Overview
This regulation sets out the rules that apply to competitive dialogue procurement procedures, including the rules in relation to minimum timescales for requests to participate.
A contracting authority may only award a contract following the competitive dialogue procedure on the basis of the best price-quality ratio.
The authority may discuss all aspects of the procurement with the chosen suppliers during the dialogue but must ensure that suppliers are treated equally.
The regulation also states that a competitive dialogue procedure may take place in successive stages in order to reduce the number of solutions to be discussed.
Before assessing the final tenders, the contracting authority may request a supplier to clarify, specify and / or optimise its final tender, subject to certain conditions.
Once the contracting authority has identified the tenderer who submitted the final tender with the best price-quality ratio, then the contracting authority may request negotiations with the successful supplier to confirm financial commitments or other terms contained in the successful supplier’s final tender by finalising the terms of the contract, again subject to certain conditions.
Objective at this commercial stage
Determine whether the competitive dialogue procedure is an appropriate procurement approach; by reference to the nature of the contract, its complexity and anticipated number of bidders.
Key considerations at this commercial stage
Contracting authorities should:
- consider whether to limit the number of suitable suppliers invited to the dialogue stage, in accordance with regulation 65 PCR 2015 (reduction of the number of otherwise qualified candidates to be invited to participate), which requires the minimum number of shortlisted participants to be no less than three
- ensure that the evaluation strategy will lead to the award of the contract on the basis of the best price-quality ratio, in accordance with regulation 67 PCR 2015 (contract award criteria)
- consider whether it is proportionate and relevant to conduct a competitive dialogue procedure in successive stages in order to reduce the number of solutions to be discussed during the dialogue stage, by applying the award criteria specified in the contract notice or the procurement documents.
Legal framework
See also in the Procurement Act 2023:
- Section 20: Competitive tendering procedures
- Section 54: Time limits
Additional support and guidance
Make sure you:
- read the regulation
- seek legal and commercial advice in the context of specific procurements