Competition

OECD Recommendation on Fighting Bid Rigging in Public Procurement

 

On 17 July 2012, the OECD Council adopted a Recommendation on Fighting Bid Rigging in Public Procurement that calls for governments to assess their public procurement laws and practices at all levels of government in order to promote more effective procurement and reduce the risk of bid rigging in public tenders.

The Recommendation is a step forward in the fight against collusion in public procurement that the OECD has been leading for a long time especially through the issuing of the 2009 Guidelines for Fighting bid rigging in Public Procurement and the work related to its dissemination worldwide.

 

Rationale for the Recommendation

Public procurement is an essential government activity that affects a country’s economy. In many OECD countries, expenses related to procurement amount to 15 per cent of the gross domestic product and in most developing countries, this can be substantially higher.

Efficient and competitive procurement processes are thus key to obtaining goods and services at the best value for money to the benefit of taxpayers, end consumers and users of public services in general. However, certain rules that govern procurement, the way in which a tender is carried out and the design of the tender itself can hinder competition and promote collusion arrangements or bid-rigging conspiracies between competitors.

The 2012 Recommendation together with the Guidelines for Fighting Bid Rigging in Public Procurement are therefore essential instruments that help OECD governments reduce such anti-competitive practices and find effective ways of detecting with them.


Scope of the Recommendation

The Recommendation applies to OECD member countries. Other economies are welcome to associate themselves to the recommendation. The scope of policies covered by the recommendation includes government regulations, rules and legislation.

 

Help us implement the recommendation and fight bid rigging

The Secretariat is strongly committed to support OECD and non-OECD governments with the implementation of the Recommendation for Fighting Bid Rigging in Public Procurement and its Guidelines.

To this purpose, the OECD has developed a standard training programme for procurement officials on the implementation of the two checklists included in the Guidelines with real case studies from around the wold and hypothetical cases.

Other specific training is also available for competition officials.  If you are interested in seeking the OECD support in your fight against collusive practices, please contact the Secretariat at Antonio.Capobianco@oecd.org.

 

Documents and links

» OECD Recommendation on Fighting Bid Rigging in Public Procurement - Database of OECD Acts

» Text of the 2012 Recommendation in English and French

» Guidelines for fighting bid rigging in public procurement (available for free download in several languages)

» Other OECD Recommendations on Competition Law and Policy

» OECD Guidelines on Corporate Governance of State-Owned Enterprises

» More about the work of the OECD on fighting bid rigging in public procurement


 

 

 

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