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IMPACT OF THE QUALITY OF LEGAL PROTECTION ON THE PUBLIC PROCUREMENT MARKET

IMPACT OF THE QUALITY OF LEGAL PROTECTION ON THE PUBLIC PROCUREMENT MARKET. Tina ERŽEN, Ph. D., IEDC – Bled School of Management, Slovenia Conference on "Public Procurement Review & Remedies Systems“ Dubrovnik 24-25 May 07. PP MARKET. Does it exisit SEPARARTELY or is it just a

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IMPACT OF THE QUALITY OF LEGAL PROTECTION ON THE PUBLIC PROCUREMENT MARKET

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  1. IMPACT OF THE QUALITY OF LEGAL PROTECTION ON THE PUBLIC PROCUREMENT MARKET Tina ERŽEN, Ph. D., IEDC – Bled School of Management, Slovenia Conference on "Public Procurement Review & Remedies Systems“Dubrovnik 24-25 May 07

  2. PP MARKET • Does it exisit SEPARARTELY or is it just a part of the COMMON MARKET ? policies vs. realities

  3. QUALITY OF PROTECTION • TYPES OF PROTECTION of rights of all parties AVAILABLE • CONNECTEDNESS OF THESE TYPES – normative, practical • QUALITY OF TYPES – • availability, • transparency, • purpose of a type, • effectiveness of a type, • cultural embededness, • institutional support.

  4. activity • COMPETITION situation / state of things/ landscape most of human activity > SURVIVAL

  5. ECONOMIC SURVIVAL • PRIVATE ENTITIES • Survival in business ? YES • Where happening ? MARKET PUBLIC ENTITIES Do they have to buy ? YES Where ? MARKET Same market ? YES

  6. THE QUESTION • CAN BUSINESS LOGIC BE APPLIED TO PP TENDERING PROCEDURES? • WHAT IS Tendering procedure? • WHAT IS Public interest? • Is competition (in) Public interest ??

  7. TENDERING PROCEDURE • = steps to be taken when approaching suppliers • DIRECTIVES > general regulation (approach) BUT • BASIC PRINCIPLES OF PP • MAIN AIM OF REGULATION > to achieve EFFECTIVENESS OF PRIVATE SECTOR

  8. TENDERING PROCEDURE • average BEHAVIOUR OF MARKET PARTICIPANTS • ! accessibility of demand and supply • !choice ..... ? drivers ? Economic efficiency lower prices terms of contract customization OBLIGATORY ELEMENTS OF TENDERING PROCEDURE

  9. PUBLIC INTEREST • NO definition in PP regulations (interpretation) all and everything contributing to aims & goals of PP regulation 3 AREAS: efficiency of purchasing public purchasing a sound and viable activity opening-up of market

  10. ECONOMIC EFFECTIVENESS access to all by all value for money BASIC PRINCIPLES P. of Equal treatment/Non-discrimination P. of Transparency P. of Proportionality P. of Mutualrecognition PUBLIC INTEREST vs. BASIC PRINCIPLES

  11. COMPETITION AS PUBLIC INTEREST • effect of BASIC PRINCIPLES: ....just distribution of business opportunities DIR 1992, 1993 > focus on first steps of acquisition process: establishing conditions of supply & demand PREFERENTINAL TREATMENT TRANSPARENCY / NON- DISCRIMINATION

  12. DIR 2004 ...a step forward: more flexibility in designinig terms of business: CONTRACTUAL FREEDOM neccessary for efficient purchasing but LIMITS- Private market: Competition law - Public market: ? Competition law Review authorities through BASIC PRINCIPLES

  13. ANSWER to THE QUESTION • Can business logic be applied to PP tendering procedures? Not only can, but MUST, within the legal framework provided ! + ETHICS & PROFESSIONAL STANDARDS

  14. THANK YOU FOR YOUR ATTENTION

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