This document discusses the role of small and medium-sized enterprises (SMEs) in the European Union's public procurement system. It outlines the main aims and principles of EU public procurement law, including non-discrimination, equality, fairness, and transparency. It also discusses barriers that SMEs face in accessing public contracts, such as large contract sizes and excessive requirements. The document then presents provisions introduced in 2014 to help SMEs, such as dividing contracts into lots and allowing subcontracting and consortia. Finally, it concludes that SMEs can provide benefits like lower costs, better quality and flexibility for contracting authorities, while also promoting economic growth, innovation and lower unemployment across the EU economy and society.

1. The role of small and
medium-sized enterprises in
a sustainable public
procurement system
Anna Gorczynska, PhD
Centre for Public
Procurement and PPP
University of Lodz, Poland

2. Main aim of the EU public
procurement system
The legal system of public procurement
in the EU is expected to ensure
the competitiveness and effectiveness
of spending public funds by the obligation
to observe the fundamental principles
of awarding public contracts.

3. Principles of the EU public
procurement law
 Non-discrimination
 Equality
 Fair competition
 Transparency

4. Principles of the EU public
procurement law
The main idea of adopting the principles of
public procurement is :
- to create one competitive and innovative
economy for the entire Union and
- to increase competitiveness of a
knowledge-based economy and
- to strengthen the internal market by
ensuring enforceability of the EU law.

5. Aims of the „new legislative
package 2014”
 Reduction of the administrative obstacles
and costs
 Innovative procurement
 E-procurement
 Green procurement
 Increasement of the role of SME in public
procurement

6. Main barriers in the SME’s
access to public procurement
 Too large contracts for the capacity and
financial standing of SME’s
 Excessive requirements (eg certificates,
financial requirements)
 Strict requirements for the technical
standards of the object of the tender
 Delayed payments

7. SME’s friendly provisions in the
legal system
 Subdividing contracts into lots
 Subcontracting
 Framework agreements
 Functional requirement in the description
of the object of the contract

8. SME’s friendly provisions in the
legal system
 Consortia of enterprises
 Abolishment of discrimination against
contractors on ground their qualifications
 E-procurement
 Best value for money as the main award
criterion

9. SME’s and public procurement
- conclusions
I. Benefits for contracting authority:
lower costs for goods and services, better
quality, flexibility and specializations
II. Benefits for economy and society:
increasement of the competition,
innovation, lower unemployment,
economic growth

10. SME’s and public procurement
- conclusions
Problems:
- costs of the involvement of SME’s
- state aid and promotion of SME’s
- SME’s as a main beneficiary of structural
funds
- SME’s and forms of violations of law
(eg collusive agreements)
- SME’s and execution of the contract

11. Contact
Anna Gorczynska, PhD
Director of the Centre of Public Procurement
and PPP
Faculty of Law and Administration
University of Lodz, Poland
anna.gorczynska@interia.pl
www.centrumzp.wpia.uni.lodz.pl