Awatif Mohammad Shoqi Advocates & Legal Consultancy | View firm profile
Introduction:
In a significant step aimed at strengthening the safety and transparency of government procurement processes, the UAE has implemented extensive legislative changes through Federal Law No. 11/2023 Concerning Procurement in the Federal Government.These comprehensive regulations cover various aspects of procurement, with the primary objective of enhancing accountability, fairness, and efficiency in the acquisition of goods, services, and works by federal entities.
The recently enacted Federal Law No. 11/2023 introduces a comprehensive framework governing various aspects of government procurement in the UAE. This legislation addresses procurement methods, tender announcements, evaluation criteria, awarding procedures, contracting provisions, and mechanisms for addressing grievances.
Promoting Transparency and Competition:
According to Article 16 of the law, federal entities are required to conduct purchases through public tenders announced via the Procurement System, ensuring transparency and prompting competition among suppliers. Additionally, Article 18 authorises detailed tender announcements, including descriptions of purchases, evaluation criteria, and submission deadlines, to promote transparency and fairness.
Ensuring Fair Evaluation of Bids:
Bid evaluation criteria outlined in Article 22 ensure to assess offers transparently and fairly based on procurement requirements. Article 24 authorises federal entities to disqualify participating suppliers in procurement processes for various reasons, including non-compliance with minimum requirements, failure to fulfil financial obligations toward the government, or engaging in unethical practices that damage transparency and integrity.
Protection Against Unfair Disqualification:
Moreover, Article 25 protects against the disqualification of offers based on a low price unless there is sufficient evidence that the offer price significantly varies from the estimated cost and standard market rates. This ensures that suppliers can meet their contractual obligations effectively.
Publication of Award Decisions and Grievance Mechanisms:
Furthermore, details of the award decision may be published on the Procurement System within 30 days of completion, enabling suppliers to seek explanations for non-selection, as specified in Article 29. Article 38 grants participating suppliers the right to file grievances before the Federal Entity within 5 working days of notification of any decision, ensuring transparency and accountability throughout the procurement process.
Conclusion:
By prioritizing integrity and accountability, the UAE aim to achieve continuous economic growth and boost investor confidence in its procurement practices. The effective implementation and enforcement of these laws are essential for advancing the UAE’s governance objectives and promoting sustainable development.