IP/09/1751
Brussels, 20 November 2009
Public procurement: Commission calls on Greece to review urban planning contracts and to comply with Court ruling on medical devices
The European Commission has decided to formally request Greece to review contracts for cadastral mapping and urban planning services awarded by the municipalities of Vasilika, Kassandra, Egnatia and Arethousa. This formal request takes the form of a "reasoned opinion", the second stage of the infringement procedure laid down in Article 226 of the EC Treaty. If there is no satisfactory reply within two months, the Commission may refer the matter to the European Court of Justice. The Commission has also decided, under Article 228 of the EC Treaty, to send Greece a letter of formal notice requesting full information on compliance with the 2009 judgment of the European Court of Justice concerning the supply of medical devices.
Cadastral mapping and urban planning services
The Commission has decided to formally request Greece to present its observations concerning the conclusion of contracts for additional cadastral mapping services and urban planning services awarded by the municipalities of Vasilika, Kassandra, Egnatia and Arethousa, which were not included in the original contract by using the negotiated procedure without publication of a contract notice.
The Commission considers that the conditions provided for by the Directives 92/50 (on the coordination of procedures for the award of public service contracts) and 2004/18 (on the coordination of procedures for the award of public works contracts, public supply contracts and public service contracts) for the use of the negotiated procedure without publication of a contract notice are not fulfilled in relation to the contested contracts.
Supply of medical devices
The Commission has decided to send the Greek Government a letter of formal notice under Article 228 of the EC Treaty, regarding the measures taken by Greece to comply with the judgment of the Court of Justice of the European Communities of 19 April 2009 in case C-489/06 concerning the award of public contracts for the supply of medical devices.
The Commission considers that Greece has not taken concrete, effective measures to comply with the said judgment and that therefore, on the basis of the information available, the infringement continues.
In its letter of formal notice, the Commission also draws the Greek Government's attention to the financial penalties that the Court of Justice may impose under Article 228(2) of the Treaty establishing the European Community, on a Member State that fails to comply with its judgment.
Background
Total public procurement in the EU – i.e. the purchases of goods, services and public works by governments and public utilities – is estimated at around 16% of the Union’s GDP. The open and transparent tendering procedures required under EU public procurement law mean more competition, stronger safeguards against corruption, and better service and value for money for taxpayers.
Under the EC Treaty, the European Commission has powers to take legal action – known as infringement proceedings – against a Member State that is not respecting its obligations under EU rules. These proceedings consist of three steps. The first is that the Member State receives a letter of formal notice and has two months to respond. In case further compliance with EU legislation is needed, the Commission sends a reasoned opinion. Again the Member State has two months to reply. If there is no satisfactory reply, the Commission can refer the matter to the European Court of Justice in Luxembourg. It can also request that the Court impose a fine on the country concerned if it does not comply with the Court's ruling.
More information
EU public procurement:
http://ec.europa.eu/internal_market/publicprocurement/index_en.htm
Latest information on infringement proceedings concerning all Member States: