
The Roundtable convened on February 29th, 2024, at Xheko Imperial Hotel, brought together different stakeholders with the aim to harmonize Albania’s legal framework governing Concessions and Public-Private Partnerships (PPPs) with European Union directives. Jointly organised by the Public Procurement Agency and the European Movement in Albania, the event sought to explore avenues for aligning the Law “On Concessions and PPPs” with the provisions of EU Directive 2014/23/EU, prioritizing transparency, competitiveness, and adherence to international standards.
Gledis Gjipali, Executive Director of European Movement in Albania, in his opening remarks, underscored the pivotal role of the Discussion and Advisory Roundtables in advancing the discourse on European integration, with a particular focus on Cluster 1 – Fundamentals. Gjipali articulated a vision wherein such platforms serve as crucibles for informed dialogue, critical evaluation, and vigilant monitoring—cornerstones of Albania’s transformative journey towards European convergence. Gjipali highlighted the potential of civil society actors’ to proactively engage within the realm of public discourse, and assume the role of scrutineers and advocates of Albania’s integration trajectory and further collaboration with different stakeholders. By championing the inclusion of civil society in discussions related to Concessions and PPPs, Gjipali sought to foster a collaborative environment where diverse perspectives converge to shape Albania’s legislative and institutional frameworks.
Xhoana Ristani, Director of the Directorate of Implementation of Strategic Policies and Integration, Public Procurement Agency, delivered a keynote address that zoomed in on the intricate realm of Concessions and Public-Private Partnerships (PPPs). Recognizing the crucial objective of these mechanisms in fostering economic development and infrastructure enhancement, Ristani’s address elucidated the imperatives underpinning Albania’s commitment to fortify its legislative structure vis-à-vis public procurement, and aligning its Concession and PPP frameworks with the exacting standards delineated by the European Union. She highlighted the imperative of transparency in concession award processes, the efficacy of robust oversight mechanisms in PPP projects, and the imperative of fostering an enabling environment for private sector participation—few imperatives aimed at fostering a procurement landscape that resonates with the European integration context.
Besard Buzi, Director at the Directorate of Concessions Planning and Promotion, Concessions Treatment Agency, delivered a comprehensive overview of the proposed amendments to the Law “On Concessions and PPPs.” He emphasized that Law No. 125/2013 “On Concessions and Public-Private Partnerships,” along with its sub-legal acts, is only partially aligned with EU law. Buzi elaborated on the findings of a legal gap analysis (LGA) conducted by SIGMA in collaboration with the Public Procurement Agency and the Concessions Treatment Agency. The analysis revealed that while certain provisions of the law are in partial alignment with Directive 2014/23/EU, others fall short. Among the partially aligned provisions are the definition of contracting authorities and entities (Article 13), main principles (Article 9), operational risks in works/services concession definition (Article 3(5)), exemptions (Article 5), duration of the concession contract (Article 30), measures against corruption and conflict of interest (Article 18), and subcontracting (Article 34). Buzi also highlighted areas where alignment is lacking, including certain definitions, concessions value estimation, exemptions related to renewable energy sources, concessions for social and other services, communication with applicants, and modification and termination of contracts. Moreover, he pointed out the procedures and associated time-limits for bid submission as outlined in Law 125/2013, emphasizing the requirement for publishing concession contract notices in the Public Procurement Bulletin and electronic platforms. In addition to discussing the legal framework, Buzi addressed the institutional framework, emphasizing key institutions responsible for the treatment and monitoring of Concessions and PPPs.
Lubomir Kubicka, Board Member of the Public Procurement Office in Slovakia, provided an overview of the office’s functions and its role in overseeing public procurement activities. He highlighted that the Public Procurement Office is responsible for supervising compliance with the Public Procurement Act, and monitoring procedures for contracts financed by EU funds, particularly within the Operational Program Slovakia for the period 2021-2027. This monitoring includes both preliminary checks before procurement procedures are initiated (mandatory for above-threshold contracts and voluntary for certain below-threshold contracts for works) and post-contract checks based on risk analyses conducted by the Managing Authority. In addition, Kubicka explained the procedures for various levels of public procurement in Slovakia. For below-threshold contracts, there are two procedures: simplified – which is automated and typically takes one week to complete, and standard – involving publishing a call for tenders in the National Public Procurement Journal and using the state Electronic Platform for the procurement process. Financial limits for these contracts vary based on the type of procurement. Furthermore, Kubicka noted that an upcoming amendment to the Public Procurement Act aims to consolidate below-threshold contracts with low-value contracts into a single national procedure, streamlining the procurement process. In case of Public-Private Partnership (PPP) agreements, the Private Party is entitled to collect tariffs or fees from infrastructure project users as outlined in the agreement to recoup investment and operating expenses. Various PPP arrangements, such as Build-Own-Operate-and-Transfer (BOOT) and Build-Own-and-Operate (BOO), allow for private sector efficiencies and new infrastructure capital sources. Despite PPP types not being explicitly named in applicable laws, they fall under public procurement and sectoral regulation purview. Kubicka further highlighted that Concessions, including PPPs, are crucial in Europe and Slovakia but lacked clear rules until the 2014 Directive on the Award of Concession Contracts. This directive aimed to provide legal certainty, foster market functioning, and eliminate obstacles to service provision. For instance, renovations in public buildings, such as boiler replacement or insulation, offer potential for modernization and eco-friendly updates without public funding. In the end of his speech, Kubicka’s discourse underscored the indispensability of robust legal frameworks, transparent processes, and accountable governance structures in fostering investor confidence and catalyzing sustainable growth, particularly in the context of Albania’s aspirations to join the European Union.
The interactive segment of the roundtable provided a dynamic forum for participants to engage in deliberations, pose queries, and share perspectives on the proposed revisions and European experiences. Dialogues encompassed diverse themes, including the practical implications of the proposed amendments, mechanisms for stakeholder involvement, and strategies for effective implementation and enforcement.
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The Discussion and Advisory Roundtable for Chapter 5 is organised pursuant to Prime Minister’s Order no. 113, dated 30.08.2019 “On the forms of participation, functioning and institutional structure of the Partnership Platform for European Integration.”
This activity takes place within the framework of the “Building Partnership on Fundamentals: Empowering CSOs for the EU accession process” project, with the financial support of the European Union – IPA Civil Society Facility 2021, which is implemented by the European Movement in Albania and in cooperation with the Academy of European Integration and Negotiations (AIEN), Slovak Foreign Policy Association (SFPA) and the Center for Transparency and Free Information (CTFI).