PPPs and concessions, minimum limit set - No more contracts under 5 million lek, limit also changes for tenders

The government has set for the first time a minimum monetary limit for concession contracts and public-private partnerships. According to the decision adopted the day before, the minimum limit for concessions and PPPs will be 5 million lekë, a determination that directly affects the treatment of concession contracts and PPPs, for which until now there was no minimum threshold set.
Meanwhile, in addition to the limit for PPPs, the decision also provides for the reduction of several monetary thresholds in public procurement procedures, in accordance with exchange rate changes and approximation with the thresholds applicable in the European Union.
In the classical sector, the upper monetary limit for public works procurement procedures will be reduced from 603 million lek to 528.7 million lek. Meanwhile, for procurements for goods, services and design competitions, the limit will drop from 16 million lek to around 13.7 million lek.
The same changes will also apply to sectoral contracts, where the upper limit for public works will remain the same as the classic sector, while for goods and services the threshold will be reduced from 49 million lek to around 42.3 million lek.
The current decision, adopted in May 2024, sets the monetary thresholds dividing procurement procedures according to the value of the contract, defining the procedural rules to be followed by contracting authorities. It also prohibits the artificial division of contracts with the aim of avoiding public procurement procedures.
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