competitive procedure with negotiation

A competitive procedure with negotiation is a procurement method that allows contracting authorities to negotiate with suppliers to improve their tenders. Unlike the open procedure, where submitted tenders are evaluated as-is, this procedure enables structured dialogue and iterative improvement of offers through negotiation rounds.

How does a competitive procedure with negotiation work?

The procedure runs in two stages. First, a contract notice is published on TED, and any interested supplier may request to participate. The contracting authority carries out a prequalification to assess whether suppliers meet the qualification requirements, and only qualified candidates are invited to submit initial tenders — at least three must be invited to ensure genuine competition.

After receiving initial tenders, the contracting authority negotiates with suppliers to improve their offers. Negotiations may cover price, quality, technical solutions, and contract terms. They can take place in successive rounds, and the number of tenderers may be reduced at each stage. The authority then sets a common deadline for final tenders, which cannot be negotiated further.

When can the procedure be used?

Under Directive 2014/24/EU (Article 26(4)), contracting authorities may use this procedure when:

• The authority's needs cannot be met without adapting readily available solutions
• The procurement includes design or innovative solutions
• The nature, complexity, or risk of the contract makes negotiation necessary
• Technical specifications cannot be drawn up with sufficient precision
• A prior open or restricted procedure produced only irregular or unacceptable tenders

Minimum requirements and award criteria are not subject to negotiation, and all suppliers must be treated equally throughout the process. The minimum time limit for requests to participate is 30 days from dispatch of the notice. Tools like Cobrief help suppliers discover negotiated procedures early, giving them time to prepare thoroughly for the negotiation rounds.

A competitive procedure with negotiation gives contracting authorities the flexibility to optimise tenders through dialogue, making it well suited for complex procurements where needs cannot be fully defined upfront. The procedure balances negotiation flexibility with strict requirements for equal treatment and transparency.