New Concessions Act

New Concessions Act

New Concessions Act

 

          On 16.11.2017, the National Assembly adopted on second reading the Concessions Act, which was promulgated on 01.12.2017. It repeals the current Concessions Act and the Public-Private Partnership Act.

Subject and purpose

          This act governs the public-private partnership where an economic operator carries out construction or provides services after assignment by a public authority through a concession for construction or a concession for services.

          This act also regulates the terms and conditions for assignment of a concession for use of objects, public state or public municipal property.

          The purpose of this act is to ensure:

1. development of quality and accessible infrastructure and services of public interest through partnership between public authorities and economic operators;

2. satisfaction of public needs by including private investments in the construction and in the provision and management of services at the best ratio of quality and price;

3. effectiveness and efficiency in the spending of public funds and funds from the European structural and investment funds and programmes;

4. economic effectiveness in the management of public property in protection of the interest of citizens and society.

          Public authorities may choose whether to assign construction or services through public procurement or a concession, depending on the available funds and the possibilities for transfer of the operational risk to an economic operator.

          When the construction and / or the services are assigned without the transfer of the operational risk to the economic operator, the assignment is made in accordance with the Public Procurement Act.

Principles

          The assignment of a concession is carried out in compliance with the principles of publicity, transparency, proportionality, equal treatment and non-discrimination.

Types of concessions

          The concession is assigned for a fixed period by one or more public authorities to one or more economic operators by a long-term concession contract.

          According to their subject the concessions under this act are:

1. a concession for construction;

2. a concession for services;

3. a concession for use of public state or public municipal property.

          According to the authority that assigns them the concessions are state or municipal.

          When assigned by two or more public authorities the concession is a joint concession. The joint concession may be state - when assigned by two or more ministers, municipal - when assigned by two or more mayors of municipalities and a joint concession with state and municipal participation - in the rest cases.