating the public procurement of innovation more generally , and help member states in achieving the innovation union targets . where a need for the development of an innovative product , service or works and the subsequent purchase of the resulting output cannot be met by solutions already available on the market , contracting authorities should have access to a specific procurement procedure in respect of contracts falling within the scope of this directive . this new procedure should allow contracting authorities to establish an innovation partnership for the development and subsequent purchase of new , innovative products , services or works , provided that these can be delivered to agreed performance levels and costs . the procedure should be based on the rules applying to the competitive procedure with negotiations and contracts should be awarded on the sole basis of the most economically advantageous tender , which is the most suited to comparing tenders for innovative solutions . whether the innovation partnership concerns a very large project or a smaller project , it should be structured in such as a way that it can provide the necessary ' market pull ' , incentivising the development of innovative solutions without foreclosing the market . contracting authorities should therefore not misuse innovation partnerships to prevent , restrict or distort competition . __________________ 1 com 799 final : communication from the commission to the european parliament , the council , the european economic and social committee and the committee of the regions on pre - commercial procurement : driving innovation to ensure sustainable high quality public services in europe .


### the most economically advantageous tender referred to in point of paragraph 1 ) from the point of view of the contracting entity shall be identified on the basis of criteria linked to the subject - matter of the contract in question . ### the most economically advantageous tender referred to in paragraph 1 from the point of view of the contracting entity shall be identified on the basis of criteria linked to the subject - matter of the contract in question . those criteria may include , in addition to the price or costs , other criteria linked to the subject - matter of the contract in question . costs shall be assessed using a cost - effectiveness approach , such as a life - cycle costing approach , under the conditions set out in article 77 . price shall be the decisive award criterion in the case of highly standardised products and services . other criteria may include :


### the most economically advantageous tender referred to in point of paragraph 1 ) from the point of view of the contracting entity shall be identified on the basis of criteria linked to the subject - matter of the contract in question . ### the most economically advantageous tender from the point of view of the contracting authority shall be identified on the basis of criteria linked to the subject - matter of the public contract in question .


### member states may provide that contracting entities may apply innovation partnerships as regulated in this directive . member states may decide not to transpose into their national law innovation partnerships or to restrict the use of it to certain types of procurement . ### member states shall provide that contracting entities may apply innovation partnerships as regulated in this directive .


### quality , including technical merit , aesthetic and functional characteristics , accessibility , design for all users , environmental characteristics and innovative character ; ### quality , including technical merit , aesthetic and functional characteristics , accessibility , design for all users , environmental characteristics and innovative aspects , after - sales service and technical assistance , delivery conditions ;


### arbitration and conciliation services ; ### legal and arbitration and conciliation services ;


### requests shall be accompanied by a reasoned and substantiated position adopted by an independent national authority that is competent in relation to the activity concerned . this position shall thoroughly analyse the conditions for the possible applicability of article 27 to the activity concerned in accordance with its paragraphs 2 and 3 . ### requests shall be accompanied by a reasoned and substantiated position adopted by an independent national authority that is competent in relation to the activity concerned , or the individual sector or segment thereof . this position shall thoroughly analyse the conditions for the possible applicability of article 27 to the activity concerned in accordance with its paragraphs 2 and 3 .


### the term of a framework agreement shall not exceed four years , save in exceptional cases duly justified , in particular by the subject of the framework agreement . ### the term of a framework agreement shall not exceed four years , save in cases where it concerns work that will take longer than four years to carry out or where a longer period is justified by the need for economic operators to make investments for which the amortisation period is longer than four years or which are linked to the recruitment of suitable staff to perform the contract or the training of staff to perform the contract .


### contracting entities shall keep appropriate information on each contract , framework agreement and each time a dynamic purchasing system is established . this information shall be sufficient to permit them at a later date to justify decisions taken in connection with : ### contracting entities shall keep appropriate information on each contract , framework agreement , where these are above the thresholds , and each time a dynamic purchasing system is established . this information shall be sufficient to permit them at a later date to justify decisions taken in connection with :


### where tenders appear to be abnormally low for other reasons , contracting entities may also request such explanations . ### contracting entities may also request explanations concerning price or costs indicated in a tender when other conditions , than those indicated in paragraph 1 , are fulfilled for instance if the price or cost indicated in a tender is significantly lower than prices or costs indicated in other tenders or than a price or costs estimated by the contracting authority , and the probability that the price or cost is abnormally low is very high .


### procurement within the meaning of this directive is the purchase or other forms of acquisition of works , supplies or services by one or more contracting entities from economic operators chosen by those contracting entities , provided that the works , supplies or services are intended for the pursuit of one of the activities referred to in articles 5 to 11 . ### procurement within the meaning of this directive is the purchase of works , supplies or services in the context of public procurement by one or more contracting entities from economic operators chosen by those contracting entities , provided that the works , supplies or services are intended for the pursuit of one of the activities referred to in articles 5 to 11 .


### the price or cost charged is more than 50 % lower than the average price or costs of the remaining tenders ; ### the price or cost indicated in a tender is more than 50 % lower than the average price or cost of the remaining tenders


### for the purposes of paragraph 1 , the question of whether an activity is directly exposed to competition shall be decided on the basis of criteria that are in conformity with the provisions on competition of the treaty ; those may include the characteristics of the goods or services concerned , the existence of alternative goods or services , the prices and the actual or potential presence of more than one supplier of the goods or provider of the services in question . ### for the purposes of paragraph 1 the question of whether an activity is directly exposed to competition requires that the relevant product market and the relevant geographic market be defined . the relevant product market shall be decided on the basis of criteria that are in conformity with the provisions on competition of the treaty ; those may include the characteristics of the goods or services concerned , the existence of alternative goods or services considered to be substitutable on the supply side or demand side , the prices and the actual or potential presence of more than one supplier of the goods or provider of the services in question . the relevant geographic market , on the basis of which exposure to competition is assessed , shall consist of the area in which the undertakings concerned are involved in the supply and demand of products or services , in which the conditions of competition are sufficiently homogeneous and which can be distinguished from neighbouring areas because , in particular , conditions of competition are appreciably different in those areas . . this assessment shall take account in particular of the nature and characteristics of the products or services concerned , of the existence of entry barriers or of consumer preferences , of appreciable differences of the undertakings ' market shares between the area concerned and neighbouring areas or of substantial price differences .


### however , in the case of service and works contracts as well as supply contracts covering in addition services or siting and installation operations , legal persons may be required to indicate , in the tender or the request to participate , the names and relevant professional qualifications of the staff responsible for the performance of the contract in question . ### however , in the case of service and works contracts as well as supply contracts covering in addition services or siting and installation operations , legal persons may be required to indicate , in the tender or the request to participate , the relevant professional qualifications of the staff responsible for the performance of the contract in question .


### contracts intended to enable the activity concerned to be carried out and design contests that are organised for the pursuit of such an activity shall cease to be subject to this directive in any of the following cases : ### contracts intended to enable the activity concerned , or the individual sector or segment thereof , to be carried out and design contests that are organised for the pursuit of such an activity , or the individual sector or segment , shall cease to be subject to this directive in any of the following cases :


### by a contracting entity to an affiliated undertaking , or ### by a contracting entity to an affiliated undertaking whose activity is confined to the provision of services , supply or works to the group of which it is part , rather than offering them on the marke ; or


### furthermore , in technical specifications and in award criteria , contracting entities should be allowed to refer to a specific production process , a specific mode of provision of services , or a specific process for any other stage of the life - cycle of a product or service , provided that they are linked to the subject - matter of the contract . in order to better integrate social considerations in public procurement , procurers may also be allowed to include , in the award criterion of the most economically advantageous tender characteristics related to the working conditions of the persons directly participating in the process of production or provision in question . those characteristics may only concern the protection of health of the staff involved in the production process or the favouring of social integration of disadvantaged persons or members of vulnerable groups amongst the persons assigned to performing the contract , including accessibility for persons with disabilities . any award criteria which include those characteristics should in any event remain limited to characteristics that have immediate consequences on staff members in their working environment . they should be applied in accordance with directive 96 / 71 / ec of the european parliament and of the council of 16 december 1996 concerning the posting of workers in the framework of the provision of services32 and in a way that does not discriminate directly or indirectly against economic operators from other member states or from third countries parties to the agreement or to free trade agreements to which the union is party . ### in order to better integrate social considerations in public procurement , procurers may also be allowed to include , in the award criterion of the most economically advantageous tender characteristics related to the working conditions of the persons directly participating in the process of production or provision in question . those characteristics may only concern the protection of health of the staff involved in the production process or the favouring of social integration of disadvantaged persons or members of vulnerable groups amongst the persons assigned to performing the contract , including accessibility for persons with disabilities . any award criteria which include those characteristics should in any event remain limited to characteristics that have immediate consequences on staff members in their working environment . they should be applied in accordance with directive 96 / 71 / ec of the european parliament and of the council of 16 december 1996 concerning the posting of workers in the framework of the provision of services32 and in a way that does not discriminate directly or indirectly against economic operators from other member states or from third countries parties to the agreement or to free trade agreements to which the union is party .


### for the purposes of paragraph 1 , access to a market shall be deemed not to be restricted if the member state has implemented and applied the union legislation listed in annex iii . ### for the purposes of paragraph 1 , access to a market shall be deemed not to be restricted if the member state has implemented and applied the union legislation listed in annex iii , or if the member state has extended to the concerned market the application of principles established by the mentioned legislation . if free access to a given market cannot be presumed on the basis of the first subparagraph , it must be demonstrated that access to the market in question is free de facto and de jure .


### contracts should be awarded on the basis of objective criteria that ensure compliance with the principles of transparency , non - discrimination and equal treatment . those criteria should guarantee that tenders are assessed in conditions of effective competition , also where contracting entities require high - quality works , supplies and services that are optimally suited to their needs . as a result , contracting entities should be allowed to adopt as award criteria either ' the most economically advantageous tender ' or ' the lowest cost ' , taking into account that in the latter case they are free to set adequate quality standards by using technical specifications or contract performance conditions . ### contracts should be awarded on the basis of objective criteria that ensure compliance with the principles of transparency , non - discrimination and equal treatment . those criteria should guarantee that tenders are assessed in conditions of effective competition , while ensuring that entities may also require high - quality works , supplies and services that are optimally suited to their needs as long as they are linked to the subject matter of the contract . as a result , contracting entities should be allowed to adopt as award criteria preferably ' the most economically , socially and environmentally advantageous tender ' in line with the principle of cost - effectiveness and adequate quality .


### external environmental costs directly linked to the life cycle , provided their monetary value can be determined and verified , which may include the cost of emissions of greenhouse gases and of other pollutant emissions and other climate change mitigation costs . ### external environmental costs directly linked to the life cycle of the product , provided their monetary value can be determined and verified .


### those criteria shall include in addition to the price or costs referred to in point of paragraph 1 , other criteria linked to the subject - matter of the contract in question , such as : ### costs shall be assessed using a cost - effectiveness approach , such as a life - cycle costing approach , under the conditions set out in article 77 . price shall be the decisive award criterion in the case of highly standardised products and services . other criteria may include :


### research and innovation , including eco - innovation and social innovation , are among the main drivers of future growth and have been put at the centre of the europe 2020 strategy for smart , sustainable and inclusive growth . contracting entities should make the best strategic use of public procurement to spur innovation . buying innovative goods and services plays a key role in improving the efficiency and quality of public services while addressing major societal challenges . it contributes to achieving best value for money as well as wider economic , environmental and societal benefits in terms of generating new ideas , translating them into innovative products and services and thus promoting sustainable economic growth . this directive should contribute to facilitating procurement of innovation and help member states in achieving the innovation union targets . a specific procurement procedure should therefore be provided for which allows contracting entities to establish a long - term innovation partnership for the development and subsequent purchase of a new , innovative product , service or works provided it can be delivered to agreed performance levels and costs . the partnership should be structured in such a way that it can provide the necessary ‘ market - pull’ incentivising the development of an innovative solution without foreclosing the market . ### research and innovation , including eco - innovation and social innovation , are among the main drivers of future growth and have been put at the centre of the europe 2020 strategy for smart , sustainable and inclusive growth . public authorities should make the best strategic use of public procurement to drive innovation . buying innovative goods and services plays a key role in improving the efficiency and quality of public services while addressing major societal challenges . it contributes to achieving best value for public money as well as wider economic , environmental and societal benefits in terms of generating new ideas , translating them into innovative products and services and promoting sustainable economic growth . an innovative procurement model is detailed in the commission ' s communication on pre - commercial procurement1 . this model promotes the take up in the procurement of research and development services which do not fall within the scope of this directive . this model , which has been written into this directive , is recognised and will be available for all contracting authorities to consider . this directive should however contribute to facilitating the public procurement of innovation more generally , and help member states in achieving the innovation union targets . where a need for the development of an innovative product , service or works and the subsequent purchase of the resulting output cannot be met by solutions already available on the market , contracting authorities should have access to a specific procurement procedure in respect of contracts falling within the scope of this directive . this new procedure should allow contracting authorities to establish an innovation partnership for the development and subsequent purchase of new , innovative products , services or works , provided that these can be delivered to agreed performance levels and costs . the procedure should be based on the rules applying to the competitive procedure with negotiations and contracts should be awarded on the sole basis of the most economically advantageous tender , which is the most suited to comparing tenders for innovative solutions . whether the innovation partnership concerns a very large project or a smaller project , it should be structured in such as a way that it can provide the necessary ' market pull ' , incentivising the development of innovative solutions without foreclosing the market . contracting authorities should therefore not misuse innovation partnerships to prevent , restrict or distort competition . __________________ 1 com 799 final : communication from the commission to the european parliament , the council , the european economic and social committee and the committee of the regions on pre - commercial procurement : driving innovation to ensure sustainable high quality public services in europe .


### requests to participate in procedures for the award of contracts may be made in writing or by telephone ; in the latter case , a written confirmation must be sent before expiry of the time limit set for their receipt ; ### requests to participate in procedures for the award of contracts may be made in writing ;


### member states shall make available technical support structures in order to provide legal and economic advice , guidance and assistance to contracting entities in preparing and carrying out procurement procedures . member states shall also ensure that each contracting entity can obtain competent assistance and advice on individual questions . ### member states shall make available technical support structures in order to provide legal and economic advice , guidance and assistance to contracting entities in preparing and carrying out procurement procedures . member states shall also ensure that each contracting entity can obtain competent assistance and advice on individual questions . special attention and increased support should be provided in this respect to local authorities , and particularly to small local authorities .


### it is established for or has the specific purpose of meeting needs in the general interest , not having an industrial or commercial character ; for that purpose , a body which operates in normal market conditions , aims to make a profit , and bears the losses resulting from the exercise of its activity does not have the purpose of meeting needs in the general interest , not having an industrial or commercial character ; it has legal personality ; ### it has legal personality ; it is established for the specific purpose of meeting needs in the general interest , not having a merely industrial or commercial character ;


### public procurement plays a key role in the europe 2020 strategy as one of the market - based instruments to be used to achieve a smart , sustainable and inclusive growth while ensuring the most efficient use of public funds . for that purpose , the current public procurement rules adopted pursuant to directive 2004 / 17 / ec of the european parliament and of the council of 31 march 2004 coordinating the procurement procedures of entities operating in the water , energy , transport and postal services sectors and 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 have to be revised and modernised in order to increase the efficiency of public spending , facilitating in particular the participation of small and medium - sized enterprises in public procurement and to enable procurers to make better use of public procurement in support of common societal goals . there is also a need to clarify basic notions and concepts to ensure better legal certainty and to incorporate certain aspects of related well - established case - law of the court of justice of the european union . ### public procurement plays a key role in the europe 2020 strategy as one of the market - based instruments to be used to achieve a smart , sustainable and inclusive growth while ensuring the most efficient use of public funds . for that purpose , the current public procurement rules adopted pursuant to directive 2004 / 17 / ec of the european parliament and of the council of 31 march 2004 coordinating the procurement procedures of entities operating in the water , energy , transport and postal services sectors and 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 have to be revised and modernised in order to enable procurers to make better use of public procurement in support of sustainable development and employment and other common societal goals , thereby leading to the creation of new sustainable jobs and increasing the efficiency of public spending , while ensuring the best possible outcome in cost - benefit ratio terms and facilitating in particular the participation of small and medium - sized enterprises in public procurement . there is also a need to simplify union public procurement rules , particularly with regard to the method to be used to attain the sustainability objectives , which should be included in public procurement policy , and to clarify basic notions and concepts to ensure better legal certainty and to incorporate certain aspects of related well - established case - law of the court of justice of the european union .


### the controlled legal person does not pursue any interests which are distinct from that of the public authorities affiliated to it ; ### the controlled legal person does not pursue any interests which are in conflict with that of the public authorities affiliated to it ;


### contracting entities may decide not to award a contract to the tenderer submitting the best tender where they have established that the tender does not comply , at least in an equivalent manner , with obligations established by union legislation in the field of social and labour law or environmental law or of the international social and environmental law provisions listed in annex xiv . ### contracting entities may decide not to award a contract to the tenderer submitting the best tender where the tender does not comply with obligations established by union or national legislation , regulations and other binding provisions in the field of social and labour law or environmental law or collective agreements which apply in the place where the work , service or supply is performed or by the international social and environmental law provisions listed in annex xiv and provided they are linked to the subject matter of the contract .


### where a member state or , where the legislation of the member state concerned provides for it , a contracting entity considers that , on the basis of the criteria set out in article 27 and , a given activity is directly exposed to competition on markets to which access is not restricted , it may submit a request to establish that this directive does not apply to the award of contracts or the organisation of design contests for the pursuit of that activity . ### where a member state or , where the legislation of the member state concerned provides for it , a contracting entity considers that , on the basis of the criteria set out in article 27 and , a given activity is completely or partially , even with regard to single sectors or segments of it , directly exposed to competition on markets to which access is not restricted , it may submit a request to establish that this directive does not apply to the award of contracts or the organisation of design contests for the pursuit of that activity or of a single sector or segment of it .


### electronic means of communication are particularly well suited to support centralised purchasing practices and tools because of the possibility they offer to re - use and automatically process data and to minimise information and transaction costs . the use of such electronic means of communication should therefore , as a first step , be rendered compulsory for central purchasing bodies , while also facilitating converging practices across the union . this should be followed by a general obligation to use electronic means of communication in all procurement procedures after a transition period of two years . ### electronic means of communication are particularly well suited to support centralised purchasing practices and tools because of the possibility they offer to re - use and automatically process data and to minimise information and transaction costs . the use of such electronic means of communication should therefore , as a first step , be rendered compulsory for central purchasing bodies , while also facilitating converging practices across the union . this should be followed by a general obligation to use electronic means of communication in all procurement procedures after a transition period of two years . so as to ensure continued legal certainty , these provisions shall not affect existing arrangements at national level for publishing information on public procurement contracts involving amounts below the thresholds set in this directive .


### contracts should be awarded on the basis of objective criteria that ensure compliance with the principles of transparency , non - discrimination and equal treatment . those criteria should guarantee that tenders are assessed in conditions of effective competition , also where contracting entities require high - quality works , supplies and services that are optimally suited to their needs . as a result , contracting entities should be allowed to adopt as award criteria either ' the most economically advantageous tender ' or ' the lowest cost ' , taking into account that in the latter case they are free to set adequate quality standards by using technical specifications or contract performance conditions . ### contracts should be awarded on the basis of objective criteria that ensure compliance with the principles of transparency , non - discrimination and equal treatment . these criteria should guarantee that tenders are assessed in conditions of effective competition , at the same time ensuring that contracting authorities require high - quality works , supplies and services that are optimally suited to their needs and which include factors linked to socially - sustainable production process criteria and involve disadvantaged persons . as a result , contracting entities should be allowed to adopt as award criteria ‘ the most economically advantageous tender’ , taking into account the fact that they must make reference to adequate quality standards by using technical specifications or contract performance conditions .


### there is no private participation in the controlled legal person . ### unless the laws of the member states concerned provide otherwise , there is no private participation in any of the contracting authorities involved .


### where the modification would aim at compensating risks of price increases that have been hedged by the contractor . ### where the modification would aim at compensating risks of price increases that have been hedged by the contractor without prejudice to cases where , irrespective of the provisions of this article , it restores the economic balance of the contract .


### where a state of urgency duly substantiated by the contracting entities renders impracticable the time limit laid down in the second subparagraph of paragraph 1 , they may fix a time limit which shall be not less than 20 days from the date on which the contract notice was sent . ### where a state of urgency duly substantiated by the contracting entities renders impracticable the time limit laid down in the second subparagraph of paragraph 1 , they may fix a time limit which shall be not less than 25 days from the date on which the contract notice was sent . a state of urgency may only result in a shorter time limit being set if it has not been brought about by the contracting entities themselves .


### the primary objective of cooperation with the countries and territories referred to in paragraph 1 shall be to provide a specific response to the need to strengthen links and to engage further with them on a bilateral , regional or multilateral basis in order to create a more favourable environment for the development of the relations of the community with these countries and territories and promote dialogue while fostering the community ' s interests . ### the primary objective of cooperation with the partner countries shall be to provide a specific response to the need to strengthen links and to engage further with them on a bilateral , regional or multilateral basis in order to create a more favourable environment for the development of relations between the community and the partner countries and step up dialogue while fostering the community ' s interests in accordance with its objectives and promoting progress and development in the partner countries .


### integrating cross - border labour markets , including cross - border mobility , joint local employment initiatives and joint training ; ### integrating cross - border labour markets , including cross - border mobility and the removal of physical , technical and administrative barriers , joint local employment initiatives and joint training ;


### the union mrv system should also cover other climate relevant information allowing for the determination of ships ' efficiency or further analyse the drivers for the development of emissions . this scope also aligns the union mrv system with international initiatives to introduce efficiency standards for existing ships , also covering operational measures , and contributes to the removal of market barriers related to the lack of information . ### the union mrv system should also cover other relevant information allowing for the determination of ships ' efficiency or further analyse the drivers for the development of emissions . this scope also aligns the union mrv system with international initiatives to introduce efficiency standards for existing ships , also covering operational measures , and contributes to the removal of market barriers related to the lack of information .


### in particular the verifier shall ensure that the emissions and other climate - relevant information included in the emission report have been determined in accordance with articles 8 , 9 and 10 and the monitoring plan referred to in article 6 . the verifier shall also ensure that the emissions and other climate - relevant information declared in the reports are consistent with data calculated from other sources in accordance with annexes i and ii . ### in particular the verifier shall ensure that the emissions and other relevant information included in the emission report have been determined in accordance with articles 8 , 9 and 10 and the monitoring plan referred to in article 6 . the verifier shall also ensure that the emissions and other relevant information declared in the reports are consistent with data calculated from other sources in accordance with annexes i and ii .


### in order to reduce carbon dioxide emissions from shipping at union level the best possible option remains setting up a system for monitoring , reporting and verification of co2 emissions based on the fuel consumption of ships as a first step of a staged approach for the inclusion of maritime transport emissions in the union ' s greenhouse gas reduction commitment . ### in order to reduce carbon dioxide emissions from shipping at union level the best possible option remains setting up a system for monitoring , reporting and verification of co2 emissions based on the fuel consumption of ships for the collection of aggregate data of co2 emissions as a first step of a staged approach that may be justified by the necessity of reduction of such emissions .


### for the purposes of article 4 , and , companies shall determine their emissions and other climate relevant information for each of their ships above 5000 gt in accordance with any of the methods set out in annex i . ### for the purposes of article 4 , and , companies shall determine their emissions and other relevant information for each of their ships above 5000 gt in accordance with any of the methods set out in annex i .


### technical efficiency of the ship or the estimated index value in accordance with imo resolution mepc . 215 , where applicable ) ### technical efficiency of the ship in accordance with imo resolution mepc . 215 , where applicable )


### in order to minimise the administrative burden for ship owners and operators , in particular for small and medium sized enterprises , and to optimise the benefits - costs - ratio of the mrv system without jeopardising the objective to cover a widely predominant share of greenhouse gas emissions from maritime transport , the rules for mrv should only apply to large emitters . a threshold of 5000 gross tonnage has been selected after detailed objective analysis of sizes and emissions of ships going to and coming from union ports . ships above 5000 gt account for around 55% of the number of ships calling into union ports and represent around 90% of the related emissions . this non - discriminatory threshold would ensure that that the most relevant emitters are covered . a lower threshold would result in higher administrative burden while a higher threshold would limit the coverage of emissions and thus the environmental effectiveness of the system . ### in order to minimise the administrative burden for ship owners and operators , in particular for small and medium sized enterprises , without jeopardising the objective to cover a widely predominant share of co2 emissions from maritime transport , the mrv system should apply to ships of 3000 gt and above .


### in order to ensure uniform conditions for the use of automated systems and standard electronic templates for coherent reporting of emissions and other climate - relevant information to the commission and involved states implementing powers should be conferred on the commission . those necessary implementing powers should be exercised in accordance with regulation no 182 / 2011 of the european parliament and of the council of 16 february 2011 laying down the rules and general principles concerning mechanisms for control by the member states of the commission ' s exercise of implementing powers23 . __________________ 23 oj l 251 , 18 . 9 . 2012 , p . 49 ### in order to ensure uniform conditions for the use of automated systems and standard electronic templates for coherent reporting of emissions and other relevant information to the commission and involved states implementing powers should be conferred on the commission . those necessary implementing powers should be exercised in accordance with regulation no 182 / 2011 of the european parliament and of the council of 16 february 2011 laying down the rules and general principles concerning mechanisms for control by the member states of the commission ' s exercise of implementing powers23 . __________________ 23 oj l 251 , 18 . 9 . 2012 , p . 49


### the power to adopt delegated acts in order to supplement and amend the provisions of annexes i and ii to take into account up - to - date scientific evidence available , as well as the relevant data available on board of ships and the relevant international rules and internationally accepted standards , to identify the most accurate and efficient methods for monitoring of emissions , and to improve the accuracy of the information requested related to the monitoring and reporting of emissions is conferred on the commission subject to the conditions laid down under article 24 to the extent it concerns non - essential elements of this regulation . ### the power to adopt delegated acts in order to supplement and amend the provisions of annexes i and ii to take into account up - to - date scientific evidence available , as well as the relevant data available on board of ships and the relevant international rules and internationally accepted standards , to identify the most accurate and efficient methods for monitoring of co2 emissions , and to improve the accuracy of the information requested related to the monitoring and reporting of co2 emissions is conferred on the commission subject to the conditions laid down under article 24 to the extent it concerns non - essential elements of this regulation .


### where an international agreement on global measures to reduce greenhouse gas emissions from maritime transport is reached , the commission shall review this regulation and may , if appropriate , propose amendments to this regulation . ### where an international agreement on global measures to reduce greenhouse gas emissions from maritime transport is reached , the commission shall review this regulation and ensure alignment with the relevant international regulations set by the imo .


### amount and emission factor for each type of fuel consumed in total and differentiated between fuel used inside and outside emission control areas ; ### amount and emission factor for each type of fuel consumed in total ;


### aggregated co2 emissions from all voyages which departed from ports under a member state ' s jurisdiction ; ### only aggregated co2 emissions from all voyages which departed from ports under a member state ' s jurisdiction ;


### monitoring and reporting shall be complete and cover all emissions from the combustion of fuels . companies shall apply appropriate measures to prevent any data gaps within the reporting period . ### monitoring and reporting shall be complete and cover emissions from the combustion of fuels . companies shall apply appropriate measures to prevent any data gaps within the reporting period .


### this regulation lays down rules for the accurate monitoring , reporting and verification of carbon dioxide emissions and other climate relevant information from ships arriving at , within or departing from ports under the jurisdiction of a member state in order to promote the reduction of co2 emissions from maritime transport in a cost effective manner . ### this regulation lays down rules for the accurate monitoring , reporting and verification of carbon dioxide emissions from ships arriving at , within or departing from ports under the jurisdiction of a member state in order to promote the reduction of co2 emissions from maritime transport in a cost effective manner .


### this regulation lays down rules for the accurate monitoring , reporting and verification of carbon dioxide emissions and other climate relevant information from ships arriving at , within or departing from ports under the jurisdiction of a member state in order to promote the reduction of co2 emissions from maritime transport in a cost effective manner . ### this regulation lays down rules for the accurate monitoring , reporting and verification of carbon dioxide emissions and other relevant information from ships arriving at , within or departing from ports under the jurisdiction of a member state in order to promote the reduction of co2 emissions from maritime transport in a cost effective manner .


### by 31 august 2017 , companies shall submit to the verifiers a monitoring plan indicating the method chosen to monitor and report emissions and other climate - relevant information for each of their ships above 5000 gt . ### by 31 august 2017 , companies shall submit to the verifiers a monitoring plan indicating the method chosen to monitor and report emissions and other relevant information for each of their ships above 5000 gt .


### the power to adopt delegated acts in order to supplement and amend the provisions of annexes i and ii to take into account up - to - date scientific evidence available , as well as the relevant data available on board of ships and the relevant international rules and internationally accepted standards , to identify the most accurate and efficient methods for monitoring of emissions , and to improve the accuracy of the information requested related to the monitoring and reporting of emissions is conferred on the commission subject to the conditions laid down under article 24 to the extent it concerns non - essential elements of this regulation . ### the power to adopt delegated acts in order to supplement and amend the provisions of annexes i and ii shall be granted to align the annexes with the relevant international regulations as agreed by the imo , with the aim of ensuring conformity with international regulations in an effort to identify the most accurate and efficient methods for monitoring of emissions , and improve the accuracy of the information requested related to the monitoring and reporting of emissions . this power is conferred on the commission subject to the conditions laid down under article 24 to the extent it concerns non - essential elements of this regulation .


### the introduction of a union mrv system is expected to lead to emission reductions of up to 2% compared to business - as - usual and aggregated net costs reductions of up to 1 . 2 billion eur by 2030 as it could contribute to the removal of market barriers , in particular those related to the lack of information about ship efficiency . this reduction of transport costs should facilitate international trade . furthermore , a robust mrv system is a prerequisite for any market - based measure or efficiency standard , whether applied at union level or globally . it also provides reliable data to set precise emission reduction targets and to assess the progress of maritime transport ' s contribution towards achieving a low carbon economy . ### the introduction of a union mrv system is expected to lead to emission reductions as it could contribute to the removal of market barriers . this reduction of transport costs should facilitate international trade . furthermore , a robust mrv system is a prerequisite for any market - based measure or other measures aiming at providing a better basis for the polluter pays principle , whether applied at union level or globally . it also provides reliable data to set precise emission reduction targets and to assess the progress of maritime transport ' s contribution towards achieving a low carbon economy .