Reg. 31 (PCR 2015)

Innovation partnership

In: Manage > Receive goods, services and issue payments

Overview

This regulation sets out the rules which apply to innovation partnership procurement procedures.

An innovation partnership procedure must aim at the development of an innovative product, service or works and the subsequent purchase of the resulting supplies, services or works, provided that they correspond to the performance levels and maximum costs agreed between the contracting authority and the participating suppliers.

An innovation partnership procedure must be structured in successive phases following the sequence of steps in the research and innovation process.

The regulation requires a contracting authority to negotiate with suppliers on their initial, and all subsequent, tenders submitted by them, except for the final tender, to improve their content.

The contracting authority must ensure that the structure of the partnership and, in particular, the duration and value of the different phases reflect the degree of innovation of the proposed solution and the sequence of the research and innovation activities required for the development of an innovative solution not yet available on the market.

Objective at this commercial stage

Identify intermediate targets to be attained by the suppliers and provide for payment against those targets in appropriate instalments.

Key considerations at this commercial stage

Contracting authorities should:

  • set intermediate targets to be attained by the suppliers and provide for payment of the remuneration in appropriate instalments.

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