In any public purchasing process, compliance with advertising thresholds and award procedures is a major regulatory requirement. These structural elements govern the way in which a public authority may use a supplier, service provider or contractor. Understanding them properly is essential to guarantee legal certainty, transparency and fairness in public procurement.
Rules that vary according to the type of contract and buyer
The thresholds and procedures applicable depend on a number of factors. Firstly, the nature of the contract - whether for works, supplies or services - influences the obligations imposed. Secondly, the type of contracting authority also plays a decisive role: the rules differ depending on whether it is a 'traditional' sector (municipalities, public social welfare centres, public hospitals, etc.) or a 'special' sector (water, energy, transport, postal services). Finally, the estimated value of the contract directly determines the level of advertising required and the procedure to be applied. This estimate must be realistic and documented, and must not be artificially fragmented to avoid thresholds.
In the traditional sectors
In the traditional sectors, public contracts may be awarded using a very streamlined procedure - known as a direct contract - when the estimated amount is less than €30,000 excluding VAT for supplies and services, and €150,000 excluding VAT for works. When the amount exceeds these thresholds but remains below €143,000 excluding VAT for supplies and services, the negotiated procedure without prior publication is authorised, subject to compliance with the conditions set out in Article 92 of the Royal Decree of 18 April 2017. As soon as the amount reaches €143,000, national advertising becomes compulsory via the e-Notification platform. If the estimated amount reaches or exceeds the European thresholds - i.e. €221,000 excluding VAT for supply and service contracts, and €5,538,000 excluding VAT for works contracts - a formalised procedure is required, with a dual publication obligation: firstly on the Belgian e-Notification platform, and secondly in the Official Journal of the European Union (OJEU), via the e-Procurement portal.
For social services and other specific services - referred to in Annex XIV of Directive 2014/24/EU - a separate threshold is provided for. For contracting authorities in the traditional sectors, publication in the OJEU becomes compulsory from €750,000 excluding VAT.
In special sectors
Contracting entities in special sectors benefit from thresholds and procedures adapted to their specific characteristics. They may use a direct contract for supplies and services worth less than €50,000 excluding VAT. Above this amount, the negotiated procedure with or without a call for competition may be used, depending on the context and the regulatory justifications. The European advertising threshold is €443,000 excluding VAT for supplies and services, and €5,538,000 excluding VAT for works. For social services and other specific services, this threshold is raised to €1,000,000 excluding VAT. These entities also benefit from greater leeway in the choice of procedures, in accordance with the Royal Decree of 18 June 2017.
A range of procedures tailored to your needs
The regulations provide for several types of procurement procedure. The contracting authority may use the open procedure, open to any economic operator, or the restricted procedure, reserved for selected candidates. The negotiated procedure - with or without publication - allows bids to be discussed with tenderers, subject to clearly defined conditions. In the case of complex or innovative contracts, competitive dialogue and the competitive procedure with negotiation are also possible. Some procedures have strict advertising deadlines, while others provide for several phases of interaction with economic operators.
Advertising as a progressive obligation
The obligation to advertise varies according to the value of the contract. When the estimated contract is less than €30,000 excluding VAT for traditional sectors, or €50,000 for special sectors, no advertising is required under the regulations. However, even in this case, compliance with the fundamental principles of competitive tendering, transparency and equal treatment is still required.
As soon as the value reaches or exceeds €30,000, contracts must be governed by a more formal procedure. In traditional sectors, as long as the estimated value does not exceed €143,000 excluding VAT, the negotiated procedure without publication remains authorised, subject to certain conditions. Above €143,000, advertising on the e-Notification platform is compulsory, even if the contract remains below the European thresholds. Finally, as soon as the threshold of €221,000 (for supplies and services) or €5,538,000 (for works) is crossed, advertising in the Official Journal of the European Union (OJEU) also becomes compulsory, in addition to national publication.
In other words, a market :
- less than €30,000 excluding VAT (or €50,000 in special sectors) does not require formal advertising;
- between €30,000 and €143,000 can be awarded via a negotiated procedure without publication (traditional sectors);
- 143,000 requires publication on e-Notification;
- exceeding the European threshold must be published both on e-Notification and in the OJEU.
Vigilance is essential right from the planning stage
The choice of procedure must be consistent with the estimated value and with the regulatory thresholds in force at the time of publication of the contract. This choice must be carefully justified and documented. An error at this stage can have serious consequences, ranging from legal action to outright cancellation of the contract, or even refusal to approve the expenditure.
Conclusion
Compliance with procurement thresholds and procedures is the first guarantee of compliant, efficient and transparent public procurement. Vigilance is essential right from the planning stage. Anticipating the applicable thresholds, choosing the right procedure for the specific case, and formalising decisions rigorously are essential reflexes to adopt in any public organisation. This discipline helps to ensure the legal certainty of contracts, rigorous management of public funds, and greater confidence in government practices on the part of economic operators and supervisory bodies alike.
Sources
- eJustice Belgium - Public Procurement Act of 17 June 2016
- eJustice Belgium - Royal Decree of 18 April 2017
- EUR Lex - EU Thresholds 2024
With our public procurement experts, Aria Partner can guide you every step of the way
Aria Partner assists contracting authorities and entities in defining their needs, choosing the appropriate procedure, estimating the correct amounts, and drafting and checking the conformity of contract documents. We also provide in-service training for staff and audit existing procedures in order to strengthen internal practices.
Article 1 - Public contracts: the essentials of summer (1/4)