Prevention and deterrence of bid rigging : a look from the new EU directive on public procurement

As a departing point and before entering the analysis of the new EU Direc­tive 2014/24 on public procurement, it is worth stressing that the effective­ness of public procurement and its ability to contribute to the proper and most efficient carrying on of public interest obligations is conditional upon the exist­ence of competition in two respects or separate dimensions. One of them has been expressly recognised for a long time by public procurement regulations, which have tried to foster competition within the specific tender by attracting a rela­tively large number of participants (or, at least, a sufficient number to ensure effective competition for the given public contract) and by preventing collusion or bid rigging amongst tenderers. Public procurement rules protect and promote competition - in this narrow sense - as a means to achieve value for money and to ensure the legitimacy of purchasing decisions. From this perspective, competi­tion is seen as a tool, as an instrument to allow the public purchaser to obtain the benefits of competitive pressure among (participating) bidders, as well as a key instrument to deter favouritism and other corrupt practices and devia­tions of power. [Opening paragraph]