Public tenders to be judged on quality, not just price

Public tenders to be judged on quality, not just price

Published at: 2018-10-10 09:46 | Author:
The Czech government appears to have realized that price isn't the only important criteria to consider when deciding whom to award a public contract to. At the moment, it's working out a methodology based on Dutch practice for how to judge for quality and hopes to put the idea into practice for the upcoming investment in building a high speed rail link between Přerov and Ostrava. Hospodářské noviny writes that that it's the first major Czech state project whose supplier will be chosen "the Dutch way".

"For public tenders concerning design work and the realization of transport construction, it's appropriate to expand the criteria for evaluating bids beyond the framework of the lowest price," said the transport ministry's spokeswoman Lenka Rezková. "Ensuring safety is the highest priority," she continued. "It's an even higher priority with high-speed railways because of the operating speed."

HN writes that the whole way of preparing a tender will change, if the new methods are adopted. While potential suppliers are allowed become involved in the project even before a tender is announced, most avoid doing so for fear of being charged with corruption. The state loses out, in this case, because it's unable to run its plans by top experts from the private sector in order to find out what methods of work would be most beneficial and which new technologies could be employed. The result of the current practice in which suppliers offer the lowest possible price and then once they win, inform the state that the price has to be increased because of poor design work.

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