RESTRICTEDWORLD TRADE
ORGANIZATIONWT/ACC/ALB/42
2 July 1999
(99-2735)
Working Party on the
Accession of AlbaniaOriginal:  English
ACCESSION OF ALBANIA
Memorandum on Compliance with the Agreement on Government Procurement
The Ministry of Economic Co-operation and Trade of the Republic of Albania has submitted
additional information on the Memorandum on Schedule for the Acceptance of Sectoral initiatives,with the request that it be circulated to members of the Working Party.
_______________WT/ACC/ALB/42
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Article I
Scope and Coverage
1 This Agreement applies to any law, regulation, procedure or practice
regarding any procurement by entities as specified in Appendix I.
2.  This Agreement applies to procurement by any contractual means,
including through such methods as purchase or as lease, rental or hirepurchase, with or without an option to buy, including any combination of
products and services.
3. Where entities, in the context of procurement covered under this
Agreement, require enterprises not included in Appendix I to award contractsin accordance with particular requirements, Article III shall apply mutatis
mutandis to such requirements.
4. This Agreement applies to any procurement contract of a value of not less
than the relevant threshold specified in Appendix 1.Article 1 of the Albanian Law on Government Procurement is the
primary legal text for the purpose of this Law. The procedure of
procurement is to promote economic efficiency in the use of
public funds by procuring entities by ensuring that public
procurement procedures are fair, transparent and
non-discriminatoryArticle 2 of the Albanian La w on Government Procurement
provides for “procurement regulations”, and details the competent
authority under this Law; “procurement entity”, which means any
organ of the State or regional and local authorities as well as any
other juridical person to whom public funds have been allocated
for use in public procurement; and “procurement”  means the
purchasing, hiring or obtaining by any other contractual means ofgoods, construction and services.
Article 3 of the Albanian La w on Government Procurement
provides for the scope of application. This Law applies to public
procurement, expect the cases where the Council of Ministers, for
reasons of national security or national defense, may define
another procedure for public procurement of goods, construction
or services.
Article 4 of the Albanian La w on Government Procurement
provides for international obliga tions. To extent that this Law
conflicts with an obligation of the State under or the arising out of
the agreement with one or more other states or with an
international organization, the provisions of that agreement shallprevail; but in all other respects, public procurement shall be
governed by this Law.
Article 5 (1) of the Albanian Law on Government Procurementauthorizes the Council of Ministers to promulgate procurement
regulations to fulfill the objectives and to carry out the provisions
of this Law.WT/ACC/ALB/42
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Article 6 of the Albanian La w on Government Procurement
provides for public accessibility of legal texts. This Law, the
procurement regulations and all instructions of the Agency shall
be promptly made accessible to the public and systematically
maintained.
Article 7 of the Albanian La w on Government Procurement
provides for responsibility of the procuring entity.
1. The procuring entity is responsible for procurement with public
funds at its disposal subject to the provisions of this Law and to
any such further condition as may be made known in theprocurement regulations and the institutions of the Agency.
2. With respect to contracts above thresholds stated in theprocurement regulations, the procuring entity shall submit to the
higher central or local authority or to the Council of Ministers for
prior review and approval, before a contract is awarded orconcluded, a summary report containing:
(a) a justification for the choice of procurement procedure, if
other than open tendering;
(b) the evaluation of  tenders of proposals received; and
(c) the proposal award or conclusion of contract.
3. Procuring entities must make records and documents regarding
their public procurement available for inspection by the Agency
and must submit reports regarding their procurement activities in
such detail and at such intervals as the Agency may require.
Article 8 of the Albanian La w on Government Procurement
provides for Public Procurement Agency.
1. The Public Procurement Agency  reports to the Council ofMinisters and is the central organ for co-ordination and perfection
of the public procurement process.
2.  In the performance of its tasks, the Agency:WT/ACC/ALB/42
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(a) submits proposals for procurement regulations to the
Council of Ministers;
(b) promotes and supports training of central and local
government officials engaged in public procurement
(c) edits and issues a Public Procurement Bulletin to be usedfor invitations to tender and other announcements relevant to
public procurement;
(d) prepares standard documents to be used in connection with
public procurement;
(e) gives instructions, and, or request, advice and assistance to
procuring entities in undertaking procurement;
(f) presents an annual report to the Council of Ministers
regarding the overall functioning of the public procurement
system
(g) inspects the records of procuring entities to the extent it
deems appropriate in order to check on the proper application of
this Law by them;
(h) performs administrative review of complaints as foreseen
in Chapter VIII;
(i) cooperates with international institutions and with other
foreign entities on matters associated with the public procurement
system; and
(j) plants and coordinates foreign technical assistance to
Albania in the field of public procurement.
3. The Director of the Agency is appointed and dismissed by thePrime Minister.
4. The Prime Minister also appoints an inter-disciplinaryconsultative board, composed of representatives from major
procuring entities at the central and local government levels, to
give advise and comments on the overall functioning of the public
procurement system in Albania and on proposals to be submitted
by the Agency for consideration by the Council of Ministers.WT/ACC/ALB/42
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Article II
Valuation of Contracts
1.  The following provisions shall apply in determining the value of
contracts.
2.  Valuation shall take into account all forms of remuneration, including any
premiums, fees, commissions and interest receivable.3.  The selection of the valuation method by the entity shall not be used, nor
shall  any procurement requirement be divided, with the intention of avoiding
the application of this Agreement.Article 26 of the Albanian Law on Government Procurement
provides for tender documents. The tender documents shall
contain sufficient information to enable competition among the
tenderers to take place on the basis of complete, neutral and
objective terms. In particular, tender documents must include:
(a) instructions for the preparation and submission of tenders;(b) information on the final date for receipt of tenders, the address
to which tenders must be sent, the date, hour and place of such
opening, as well as an announcement that tenderers’
representatives are allowed to attend the opening;
4.  If an individual requirement for a procurement results in the award of onemore than one contract, or in contracts being awarded in separate parts, the
basis for valuation shall be either:(c) forms of tender and, where applicable, forms of tender
security to be provided;
(d) the number of copies to be submitted with the original tender;
(a) the actual value of similar recurring contracts concluded over theprevious fiscal year or 12 months adjusted, where possible, for anticipatedchanges in quantity and value over the subsequent 12 months; or
(b) the estimated value of recurring contracts in the fiscal year or 12
months subsequent to the initial contract.(e) conditions of contract, general and special; for construction
contracts may be foreseen even the supervision and taking over ofthem;
(f) specification of requirements, including time limit for delivery
or completion, as appropriate;
5.  In cases of contracts for the lease, rental or hire purchase of products orservices, or in the case of contracts which do not specify a total price, the
basis for valuation shall be:
(a) in the case of fixed-term contracts, where their term is 12 months or
less, the total contract value for their duration, or, where their term exceeds
12 months, their total value including the estimated residual value;(b) in the case of contracts for an indefinite period, the monthly
instalment multiplied by 48.
If their is any doubt, the second basis for valuation, namely (b), is to be used.(g) evidence to be provided by the tenderer to demonstrate its
qualifications as well as its standing with regards to fiscal and
social security obligations;
(h) the period during which the tender must remain valid;
(i) the criteria for evaluation of tenders and award of the contract;
and(j) a reservation to the effect that the procuring entity may reject
all tenders at any time prior to the acceptance of a tender.WT/ACC/ALB/42
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6.  In cases where an intended procurement specifies the need for option
clauses, the basis for valuation shall be the total value of the maximum
permissible procurement, inclusive of optional purchases.(Article 4 of Albanian Law on Government Procurement provides
for   international obligations. To extent that this Law conflicts
with an obligation of the State under or arising out of an
agreement with one or more other states or with an international
organization, the provisions of that agreement shall prevail; but in
all other respects, public procurement shall be governed by thisLaw.
Decision of the Council of Ministers “Standard Bidding
Documents” No. 12, dated 01/01/1996.
E. Notification and Award of Contract
21. Award: The purchaser will award the contract to the
successful bidder whose bid has been determined to be
substantially responsive and which has scored the highest number
of points.
22. Notification of  award: Prior to the expiration of the period of
bid validity, the purchaser will notify the successful Bidder in
writing. The successful bidder will send the Contract Form signed
to the Purchaser or inform in writing about his refusal to sign the
contract within the date specified in the notification of award.
Decision of Council of Ministers “General Conditions of
Contracts (for work) within the Standard Bidding Documents”,
No. 12, dated 01/01/1996.
Paragraph 18 discuss tax obligations, in sections 18.1 and 18.218.  Tax
18.1 The Contractor is obliged to pay all tax duties in accordancewith Albanian laws.
18.2 The Contractor shall include in the Contract Price all taxes
and duties governing 28 days before the bid opening date. No
other additional payment shall be done by the Procuring Entity.WT/ACC/ALB/42
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Article IV
Rules of Origins
1. A Party shall not apply rules of origin to products or services imported or
supplied for purposes of government procurement covered by this
Agreement from other Parties, which are different from the rules of origin
applied in the normal course of trade and at the time of the transaction inquestion to imports or supplies of the same products or services from the
same Parties.
2. Following the conclusion of the work program for the harmonization of
rules of origin for goods to be undertaken under the Agreement on Rules of
Origin in Annex 1A of the Agreement Establishing the World Trade
Organization (hereinafter referred to as “WTO Agreement”) and negotiations
regarding trade in services,  Parties shall take the results of that workprogram and those negotiations into account in amending paragraph 1 as
appropriate.Article 14, Paragraph 4, of the Albanian Law on Government
Procurement states the following: there shall be no requirement or
reference in the technical specifications to a particular trademark
or name, patent, design or type, specific origin, producer or
service provider, unless there is no sufficiently precise or
intelligible way of describing the procurement requirements andprovided that words such as “or equivalent” are included in the
specifications.
An exception applies in Article 3 which states that there may be
cases where the Council of Ministers may define another
procedure for public procurement of goods, construction or
services for reasons of national security or national defense.
Article VSpecial and Different Treatment for Developing Countries and all sub - textsThere is nothing in the Albanian Law on Government
Procurement or in any Decision of the Council of Ministers,
related to special and different treatment for developing country.
Article VITechnical Specifications1. Technical  specifications laying down the characteristics of the products or
services to be procured, such as quality, performance, safety and dimensions,
symbols, terminology, packaging, marking and labeling, or the processes and
methods for their production and requirements relating to conformity
assessment procedures prescribed by procuring entities, shall not beprepared, adopted or applied with a view to, or with the effect of, creating
unnecessary obstacles to international trade.Article  14, of the Albanian La w on Government Procurement
provides for technical specifications.1. Technical specifications laying down the characteristics of the
goods, construction or services to be procured shall be prepared
for 
the purpose of giving a correct and complete description
of the object of procurement and for the purpose of creatingconditions of  fair and open competition between allcandidates.WT/ACC/ALB/42
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2. Technical specifications prescribed by procuring entities shall, where
appropriate:
(a) be in terms of performance rather than design or descriptive
characteristics;
and
(b) be based on international standards, where such exist; otherwise, onnational technical regulations.2. The technical specifications shall clearly describe the procuring
entity’s requirements with respect to quality, performance, safety
and dimensions, symbol, terminology, packaging, marking and
labeling or the processes and methods for their production and
requirements relating to conformity assessment procedures.
3. Technical specifications prescribed by procuring entities shall,where appropriate:
3. There shall be no requirement or reference to a particular trademark or
trade name, patent, design or type, specific origin, producer or supplier,
unless there is no sufficiently precise or intelligible way of describing theprocurement requirements and provided that words such as “or equivalent”
are included in the tender documentation.(a) be in terms of performance rather than design or descriptive
characteristics; and
(b) be based on international standards, where such exists, orotherwise recognized national standards or building codes.
4. Entities shall not seek or accept, in a manner which would have the effectof precluding competition, advice which may be used in the preparation ofspecifications for a specific procurement from a firm that may have a
commercial interest in the procurement.4. There shall be no requirement or reference in the technical
specifications to a  particular trademark or name, patent, design ortype, specific origin, producer or service provider, unless there is
no sufficiently precise or intelligible way of describing the
procurement requirements and provided that words such as “or
equivalent” are included in the specifications.
Article VII
1. Each Party shall ensure that the tendering procedures of its entities are
applied in a non-discriminatory manner and are consistent with the
provisions contained in Articles VII through XVI.
2. Entities shall not provide to any supplier information with regard to a
specific procurement in a manner which would have the effect of precludingcompetition.CHAPTER IV CHOICE OF PROCUREMENT PROCEDURE
Article 17 of the Albanian Law on Government Procurement
provides for procurement procedures.
1. Except as otherwise provided in this Chapter, the procuring
entity
shall use open tendering as the preferred procedure ofprocurement.
3. For the purposes of this Agreement:(a) Open tendering procedures are those procedures under which allinterested suppliers may submit a tender.2. A procuring entity may use a procedure other than open
tenderingonly pursuant to the following Articles 19, 20, 21, 22 and 23.WT/ACC/ALB/42
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(b) Selective tendering procedures are those procedures under which,
consistent with paragraph 3 of Article X and other relevant provisions of this
Agreement, those suppliers invited to do so by the entity may submit a
tender.
(c) Limited tendering procedures are those procedures where the entity
contacts suppliers individually, only under the conditions specified inArticle XV.3. Exceptionally, in special cases or forced major, the Council of
Ministers may permit the use of a procedure other than open
tendering in situations not foreseen in Articles 19,20,21,22 and
23.
4. A procuring entity shall plan its procurement in a rational
manner,
and no procurement requirements for a given quantity of goods,construction or services shall be split up with the intention of
avoiding a procurement procedure stated in this Law or in the
procurement regulations.
Article 18 of the Albanian Law on Government Procurementprovides for conditions for use of restricted tendering. The
procuring entity may engage in procurement by means of
restricted tendering in accordance with Article 36, when:
(a) the goods, construction or services are available only froma limited number of suppliers; and
(b) the estimated value of the contract does not exceed a
threshold set out in the procurement regulations.
Article 19 of the Albanian Law on Government Procurementprovides for conditions for use of direct procurement.
1. The procuring entity may use direct procurement in accordance
with Article 37 if this method is neither resorted to with a view to
avoiding possible competition or in a manner which would
constitute a means of discrimination among candidates:WT/ACC/ALB/42
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(a) when in the absence of competition for technical reasons
the goods, construction or services can be supplied or provided
only by one candidate;
(b) within limits defined in the procurement regulations, for
additional deliveries by the original supplier which are intended
either as  replacement parts for existing supplies, services, or
installations, or as the extension of existing supplies, services, or
installations where a change of supplier would compel the
procuring entity to procure equipment or services not meetingrequirements of interchangeability with already existing
equipment or services;
(c) within limits defined in the procurement regulations, whenadditional construction services, which were not included in the
initial contract have, through enforceable circumstances, becomenecessary since the separation of the additional construction
services from the initial contract would be difficult for technical
or economic reasons;
(d) within limits defined in the procurement regulations, for newconstruction services consisting of the repetition of similarconstruction services which conform to a  basic project for which
an initial contract was awarded on the basis of open or restricted
tendering;
(e) for continuation of consulting services, where the originalcontract has been satisfactorily performed and the continuation islikely to lead to a  gain in economic efficiency;
(f) for the purchase of perishable commodities such as fresh
fruits, vegetables or other similar items which are purchased on
market terms;WT/ACC/ALB/42
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(g) for purchases of goods made under exceptionally
advantageous conditions which only arise in the very short term.
This provision is intended to cover unusual disposals by firms
which are not normally suppliers. It is not intended to cover
routine purchases from regular suppliers;
(h) for the continuation of the design services that are related withservices previously performed, which would violate the author’s
right if they would be given to another subject.
2. The procuring entity may also use direct procurement for small
value purchases of readily available goods when the contractprice does not exceed an amount stated in the procurement
regulations.
Article 20 of the Albanian Law on Government Procurementprovides for conditions for use of two-stage tendering. The
procuring entity may engage in procurement by means oftwo-stage tendering in accordance with the Article 38, in the case
of large or complex contracts for goods or constructions, for
which open or restricted tendering is not suitable because of the
difficulty in defining precisely the goods or constructions, by
requesting:
(a) in a first stage, tenders without prices with full technical
information as to various possible means of meetings its
objectives, after which,
(b) in a second stage, priced tenders on the basis of technical
specifications and other data chosen on the basis of the first stage.
Article 21 of the Albanian Law on Government Procurement
provides for conditions for use for proposals. The procuring entity
may engage in procurement by means of request for proposals in
accordance with Article 39 when it seeks to obtain consulting
services or other services for which tendering is not suitable
because of the difficulty in defining precisely the services.WT/ACC/ALB/42
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Article 22 of the Albanian Law on Government Procurement
provides for conditions for use of request for quotations. The
procuring entity may engage in procurement by means of request,
for quotations in accordance with Article 40 for the purchase of
readily available goods or for procurement of construction or
services, for which there is an established market, so long as theestimated value of the contract does not exceed an amount stated
in the procurement regulations.
Article 36 of the Albanian Law on Government Procurement
provides for a restricted tendering procedure. Restricted tenderingprocedures are the same as those applied in open tendering,
except that:
(a) the invitation to tender is addressed to a limited number ofqualified candidates - for the purpose of obtaining not less than
three tenders - which have declared an interest in submittingtenders. The selection should be made in a non-discriminatory
manner, and the number of candidates invited should be, if
possible, sufficient to ensure effective competition;
(b) procuring entities maintaining updated lists of qualifiedsuppliers may select candidates to be invited to tender fromamong those listed. Any selection shall allow for equitable
opportunities for suppliers on the list;
(c) the time allowed for preparation of tenders shall not be less
than a minimum number of days stated in the procurement
regulations; and
(d) the procuring entity may decide, depending on the
circumstances, if tender security will have to be submitted or not.
Article 37 of the Albanian Law on Government Procurement
provides for direct procurement procedures.WT/ACC/ALB/42
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1. When the procuring entity engages in direct procurement
according to Article 19 (1), it shall prepare a description of its
needs and any special requirements as to quality, quantity, terms
and time of delivery, and shall be free to negotiate with the sole
candidate. Any agreement reached by procurement according to
Article 19 (1) shall be confirmed by a contract signed by bothparties.
2. Direct procurement according to article 19 (2) requires no
contract or other documents.
Article 38 of the Albanian Law on Government Procurementprovides for two-stage tendering procedure.
1.When the procuring entity engages in two-stage tendering, itshall select candidates on the basis of pre-qualification
proceedings according to Article 13.
2. In the first stage, the procuring entity shall invite
pre-qualified candidates to submit tenders without price but may
include information about the technical performance, quality or
other characteristics of the goods or construction that they
consider best suited to meet the procuring entity’s objectives. In
this stage, the procuring entity may engage in negotiations withany  candidate concerning any aspect of its tender.
3. In the second stage, the procuring entity shall invite final,priced tenders on the basis of final technical specifications from
candidates which have presented satisfactory tenders in the first
stage.4. For award of a contract based on tenders submitted in the
second stage, the provisions of Chapter V shall apply.
Article 39 of the Albanian Law on Government Procurementprovides for proposals procedure.
1. Request for proposals shall be addressed to not less than
three, not more than seven candidates selected by the procuring
entity.WT/ACC/ALB/42
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2. A request for proposals shall contain at least the following
information:
(a) name and address of the procuring entity;
(b) a description of the services required, normally through
terms of reference;
(c) in case of constancy  assignments which may involvepotential conflict of interest, a reminder that candidates for such a
assignment must exclude themselves from procurement of goods
and construction which may follow as a result of, or in relation to,
the assignment;(d) the criteria for evaluation the proposals, the relative weight
to be given to price and other criteria, and the manner in which
they will be applied in the evaluation of proposals; and
(e) place and deadline for the submission of proposals; and3. The procuring entity may negotiate with candidates withrespect to the content of their proposals and may seek or permit
revision thereof.
4. Any award by the procuring entity shall be made to thecandidate
whose proposal is most advantageous, determined in accordancewith the criteria and procedures for evaluating proposals set forth
in the request for proposals.
Article 40 of the Albanian Law on Government Procurementprovides for request for quotations procedure.
1. The procuring entity shall request quotations from as manycandidates as practicable, but from at least three.WT/ACC/ALB/42
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2. The request shall contain a clear description of the
requirements of the procuring entity as to quality, quantity, terms
and time of delivery as well as other special requirements.
3. Any award by the procuring entity shall be placed with the
candidate who meets the requirements of the procuring entity
stipulated in paragraph (2) and who quotes the lowest price.4. The procuring entity shall place a contract with successful
candidate.
CHAPTER VII. INTERNATIONAL PROCEDURES
Article 41 of the Albanian Law on Government Procurement
provides for open international tendering.
1. The procuring entity shall use open international tenderingwhenever in open tendering an effective competition cannot be
obtained unless foreign firms are invited to tender.2. Open international tendering shall respect the provisions of
Chapter V as well as the following provisions:
(a) The invitation to tender and the tender documents shall bein Albanian language and in a language generally used in
international trade.(b) The invitation to tender shall be advertised in a newspaper
using the same foreign language as the invitation and being of
sufficient circulation to attract foreign competition.
(c) The deadline for submission of tenders, stated in theprocurement regulations, shall be sufficient for the invitation toreach candidates and for enabling them to prepare and submit
tenders.
(d) Technical specifications shall, to the extent compatible
with national requirements, be based on international standards or
standards widely used in international trade.WT/ACC/ALB/42
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(e) Candidates shall be permitted to express their tenders, as
well as any security documents to be present by them, in their
respective home currencies, or in a currency widely used in
international trade and stated in the tender documents.
(f) General and special conditions of contract shall be a kind
generally used in international trade.
Article VIIIQualification of Suppliers
In the process of qualifying suppliers, entities shall not discriminate amongsuppliers of other Parties or between domestic suppliers and suppliers of
other Parties. Qualification procedures shall be consistent with the followingArticle  12 of the Albanian Law on Government Procurement
provides for qualification of candidates.
1. In order to participate in public procurement, candidates mustqualify by meeting the following criteria as the procuring entity
considers appropriate under  the circumstances:
(a) any conditions for participation in tendering procedures shall be
published in adequate time to enable interested suppliers to initiate and, to
the extent that it is compatible with efficient operation of the procurement
process, complete the qualification procedures;(a) that they possess the necessary professional, technical and
organizational capacity, personnel, financial resources, machinery
and other physical facilities, reputation and reliability to perform
the contract;
(b) any conditions for participation in tendering procedures shall be limitedto those which are essential to ensure the firm’s capability to fulfill the
contract in question. Any conditions for participation required from
suppliers, including financial guarantees, technical qualifications and
information necessary for establishing the financial, commercial and
technical capacity of suppliers, as well as the verification of qualifications,shall be no less favorable to suppliers of other Parties than to domestic
suppliers and shall not discriminate among suppliers of other Parties. The
financial, commercial and technical capacity of a supplier shall be judged on
the basis both of that supplier’s global business activity as well as of its
activity in the territory of the procuring entity, taking due account of the legalrelationship between the supply organizations;(b) that they shall have previously performed similar contracts in
compliance with they stated in procurement regulations;
(c) that those have the legal capacity to  enter into the contract;
(d) that they are not insolvent, in receivership, bankruptcy or
being wound up, their business activities have not been
suspended, and they are not subject of legal proceedings for anyof the foregoing;
(e) that they have fulfilled their obligations to pay taxes and social
security contributions. Documentary evidence to be provided by a
foreign candidate to demonstrate that it meets the criterion in this
paragraph may consist of a written declaration to that effect bythe candidate.WT/ACC/ALB/42
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(c) the process of, and the time required for, qualifying suppliers shall not be
used in order to keep suppliers of other Parties off a suppliers' list or from
being considered for a particular intended procurement. Entities shall
recognize as qualified suppliers such domestic suppliers or suppliers of other
Parties who meet the conditions for participation in a particular intended
procurement. Suppliers requesting to participate in a particular intendedprocurement who may not yet be qualified shall be considered, provided
there is a sufficient time to complete the qualification procedure;2. The procuring entity may require candidates to provide such
appropriate documentary evidence or other information as it may
deem useful to satisfy itself that the candidates are qualified in
accordance with the criteria referred to in  paragraph 1.
3. Any requirement established pursuant to this Article shall be
set forth in the pre-qualification documents, if  any, and in thetender documents or other documents for solicitation of
proposals, and shall apply equally to all candidates.
(d) entities maintaining permanent lists of qualified suppliers shall ensure
that suppliers may apply for qualification at any time; and that all qualifiedsuppliers so requesting are included in the lists within a reasonably short
time;4. The procuring entity shall evaluate the qualifications of
candidates in accordance with the criteria and procedures set forthin the documents referred to in paragraph (3).
(e) if, after publication of the notice under paragraph (1) of Article IX, a
supplier not yet qualified requests to participate in an intended procurement,
the entity shall promptly start procedures for qualification;5. The procuring entity shall disqualify a candidate who submits a
document containing false information for purposes of
qualification. In such case the procuring entity can propose to thePublic Procurement Agency that the candidate be expulsed from
all public procurement for a period up to one year. If the Public
Procurement Agency shall approve this proposal, this shall be
published in the Public Procurement Bulletin.
(f)  any supplier having requested to become a qualified supplier shall be
advised by the entities concerned of the decision in this regard. Qualified
suppliers included on permanent lists by entities shall also be notified of the
termination of any such lists or of their removal from them;6. The procuring entity has the right to disqualify a candidate, if
it, at any time up to the signing of the contract will find out that
the information submitted related to the qualification or other data
presented by and for the candidate are inaccurate or incomplete.
(g) each Party shall ensure that:(i) each entity and its constituent parts follow a single qualificationprocedure, except in cases of duly substantiated need for a different
procedure; andArticle 15 of the Albanian Law on Government Procurement
provides for rejection of all tenders, proposals or quotations.WT/ACC/ALB/42
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(ii) efforts be made to minimize differences in qualification procedures
between entities.
(h)  nothing in sub paragraphs (a) through (g) shall preclude the exclusion of
any supplier on grounds such as bankruptcy or false declarations, provided
that such an action is consistent with the national treatment and non-
discrimination provision of this Agreement.1. If so specified in the tender documents or in the request for
proposal or quotations, and provided rejection can be justified on
sound economic grounds, the procuring entity may reject all
tenders, proposals or quotations at any time prior to their
acceptance. The procuring entity shall upon request communicate
to any candidate the grounds for its rejection, but is not requiredto justify those grounds.
2. The procuring entity shall incur no liability towards candidates
solely by virtue of its invoking paragraph (1) of this Article.
3. Notice of the rejection shall be given promptly to allparticipating candidates.
4. If the decision to reject all tenders, proposals and quotations istaken before the closing date, all tenders proposals and quotations
received shall be returned unopened to the tenderers submitting
them.
Article 16 of the Albanian Law on Government Procurement
provides for inducements from candidates. The procuring entity
shall reject a tender, proposal or quotation if the candidate that
submitted it gives or promises to give, directly or indirectly, to
any current or former officer to employee of the procuring entityor other governmental authority a gratuity in any form, an
employment or any other thing or service of value, as an
inducement with respect to an act or decision of, or procedure
followed by, the procuring entity in connection with the
procurement proceedings. Such rejection and the reasonstherefore shall be recorded in the record of the procurement
proceedings and promptly communicated officially to the
candidate concerned.WT/ACC/ALB/42
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Article IX
Invitation to Participate Regarding Intended Procurement
1. In accordance with paragraphs 2 and 3, entities shall publish an invitation
to participate for all cases of intended procurement, except as otherwise
provided for in Article XV (limited tendering). The notice shall be publishedin the appropriate publication listed in Appendix II.Article 24 of the Albanian Law on Government Procurement
provides for invitation to tender. The invitation to tender shall
contain, as a minimum, the following:
(a) the name and address of the procuring entity;
2. The invitation to participate may take the form of a notice of proposed
procurement, as provided for in paragraph 6.
3. Entities in Annexes 2 and 3 may use a notice of planned procurement, asprovided for in paragraph 7, of a notice regarding a qualification system, as
provided for in paragraph 9, as an invitation to participate.(b) a brief description of the goods, construction or services to
be obtained, including desired time limit for delivery or
completion;(c) the means and conditions for obtaining the tender
documents and the place from which they may be obtained;
(d) the place and deadline for the submission of tenders; and
4. Entities which use a notice of planned procurement as an invitation toparticipate.5. Entities which use a notice regarding a qualification system as an
invitation to participate shall provide, subject to the considerations referred
to in paragraph 4 of article XVIII and in a timely manner, information which
allows all those who have expressed an interest to have a meaningful
opportunity to assess their interest in pa rticipating in the procurement.  This
information shall include the informati on contained in the notices referred to
in paragraphs 6 and 8, to the extent such information is available.
Information provided to one interested supplier shall be provided in a non-
discriminatory manner to the other interested suppliers.(e) the place and time for opening of tenders, along with an
announcement that tenderers representatives are allowed to attendthe opening of tenders.
6. Each notice of proposed procurement, referred to in paragraph 2, shallcontain the following information:
(a) the nature and quantity, including any options for further procurement
and, if possible, an estimate of the timing when such options may be
exercised; in the case of recurring contacts the nature and quantity and, if
possible, an estimate of the timing of the subsequent tender notices for the
products or services to be procured;Article 25 of the Albanian Law on Government Procurement
provides for advertisements.
1. In addition to any publication in the Public Procurement
Bulletin, invitations to tender shall be advertised in at least two
national newspapers of general circulation.WT/ACC/ALB/42
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(b) whether the procedure is open or selective or will involve negotiation;
(c) any date for starting delivery or completion of delivery of goods or
services,
(d) the address and final date for submitting an application to be invited to
tender or for qualifying for the suppliers' lists, or for receiving tenders, as
well as the language or languages in which they must be submitted;2. The time allowed for preparation of tenders shall not be
less than a minimum number of days stated in the procurement
regulations.
(e) the address of the entity awarding the contract and providing any
information necessary for obtaining specifications and other documents;
(f) any economic and technical requirements, financial guarantees and
information required from suppliers;Decision of the Council of Ministers “On the Rules of Public
Procurement”, No. 12 dated 01/01/1996.
Paragraph 9 read as follows:
(g) the amount and terms of payment of any sum payable for the tenderdocumentation, and
(h) whether the entity is inviting offers for purchase lease, rental or hire
purchase, or more than one of these methods.All the procuring entities should send the invitation to tender for
all open tenders to the Public Procurement Agency at the Council
of Ministers, not later than 10 days before tender announcement.
7. Each notice of planned procurement referred to in paragraph 3 shallcontain as much of the information referred to in paragraph 6 as is available.
It shall in any case include the information referred to in paragraph 8 and:
(a) a statement that interested suppliers should express their interest in theprocurement to the entity;
(b) a contact point with the entity from which further information may beobtained.
8. For each case of intended procurement, the entity shall publish a summarynotice in one of the official languages of the WTO.  The notice shall contain
at least the following information:
(a) the subject-matter of the contract;(b) the time-limits set for the submission of tenders of an application to be
invited to tender, and
(c) the addresses from which documents relating to the contracts may be
requested.
9. In the case of selective tendering procedures, entities maintainingpermanent lists of qualified suppliers shall publish annually in one of the
publications listed in Appendix III a notice of the following:WT/ACC/ALB/42
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(a) the enumeration of the lists maintained, including their headings, in
relation to the products or services or categories of products or services to be
procured through the lists;
(b) the conditions to be fulfilled by s uppliers with a view to their inscription
on those lists and the methods according to which each of those conditionswill be verified by the entity concerned; and
(c) the period of validity of the lists, and the formalities for their renewal.When such a notice is used as an invitation to participate in accordance with
paragraph 3, the notice shall, in addition, include the following information:
(d) the nature of the products or services concerned;
(e) a statement that the notice constitutes an invitation to participate.
However, when the duration of the qualification system is three years or less,
and if the duration of the system is made clear in the notice it is also made
clear that further notices will not be published, it shall be sufficient to publish
the notice once only, at the beginning of the system, such a system shall notbe used in a manner which circumvents the provision of this Agreement.
10. If, after publication of an invitation to participate in any case of intendedprocurement, but before the time set for opening or receipt of tenders as
specified in the notices or the tender documentation, it becomes necessary to
amend or re-issue the notice, the amendment or the re-issued notice shall notbe given the same circulation as the original documents upon which the
amendment is based.  Any significant information given to one supplier with
respect to a particular intended procurement shall be given simultaneously to
all other suppliers concerned in adequate time to permit the suppliers to
consider such information and to respond to it.
11. Entities shall make clear, in the notices referred to in this Article or in the
publication in which the notices appear, that the procurement is covered by
the Agreement.WT/ACC/ALB/42
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Article X
Selection Procedures
1. To ensure optimum effective international competition under selective
tendering procedures, entities shall, for each  intended procurement, invite
tenders, from the maximum number of domestic suppliers and suppliers of
other Parties, consistent with the efficient operation of the procurementsystem. They shall select the suppliers to participate in the procedure in a
fair, transparent and non-discriminatory manner.Article 13, of the Albanian La w on Government Procurement
provides for pre-qualification proceedings.
1. The procuring entity may engage in pre-qualification
proceedings with a view towards identifying, prior to the
submission of tenders, that candidates are qualified. The use of
pre-qualification proceedings is indispensable as a preliminary toopen tendering or two-stage tendering in the case of large or
complex contracts for goods and construction.
2. Entities maintaining permanent lists of qualified suppliers may select
suppliers to be invited to tender from among those listed. Any selection shallallow for equitable opportunities for suppliers on the lists.
3. Suppliers requesting to participate in a particular intended procurement
shall be permitted to submit a tender and be considered, provided, in the case2. If the procuring entity engages in pre-qualification
proceedings, it shall prepare a set of pre-qualification documentscontaining  as minimum the following information:
(a) instructions for preparing and submitting pre-qualification
applications;
of  those not yet qualified, there is sufficient time to complete thequalification procedure under Articles VIII and IX. The number of additionalsuppliers permitted to participate shall be limited only by the efficient
operation of the procurement system.
4. Requests to participate in selective tendering procedures may be submitted
by telex, telegram or facsimile.(b) the nature and quantity of goods, construction or services to
be procured;(c) the desired time for delivery of the goods or completion of the
construction or services;
(d) the criteria and procedures to be used for evaluating the
qualifications of the candidates, following the provisions of
Article 12;
(e) a summary of the principal required terms and conditions ofthe contract to be entered into as a result of the procurement
proceedings;
(f) any documentary evidence or other information that must besubmitted by candidates to demonstrate their qualifications;
(g) the manner and place for the submission of applications topre-qualify and the deadline for submission; and
(h) any other requirements that may be established by the
procuring entity in conformity with this Law and the procurement
regulations.WT/ACC/ALB/42
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3. An invitation to pre-qualify shall be advertised in the manner
prescribed for invitations in the open tendering procedure by
being in compliance with the time limits defined in procurement
rules for the pre-qualification procedure and shall contain at least
information about:
(a) the name and address of the procuring entity;(b) a brief description of the purpose of the invitation along with a
summary of the nature and quantity of goods, construction and
services to which the pre-qualification will apply; and
(c) the means of obtaining pre-qualification documents and the
place and deadline for submission of applications to pre-qualify.
4. The procuring entity shall make a decision with respect to the
qualifications of each candidate submitting an application to
pre-qualify. In reaching that decision, the procuring entity shall
apply only the criteria set forth in  the pre-qualificationdocuments.
Article XI
Time Limits for Tendering and Delivery
1. (a) Any prescribed time-limit shall be adequate to allow suppliers of otherParties as well as domestic suppliers to prepare and submit tenders before the
closing of the tendering procedures. In determining any such time-limit,
entities shall, consistent with their own reasonable needs, take into account
such factors as the complexity of the intended procurement, the extent of
subcontracting anticipated and the normal time for transmitting tenders bymail from foreign as well as domestic points.Decision of the Council of Ministers, “On  the Rules of the Public
Procurement”, No.12 dated 01/01/1996
Article 5 states for open tendering, the period from the day of
issuing the invitation to tender, to the day of submitting the bid,
must not be  less than 30 days for construction works and
services, and not less than 20 days for goods. In restricted
tendering this period is not less than 20 days for constructionworks and services as well as for goods.
(b) Each  Party shall ensure that its entities shall take due account of
publication delays when setting the final date for receipt of tenders or of
applications to be invited to tender.2. Except in so far as provided in paragraph 3,The period from the day the request for proposal is issued until
the day the proposals are submitted is not less than 10 days for
quotations in construction and services and not less than 5 daysfor readily available goods.WT/ACC/ALB/42
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(a) in open procedures, the period for the receipt of tenders shall not be less
than 40 days from the date of publication referred to in paragraph 1 of Article
IX;
(b) in selective procedures not involving the use of a permanent list of
qualified suppliers, the period for submitting an application to be invited to
tender shall not be less than 25 days from the date of publication referred toin paragraph 1 of Article IX; the period for receipt of tenders shall in no case
be less than 40 days from the date of issuance of the invitation to tender;For international procedures the period between the day the
invitation to tender is issued until the day the bids are submitted,
is not less than 45 days.
(c) in selective procedures involving the use of a permanent list of qualified
suppliers, the period for receipt of tenders shall not be less than  40 daysfrom the date of the initial issuance of invitations to tender, whether or not
the date of initial issuance of invitations to tender coincides with the date of
the publication referred in paragraph 1 of Article IX.
3.  The periods referred to in paragraph 2 may be reduced in thecircumstances set out below:(a)  if a separate notice has been published 40 days and not more than 12
months in advance and the notice contains at least:
(i) as much of the information referred to in paragraph 6 of article IX as isavailable;
(ii) the information referred to in paragraph 8 of Article IX;(iii) a statement that interested suppliers should express their interest in the
procurement to the entity; and
(iv) a contact point with the entity from which further information may be
obtained,
(a) the 40 - day limit for receipt of tenders may be replaced by a period
sufficiently long to enable responsive tendering, which, as a general rule,
shall not be less than 24 days, but in any case not less than 10 days;
(b) in the case of the second or subsequent publications dealing with
contracts of a recurring nature within the meaning of paragraph 6 of Article
IX, the 40-day limit for receipt of tenders may be reduced to not less than 24
days;WT/ACC/ALB/42
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(c) where a state of urgency duly substantiated by the entity renders
impracticable the periods in question, the periods specified in paragraph 2
may be reduced but shall in no case be less than 10 days from the date of the
publication referred to in paragraph 1 of Article IX; or
(d) the period referred to in paragraph 2 (c) may, for procurements by entitieslisted in Annexes 2 and 3, be fixed by mutual agreement between the entity
and the selected suppliers. In the absence of agreement, the entity may fix
periods which shall be sufficiently long to enable responsive tendering and
shall in any case not to be less than 10 days.
4. Consistent with the entity’s own reasonable needs, and delivery date shall
take into account such factors as the complexity of the intended procurement,
the extent of subcontracting anticipated and the realistic time required for
production, de-stocking and transport of goods from the points of supply or
for supply of services.
Article XII
Tender Documentation
1. If, in tendering procedures, an entity allows tenders to be submitted in
several languages, one of those languages shall be one of the officials
languages of the WTO.
2. Tender documentation  provided to suppliers shall contain all informationnecessary to permit them to submit responsive tenders, including information
required to be published in the notice of intended procurement, except for
paragraph 6(g) of Article IX, and the following:Article 26 of the Albanian Law on Government Procurement
provides for tender documents. The tender documents shall
contain sufficient information to enable competition among the
candidates to take place on the basis of complete, neutral and
objective terms. In particular, tender documents must include:
(a) the address of the entity to which  tenders should be sent;
(b) the address where requests for supplementary information should be
sent;
(c) the language or languages in which tenders and tendering documents
must be submitted;
(d) the closing date and time for receipt of tenders and the length of timeduring which any tender should be open for acceptance;
(e) the persons authorized to be present at the opening of tenders and the
date, time and place of this opening;(a) instructions for the preparation and submission of tenders;
(b) information on the final date for receipt of tenders, the address
to which tenders must be sent, the date, hour and place of such
openings, as well as an announcement that tender’s
representatives are allowed to attend the opening;
(c) forms of tender and, where applicable, forms of tendersecurity to be provided;WT/ACC/ALB/42
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(f) any economic and technical requirement, financial guarantees and
information or documents required from suppliers;
(g) a complete description of the products or services required or of any
requirements including technical specifications, conformity certification to
be fulfilled, necessary plans, drawings and instructional materials;(d) the number of copies to be submitted with the original tender;
(e) conditions of contract, general and special for construction
contracts may foresee even the supervision and taking over of
them;
(f) specification of requirements, including time limit for delivery
or completion, as appropriate;
(h) the criteria for awarding the contract, including any factors other thanprice that are to be considered in the evaluation of tenders and the cost
elements to be included in evaluating tender prices, such as transport,
insurance and inspection costs, and in the case of products or services ofother Parties, customs duties and other import charges, taxes and currency of
payment;
(i) the terms of payment;
(j) any  other terms or conditions;
(k) in accordance with Article XVII the terms and conditions, if, any,under which tenders from countries not Parties to this Agreement, but which
apply the procedures of that Article, will be entertained.
Forwarding of Tender Documentation by the Entities(g) evidence to be provided by the tenderer to demonstrate its
qualifications as well as its standing with regards to fiscal and
social security obligations;
(h) the period during which the tender must remain valid;(i) the criteria for evaluation of tenders and award of the contract;
and
(j) a reservation to the effect that the procuring entity may reject
all tenders at any time prior to the acceptance of a tender.
3. (a) In open procedures, entities shall forward the tender documentation at
the request of any supplier participating in the procedure, and shall reply
promptly to any reasonable request for explanations relating thereto.
(b) In selective procedures, entities shall forward the tender documentation at
the request of any supplier requesting to participate, and shall reply promptly
to any reasonable request for explanations relating thereto.
(c) Entities shall reply promptly to any reasonable request for relevantinformation submitted by a supplier participating in the tendering procedure,
on condition that such information does not give that supplier an advantage
over its competitors in the procedure for the award of the contract.WT/ACC/ALB/42
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Article XIII
Submission, Receipt and Opening of Tenders and Awarding of Contracts
1. The submission, receipt and opening of  tenders and awarding of contracts
shall be consistent with the following:The Albanian Law on Government Procurement, Article 30,
paragraphs 1 and 2, applies to submission of tenders.
(a) tenders shall normally be submitted in writing directly or by mail. Iftenders by telex, telegram or facsimile are permitted, the tender made thereby
must include all the information necessary for the evaluation of the tender, in
particular the definitive price proposed by the tenderer and a statement that
the tenderer agrees to all the terms, conditions and provisions of the
invitation to tender. The tender must be confirmed promptly by letter, or bythe dispatch of a signed copy of the telex, telegram or facsimile. Tenders
presented by telephone shall not be permitted . The content of the telex,
telegram or facsimile shall prevail where there is a difference or conflict
between that content and any documentation received after the time-limit;
andParagraph (1) states that tenders shall be submitted in writing,
signed and placed in a sealed envelope.  They should be
submitted at the place, time and date specified in the invitation to
tender. The tender envelope should contain the documentation for
the qualification of the candidates and the technical-economic
tender closed in two separate envelopes.  Paragraph (2) states thattenders must be submitted before the deadline is to be considered.
(b) the opportunities that may be given to tenderers to correct uninternational
errors of form between the opening of tenders and the awarding of the
contract shall not be permitted to give rise to any discriminatory practice.The Albanian Law on Government Procurement, Article 30,
paragraphs 1 and 2, applies to receipt of tenders. Paragraph (1)
states that in international trade procedures the tenders can be
received before the designated opening date, but the invitation to
tender should specify the deadline for tender submission. In thosecases, the procuring entity, after a request, should give to the
tenderer a document specifying the date and the time that he has
submitted the proposal. Paragraph (2) implies that tenders will not
be considered if received prior to the deadline.
The Albanian Law on Government Procurement, Article 31
applies to the opening of tenders.
1. At the time stipulated in the tender documents for the opening
of a tender, which for international tender procedures should
follow shortly after the deadline for submission of tenders, the
procuring entity shall open all tenders received before the
deadline.WT/ACC/ALB/42
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Receipt of Tenders
2. A supplier shall not be penalized if a tender is received in the office
designated in the tender documentation after the time specified because of
delay due solely to mishandling on the part of the entity. Tenders may also
be considered in other exceptional circumstances if the procedures of theentity concerned so provide.2. Tenderers, or their authorized representatives, shall be allowed
to attend the opening of tenders.
3. The name of the tenderer and the total amount of each qualified
tender shall be read out aloud and recorded. A copy of the record
shall/and be made available to any tenderer upon request.
Opening of tenders
3. All tenders solicited under open or selective procedures by entities shall be
received and opened under procedures and conditions guaranteeing the
regularity of the openings. The receipt and opening of tenders shall also be
consistent with the national treatment and non-discrimination provisions ofthis Agreement. Information on the opening of tenders shall remain with the
entity concerned at the disposal of the government authorities responsible for
the entity in order that it may be used if required under the procedures of
Articles XVIII, XIX, XX and XXII.
A ward of Contracts4. The envelopes containing the technical-economic tender of a
tenderer  disqualified for not meeting of qualification criteria,
shall be sent unopened to the tenderer.
Article 32, of the Albanian La w on Government Procurement
provides for examination and evaluation of tenders.
4. (a) To be considered for award, a tender must, at the time of opening,conform to the essential requirements of the notices or tender documentation
and be from a supplier which complies with the conditions for participation.
If an entity has received a tender abnormally lower than other tenders
submitted, it may enquire with the tenderer to ensure that it can comply with
the conditions of participation and be capable of fulfilling the terms of thecontract.1. The procuring entity may ask tenderers for clarification of their
tenders in order to assist in the examination and evaluation of
tenders. No change in the substance of the tender, including
changes in price, shall be sought, offered or permitted.WT/ACC/ALB/42
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(b) Unless in the public interest an ent ity decides not to issue the contract, the
entity shall make the award to the te nderer who has been determined to be
fully capable of undertaking the contract and whose tender, whether for
domestic products or services, or products or services of other Parties, is
either the lowest tender or the tender which in terms of the specific
evaluation criteria set forth in the notices or tender documentation isdetermined to be the most advantageous.
(c) Awards shall be made in accordance with the criteria and essential
requirements specified in the tender documentation.2.Notwithstanding paragraph (1), the procuring entity shall
correct purely arithmetical errors that are discovered during the
examination of tenders. The entity shall give prompt notice of any
such correction to the tenderer who submitted the tender.
3. Subject to paragraph (4), the procuring entity shall regard a
tender as responsive only if it conforms to all requirements set
forth in the tender documents.
Option Clauses
5. Option clauses shall not be used in a manner which circumvents the
provisions of the Agreement.4. The procuring entity may regard a tender as responsive even if
it contains minor deviations that do not materially alter or depart
from the characteristics, terms, conditions and other requirements
set forth in tender documents or if it is contains errors or
oversights that are capable of being corrected without touching on
the substance of the tender. Any such deviations shall bequalified, to the extent possible, and appropriately taken account
of in the evaluation and comparison of tenders.
5. The procuring entity shall not accept a  tender when a tenderer:
(a) has failed to demonstrate, in the manner foreseen in Article26(e), that it is qualified;
(b) does not accept a correction of an arithmetical error made
pursuant to paragraph (2) of this Article;
(c) his tender is not responsive;
(d) has offered an inducement under Article 16.
6. The procuring entity shall evaluate and compare the tenders
that have been held responsive in order to ascertain the successful
tender, as defined in paragraph (7), in accordance with the
procedures and criteria set forth in the tender documents. No
criterion shall be used that has not been set forth in the tender
documents.WT/ACC/ALB/42
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7. The successful tender shall be the tender which, in accordance
with the procedures and criterion set forth in the tender
documents, meet the requirements of procurement object with:
(a) the lowest tender price; or
(b) if the procuring entity has so stipulated in the tender
documents, the lowest evaluated tender ascertained on the basisof factors affecting the economic value of the tender which have
been specified in the tender documents, which factors shall, to the
extent practicable, be objective and quantifiable, and shall be
given a relative weight in the evaluation procedure or be
expressed in monetary terms wherever practicable.
8. The procuring entity shall prepare an evaluation report,
containing a summary of the examination and evaluation of
tenders.
Article 33, of the Albanian La w on Government Procurement
provides for process to be confidential.
1. After the opening of tenders, information relating to theexamination, clarification and evaluation of tenders and
recommendations for award must not be disclosed to tenders or
other persons not officially concerned with this process until the
award of the contract is announced.
2.Following opening of the tenders, and until the contract issigned, no tenderer shall make any unsolicited communication to
the procuring entity or try in any way to influence the entity’s
examination and evaluation of the tenders.WT/ACC/ALB/42
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Article 34, of the Albanian La w on Government Procurement
provides for tenders not to be requested to modify their tenders.
A tender shall not be required, as a condition for award, to
undertake responsibilities not stipulated in the tender documents,
to change its price or otherwise to modify its tender.
Article 35 of the Albanian Law on Government Procurementprovides for notification of award and singing of contract.
1. Prior to the expiry of the period of tender validity, the
procuring entity shall notify the successful tenderer that its tender
has been accepted.
2. The notification of award shall constitute the formation of a
contract between the parties, which must be signed within thetime stated in tender documents. The notification shall contain at
least total value of contract, request for the furnishing
performance security and the sign of contract form.
3. The existence of a contract shall be confirmed through the
signature of a contract document incorporating all agreementsbetween the parties.
Article XIVNegotiation
1.  A Party may provide for entities to conduct negotiations:
(a) in the context of procurements in which they have indicated such intent,
namely in the notice referred to in paragraph 2 of Article IX (the invitation to
suppliers to participate in the procedure for the proposed procurement); or
(b) when it appears from evaluation that no one tender is obviously the most
advantageous in terms of the specific evaluation criteria set forth in the
notices or tender documentation.Article 11 of the Albanian Law on Government Procurement
provides for form of communications.
Communications between candidates and procuring entities shall
be only in writing. If the communication is made in any other
form, it shall refer only to the written documents and the content
of that communication in writing, immediately after that
communication.WT/ACC/ALB/42
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2.  Negotiations shall primarily be used to identify the strengths and
weaknesses in tenders.
3.  Entities shall treat tenders in confidence. In particular, they shall not
provide information intended to assist particular participants to bring their
tenders up to the level of other participants.
4. Entities shall not, in the course of negotiations, discriminate betweendifferent suppliers. In particular, they shall ensure that:
(a) any elimination of participants is carried out in accordance with the
criteria set forth in the notices and tender documentation;Article 12 of the Albanian Law on Government Procurement
provides for qualification of candidates.
2.  The procuring entity may require candidates to provide such
appropriate documentary evidence or other information as it may
deem useful to satisfy itself that the candidates are qualified inaccordance with the criteria referred to in paragraph (1).
(b) all modifications to the criteria and to the technical requirements are
transmitted in writing to all remaining participants in their negotiations;
(c) all remaining participants are afforded an opportunity to submit new or
amended submissions on the basis of the revised requirements; and
(d)  when negotiations are concluded, all participants remaining in thenegotiations shall be permitted to submit final tenders in accordance with a
common deadline.3.  Any requirement established pursuant to this article shall be
set forth in the pre-qualification documents, if any, and in the
tender documents or other documents for solicitation of
proposals, and shall apply equally to all candidates.
Article XVLimited Tendering.
1. The provisions of Articles VII throughXIV governing open and selective tendering procedures need not apply in the
following conditions, provided that limited tendering is not used with a view
to avoiding maximum possible competition or in a manner which would
constitute a means of discrimination among suppliers of other Parties or
protection to domestic producers or suppliers:Article 18, of the Albanian La w on Government Procurement
provides for conditions for use of restricted tendering. The
procuring entity may engage in procurement by means ofrestricted tendering in accordance with Article 36, when:
(a) the goods, construction or services are available only from a
limited number of suppliers;
(b) the estimate value of the contract does not exceed a threshold
set out in the procurement regulations.WT/ACC/ALB/42
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(a) in the absence of tenders in response to an open or selective tender, or
when the tenders submitted have been collusive, or not in conformity with
the essential requirements in the tender, or from suppliers who do not comply
with the conditions for participation provided for in accordance with this
Agreement, on condition, however, that the requirements of the initial tender
are not substantially modified in the contract as awarded;(b) when, for works of art or for reasons connected with protection of
exclusive rights, such as patents or copyrights, or  in the absence of
competition for technical reasons, the products or services can be supplied
only by a particular supplier and no reasonable alternative or substitute
exists;Article 36 of the Albanian Law on Government Procurement
provides for restricted tendering procedure. Restricted tendering
procedures are the same as those applied in open tendering,
except that:
(a) the invitation to tender is addressed to a limited number of
qualified candidates - for the purpose of obtaining not less thanthree tenders - which have declared an interest in submitting
tenders. The selection must be made in a non-discriminatory
manner, and the number of candidates invited must be, if
possible, sufficient to ensure effective competition;
(c) in so far as is strictly necessary when, for reasons of extreme urgency
brought about by events unforeseeable by the entity, the products or services
could not be obtained in time by means of open or selective tendering
procedures;(b) procuring entities maintaining updated lists of qualified
suppliers may select candidates to be invited to tender from
among those listed. Any selection shall allow for equitable
opportunities for suppliers on the list;
(d) for additional deliveries by the original supplier which are intended either
as  replacement parts for existing suppliers or installations, or as the
extension of existing suppliers, or installations where a change of supplier
would compel the entity to procure equipment or services not meeting
requirements of interchangeability with already existing equipment, orservices;(c) the procuring entity may decide, depending on the
circumstances, whether a tender security will have to be
submitted or not.
Article 19 of the Albanian Law on Government Procurement
provides for  conditions for use of direct procurement
(e) when an entity procures prototypes or a first product or service which aredeveloped at its request in the course of, and for, a particular contract for
research, experiment, study or original development. When such contracts
have been fulfilled, subsequent procurements of products or services shall besubject to Articles VII through XIV;
(f) when additional construction services which were not included in the
initial contract but which were within the objectives of the original tender
documentation have, through unforeseeable circumstances, become
necessary.1.  The procuring entity may use direct procurement in
accordance with Article 37 if this method is not resorted to with a
view to avoiding possible competition or in a manner which
would constitute a means of discrimination among candidates:(a) when in the absence of competition for technical reasons the
goods, construction or services can be supplied or provided only
by one candidate;WT/ACC/ALB/42
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to complete the construction services described therein, and the entity needs
to award contracts for the additional construction services to the contractor
carrying out the construction services concerned since the separation of the
additional construction services from the initial contract would be difficult
for technical or economic reasons and cause significant inconvenience to the
entity. However, the total value of contracts awarded for the additionalconstruction services may not exceed 50 per cent of the amount of the main
contract;(b) within limits defined in the procurement regulations, for
additional deliveries by the original supplier which are intended
either as replacement parts for existing suppliers, services or
installations, or as the extension of existing suppliers, services, or
installations where a change of supplier would compel the
procuring entity to procure equipment or services not meetingrequirements of interchangeability with already existing
equipment or services;
(g) for new construction services consisting of the repetition of similar
construction services which conform to a basic project for which an initialcontract was awarded in accordance with Articles VII through XIV and for
which the entity has indicated in the notice of intended procurement
concerning the initial construction service, that limited tendering procedures
might be used in awarding contracts for such new construction services;
(h) for products purchased on a commodity market(c) within limits defined in the procurement regulations, when
additional construction services, which were not included in theinitial contract have, through enforceable circumstances, become
necessary since the separation of the additional construction
services from the initial contract would be difficult for technical
or economic reasons;
(i) for purchases made under exceptionally advantageous conditions whichonly arise in the very short term. This provision is intended to cover unusual
disposals by  firms which are not normally suppliers, or disposal of assets of
businesses in liquidation or receivership. It is not intended to cover routine
purchases from regular suppliers;(d) within limits defined in the procurement regulations, for new
construction services consisting of the repetition of similar
construction services which conform to a basic project for which
an initial contract was awarded on the basis of open or restricted
tendering:
(j) in the case of contracts awarded to the winner of a design contest provided
that the contest has been organized in a manner which is consistent with the
principles of this Agreement, notably as regards the publication , in the sense
of Article IX, of an invitation to suitably qualified suppliers, to participate in
such a contest which shall be judged by  an independent jury  with a view to
design contracts being awarded to the winners.(e) for continuation of consulting services, where the original
contract has been satisfactorily performed and the continuation is
likely to lead to gain in economic efficiency;
(f) for purchase of perishable commodities such as fresh fruits,
vegetables or other similar items which are purchased on marketterms;WT/ACC/ALB/42
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2. Entities shall prepare a report in writing on each contract awarded under
the provisions of paragraph 1. Each report shall contain the name of the
procuring entity, value and kind of goods or services procured, country of
origin, and a statement of the conditions in this Article which prevailed. This
report shall remain with the entities concerned at the disposal of the
government authorities responsible for the entity in order that it may be usedif required under the procedures of Articles XVIII, XIX, XX and XXII.(g) for purchases of goods made under exceptionally
advantageous conditions which only arise in the very short term.
This provision is intended to cover unusual disposals by firms
which are not normally suppliers. It is not intended to cover
routine purchases from regular suppliers.
(h) for the continuation of the design services that are relatedwhich services previously, which would violate the author’s right
if they would be given to another subject.
2. The procuring entity may also use direct procurement for small
value purchases of readily available goods when the contractprice does not exceed an amount stated in the procurement
regulations.
Article 37 of the Albanian Law on Government Procurementprovides for direct procurement procedure.
1. When the procuring entity engages in direct procurement
according to Article 19 (1), it shall prepare a description of its
needs and any special requirements as to quality, quantity, terms
and time of delivery, and shall be free to negotiate with the sole
candidate. Any Agreement reached by procurement by a contractsigned by both parties.
2. Direct procurement according to Article 19 (2) requires no
contract or other documents.
Article 22 of the Albanian Law on Government Procurementprovides for conditions for use of request for quotations. The
procuring entity may engage in procurement by means of request
for quotations in accordance with Article 40 for the purchase of
readily available goods or for procurement of construction or
services for which there is an established market, so long as the
estimated value of the contract does not exceed an amount stated
in the procurement regulations.WT/ACC/ALB/42
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Article 40 of the Albanian Law on Government Procurement
provides for request for quotation procedure.
!. The procuring entity shall request quotations from as many
candidates as practical, but from at least three.
2. The request shall contain a clear description of therequirements of the procuring entity as to quality, quantity, terms
and time of delivery as well as other special requirements.
3. Any award by the procuring entity shall be placed with the
candidate who meets the requirements of the procuring entitystipulated in paragraph (2) and who quotas the lowest price.
4. The procuring entity shall place a contract with the successful
candidate.
Decision of the Council of Ministers “On the Public ProcurementRules” No.12, dated 01/01/1996.
2. The procuring entity will use restricted tendering in conformity
with Article 18, item (b) and Article 36 of the above mentioned
law, when the estimated value of the contract does not exceed 10
million leks for construction works, 5 million leks for goods and1 million leks for procurement of services, excluding designing
activity as in item 1.WT/ACC/ALB/42
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In this case the procuring entity will ask for bids from the
prospective bidders through an updated list of at least 5
candidates. In case of international procedures the candidates will
be selected from at least three different states.
3. The procuring entity will use “request for quotations” in
conformity with articles 22 and 40 of the above mentioned law if
the estimated contract value is does not exceed 5 million leks for
construction works, 2 million leks for goods and 200,000 leks for
services.
4. The procuring entity will use “direct procurement” in
conformity with Article 19 of the above mentioned law:
(a) item 1(b) and 1(c) for a value less than 50% of the initialcontract, when there is a need of contract addition within the
testing period for construction works and within three months
after the schedule of contract completion, for goods and services.
(b) item 2, for readily available goods, when the estimated value
for every item does not exceed 100,000 leke within a year.
In the “restricted tendering” process, the period from the day ofissuing the invitation, until the day of submitting the quotations,
is not less than 10 days for constructions and services and not less
than 5 days for readily available goods.
Article XVI
Offsets
And all sub-texts.There are no provisions in the law or in any Decision of the
Council of Ministers regarding offsets. Albania commits to not
impose seek or consider offsets in the qualification and selection
of suppliers, products or services, or in the evaluation of tenders
and award of contracts.WT/ACC/ALB/42
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Article XVII
1.  Each Party shall encourage  entities to indicate the terms and conditions,
including any deviations from competitive tendering procedures or access to
challenge procedures, under which tenders will be entertained from suppliers
situated in countries not Parties to this Agreement but which, with a view to
creating transparency in their own contract awards, nevertheless:(a) specify their contracts in accordance with Article VI (technical
specifications);Article 7 of the Albanian La w on Government Procurement
provides for the responsibilities of the procuring entity.
1. The procuring entity is responsible for procurement with public
funds at its disposal subject to the provisions of this Law and to
any such further condition as may be laid known in theprocurement regulations and the instructions of the Agency.
(b) publish the procurement notices referred to in Article IX, including in theversion of the notice referred to in paragraph 8 of Article IX (summary of thenotice of intended procurement) which is published in an official language of
the WTO, an indication of the terms and conditions under which tenders
shall be entertained from suppliers situated in countries Parties to this
Agreement;
(c) are willing to ensure that their procurement regulations shall not normallychange during a procurement and, in the event that such change proves
unavoidable, to ensure the availability of a satisfactory means of redress.
2. Governments not Parties to the Agreement which comply with the
conditions specified in paragraphs 1 (a) through 1 (c), shall be entitled if theyso inform the Parties to participate in the Committee as observes.2. With respect to contracts which are the above thresholds, stated
in the procurement regulations, the procuring entity shall submitto the higher central or local authority or to the Council of
Ministers for prior review and approval, before a contract is
awarded or concluded, a summary report containing:
(a) a justification for the choice of procurement procedure, if
other than open tendering;(b) the evaluation of tenders of proposals received; and
(c) the  proposed award or conclusion of contract.
3. Procuring entities must make records and documents regarding
their public procurement available for inspection by the Agencyand must submit reports regarding their procurement activities in
such detail and at such intervals as the Agency may require.WT/ACC/ALB/42
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Article 10 of the Albanian Law on Government Procurement
provides for records of procurement.
l. Procuring entities shall maintain records of public procurement
in sufficient detail to allow control and verification that the
provisions of this Law have been respected. With respect to eachtransaction the record shall contain, as a minimum, justification of
the procurement procedure chosen, if other than open tendering,
information concerning the goods, construction or services
procured, the names of candidates, the name of the supplier to
whom the contract was awarded, and the contract price.
2. The minimum information to be recorded according to
paragraph 1. shall, on request, be made available to interested
persons after a contract has been awarded. Other information
shall remain confidential.
3. The procuring entity shall preserve and keep the record anddocuments relating to any procurement available for inspection
by the competent authorities during a period of time stated in the
procurement regulations.
Decision of Council of Minister s, “On the Public Procurement
Rules”, No. 12, dated  01/01/1996.
Paragraph 10 states that the procuring entity should preserve and
make available to control organs the complete documentation of
the procurements in conformity with the time limits determined in
the Law "On Archives" relevant to the official documentation of
the institutions.
Article XVIIIInformation and Review as Regards Obligations of Entities.
And all sub-texts.There are no provisions in the Law  or in any Decision of the
Council of Ministers regarding information and review as regards
to obligations of entities.WT/ACC/ALB/42
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Article XIX
Information and Review Regards Obligations of Parties
And all sub-texts.There are no provisions in the Law  or in any Decision of the
Council of Ministers regarding information and review as regards
to obligations of parties.
Article XX
Challenge Procedures
Consultations
1. In the event of a complaint by a supplier that there has been a breach of
this Agreement in the context of  a  procurement, each Party shall encourage
the supplier to seek resolution of its complaint in consultation with the
procuring entity. In such instances the procuring entity shall accord impartial
and timely consideration to any such complaint, in a manner that is notprejudicial to obtaining corrective measures under the challenge system.CHAPTER VIII. ADMINISTRATIVE REVIEW
Article 43 of the Albanian Law on Government Procurementprovides for general.
1. Subject to the provisions of this Chapter, any candidate is free
to seek administrative review of an act or omission by a procuring
entity which the candidate considers to be in breach of this Law,
the procurement regulations or any instructions issued pursuantthereto.
2. The following shall not be subjec t to the review provided for in
paragraph (1) of this Article:
(a) the choice of a procurement method pursuant to Chapter IV;
(b) a decision by the procuring entity under Article 15 to reject all
tenders, proposals or quotations; and
(c) a decision taken by the entity with the consent of the Councilof Ministers.
2. Each Party shall provide non-discriminatory, timely, transparent and
effective procedures enabling suppliers to challenge alleged breaches of the
Agreement arising in the context of procurements in which they have, or
have had, an interest.
3. Each Party shall provide its challenge procedures in writing and makethem generally available.3. Once the procuring entity has signed a contract with the
candidate of successful tender or proposal, a complaint against an
act omission in the process leading up to that stage cannot be
entertained through the administrative review.
Article 44 of the Albanian Law on Government Procurement
provides for review by the head of the procuring entity.WT/ACC/ALB/42
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4. Each Party shall ensure that documentation relating to all aspects of the
process concerning procurements covered by this Agreement shall be
retained for three years.
5. The interested supplier may be required to initiate a challenge procedure
and notify the procuring entity within specified time-limits from the time
when the basis of the complaint is known or reasonably should have beenknown, but in no case within a period of less than 10 days.1. A complaint against an act or omission by the procuring entity
shall, in the first instance, be submitted to the head of the
procuring entity.
2. Unless the complaint is resolved by mutual agreement, the
head of the procuring entity shall suspend the procurement
proceedings and shall, within 15 days after submission of thecomplaint, issue a written decision, stating the reasons, and, if the
complaint is upheld, indicating the corrective measures to be
taken.
6. Challenges shall be heard by a court an impartial and independent reviewbody with no interest in the outcome of the procurement and the members of
which are secure from external influence during the term of appointment. A
review body which is not a court shall ei ther be subject to juridical review or
shall have procedures which provide that:
(a) participants can be heard before an opinion is given or a decision isreached;3. If the head of the procuring entity does not issue a decision
within the time stated in paragraph (2), or if the candidate is not
satisfied with the decision of the head of the procuring entity, he
presents a  compliant to the central or local body and, if he
doesn’t receive the desired  solution of the problem the candidate
is entitled to submit a complaint to the  Public ProcurementAgency.
(b) participants can be represented and accompanied;
(c) participants shall have access to all proceedings;
(d) proceedings can take place in public;(e) opinions or decisions are given in written with a statement describing the
basis for the opinions or decisions;
(f) witnesses can be presented;
(g) documents are disclosed in the review body;Article 45 of the Albanian Law on Government Procurement
provides for
review by the Agency.
1. Upon receipt of a complaint, the Agency shall promptly give
notice of the complaint to the procuring entity. Such action
automatically suspends further action by the procuring entity until
the matter has been settled by the Agency.WT/ACC/ALB/42
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7. Challenge procedures shall provide for
(a) rapid interim measures to correct breaches of the Agreement and to
preserve commercial opportunities. Such action may result in suspension of
the procurement process. However, procedures may provide that overriding
adverse consequences for the interests concerned, including the public
interest, may be taken into account in deciding whether such measuresshould be applied. In such circumstances, just cause for not acting shall be
provided in writing:2. The Agency, unless it dismisses the complaint, may prohibit
the procuring entity from acting or deciding unlawfully or from
following an unlawful procedure, may order the procuring entity
to proceed in a manner conforming to this Law, and may annul, in
whole or in part, an unlawful act or decision by the procuring
entity, other than a decision to award or conclude a contract.
(b) an assessment and a possibility for a decision on the justification of thechallenge;(c) correction of the breach of the Agreement or compensation for the loss or
damages suffered, which may be limited to costs for tender preparation or
protest.
8. With a view to the preservation of the commercial and other interests
involved, the challenge procedure shall normally be completed in a timelyfashion.3. The Agency shall, before taking any decision regarding a
complaint, notify interested candidates of the complained andshall take into account information and arguments received from
such candidates and from the procuring entity.
4. The Agency shall issue its decision within 30 days of receiving
the complaint, stating the reasons for its decision and remediesgranted , if any.
5. The Agency's decision shall be final.
Article XXI
Institutions
1. A Committee on Government Procurement composed of representatives
from each of the Parties shall be established. This Committee   shall elect its
own Chairman and Vice-Chairman and shall meet as necessary but not lessthan once a year for the purpose of affording Parties the opportunity to
consult on any matters relating to the operation of this Agreement or the
furtherance of its objectives, and to carry out such other responsibility as
may be assigned to it by the Parties.Article 8 of the Albanian La w on Government Procurement
provides for  the Public Procurement Agency.
1. The Public Procurement Agency is reporting to the Council of
Ministers and is the central organ for coordination and perfection
of the public procurement process.
2. In the performance of its tasks, the Agency;WT/ACC/ALB/42
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2. The Committee may establish working parties or other subsidiary bodies
which shall carry out such functions as may be given to them by the
Committee.(a) submits proposals for procurement regulations to the Council
of Ministers;
(b) promotes and supports training of central and local
government officials engaged in public procurement;
(c) edits and issues a Public Procurement Bulletin to be used for
invitations to tender and other announcements relevant to publicprocurement;
(d) prepares standard documents to be used in connection with
public procurement;
(e) gives instructions, and, or request, advice and assistance toprocuring entities in undertaking procurement;
(f) presents an annual report to the Council of Ministers regarding
the overall functioning of the public procurement system;
(g) inspects the records of procuring entities to the extent it deems
appropriate in order to check on the proper application of thisLaw by them;
(h) performs administrative review of complaints as foreseen inChapter VIII;
(i) cooperates with international institutions and with other
foreign entities on matters associated with the public procurementsystem; and
(j) plans and coordinates foreign technical  assistance to Albania
in the field of public procurement.
3. The Director of the Agency is appointed and dismissed by thePrime Minister.
4. The Prime Minister also appoints an inter-disciplinary
consultative board, composed of representatives from major
procuring entities at the central and local government levels, to
give advise and comments on the overall functioning of the public
procurement system in Albania and on proposals to be submitted
by the Agency for consideration by the Council of Ministers.WT/ACC/ALB/42
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Article XXII
Consultations and Dispute SettlementAlbania commits to the terms under the Consultations andDispute Settlement.
Article XXIIIExceptions to the AgreementAlbania is committed to the terms under the Exceptions to the
Agreement.
Article XXIVFinal ProvisionsAlbania is committed to the Final Provisions.
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