Over the past five years, circa €24 billion has been awarded through procurements exempt from the application of the Law on Public Procurement (LPP). This accounts for almost half of the total value of all procurements carried out in this period. In 2022, the registered value of exempt procurements exceeded the total value of contracts concluded under LPP.

PUBLIC PROCUREMENT IN SERBIA 2020–2024

The most common grounds for exemption from the application of the Law on Public Procurement are procurements in accordance with the procurement procedures established by an international agreement or other act on the basis of which an international obligation was created (intergovernmental agreements), procurements by public contracting authorities intended for processing and sale, resale or renting to third parties on the market, procurements related to the procurement of energy or fuel for energy production by the sectoral contracting authority, procurements in the field of security and others.

The registered value of procurements that are exempted from the application of the Public Procurement Law does not include procurements that are exempted on the basis of special laws, such as the Law on EXPO 2027. For the purposes of this project, procurements with an approximate value of 34 billion dinars were carried out in 2024. According to current forecasts from the Fiscal Strategy, the value of the entire EXPO project could amount to approximately 139 billion dinars.

Some of the more well-known laws that excluded the application of the Law on Public Procurement are the laws that had the proclaimed goal of “encouraging the construction industry in conditions of economic crisis” (from 2010), the implementation of the “Belgrade Waterfront” project (from 2015), the construction of “Morava Corridor” (from 2019), as well as the recently repealed Law on Special Procedures for the Implementation of Construction and Reconstruction Projects of Linear Infrastructure Facilities of Special Importance for the Republic of Serbia (from 2021). The precise amounts of procurements that were exempted under these laws are not known.

Note: During 2020, public procurement was carried out on the basis of two laws - the law from 2012 was in force until July 1, while the current Law on Public Procurement entered into force on July 1. The stated values represent aggregate amounts, i.e. procurements carried out on the basis of both laws.

 

PUBLIC PROCUREMENT IN SERBIA 2020–2024

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