public procurement

Public procurement is the regulated process by which government authorities, including ministries, agencies, municipalities and public bodies, acquire goods, services and works from external suppliers. In Norway alone, public sector purchasing is around NOK 800 billion each year, and across the EU and EEA the market exceeds EUR 2 trillion annually, making the field a significant opportunity for businesses of all sizes.

How is public procurement regulated?

The EU framework is set out in Directive 2014/24/EU on public procurement, transposed into national law by each Member State and EEA country. In Norway, the framework consists of the Public Procurement Act (anskaffelsesloven) setting the principles, and the Public Procurement Regulation (FOA) with detailed rules. Both instruments codify the fundamental principles of competition, equal treatment, transparency and proportionality.

The regulation applies to contracting authorities such as ministries, agencies, municipalities and bodies governed by public law. The rules are structured by contract value, with the threshold value determining which set of rules applies:

• Part I: Common rules above the entry threshold (NOK 100,000, rising to NOK 500,000 from 1 July 2026)
• Part II: National procurement above NOK 1.3 million, requiring publication on Doffin
• Part III: Procurement above the EEA threshold, published EEA-wide on TED

Low-value contracts below the entry threshold can be awarded as a direct award without formal advertising.

Who oversees the field?

In Norway, DFØ (Norwegian Agency for Public and Financial Management) provides guidance, while KOFA handles supplier complaints. Central purchasing bodies like Statens innkjøpssenter coordinate procurement to achieve economies of scale. The same actor types exist in other EU/EEA countries under national names.

Why public procurement matters

• Public sector spending typically accounts for 14 to 20 percent of GDP
• The rules ensure fair competition and prevent corruption when public funds are spent
• Climate and environmental criteria must carry at least 30 percent weight in Norway
• Suppliers of all sizes can participate when they understand the rules

Tools like Cobrief make it easier for both small and large suppliers to discover relevant public tenders and navigate the procurement process from notice to contract award.

Public procurement combines legal frameworks, market scale and societal purpose. For suppliers, the field offers significant opportunities, while contracting authorities aim to balance value for money, fair competition and sustainable use of public funds.