The legal framework for public procurement is determined by law 4412/2016 “Public Works, Procurement and Services (Adaptation to EU Directives 2014/24 and 2014/25)”, which was amended in 2021 and 2022, and law 4413/2016, “Award and execution of concessions (Adaptation to EU Directives 2014/23 and 2014/25)” amended in 2017 and 2019. These laws harmonize the mandatory procedures for the scheduling, overseeing, and awarding public procurement contracts, supplies, services and works contracts. These laws also provide specific provisions for e-procurement, i.e., the award of public contracts via an independent electronic platform named “Promitheus,” controlled by the Greek State and accessible world-wide. Government tenders are done through the Hellenic Single Public Procurement Authority.
Procurement actions follow three stages: stage one is the identification of the needs of all agencies and the drafting of the procurement program; stage two is publicizing the tender, selecting the best offer and awarding the contract to the winner; and stage three is the implementation of the contract. The armed forces, municipalities, public hospitals, and the Public Power Corporation carry out procurement independently, pursuant to special procurement rules and regulations. In certain instances, the General Secretariat of Commerce involvement is limited to the first phase of the tender.
U.S. company sworn affidavits can be submitted in place of documents normally issued in the United States, but not produced by U.S. federal government authorities.
Defense procurement and military construction projects are governed by Law 3978/2011, as well as other ministerial decrees, clarifications, and decisions. This law regulates procurement issues such as Domestic Added Value, Industrial Participation, Defense Materials Specifications, and the Offsets Programs.
Greek Law on Public Private Partnerships (PPPs)
Public Private Partnerships (PPPs) are contractual agreements, usually long-term, between a public entity and a private counterpart, with the objective of implementing a project and/or providing a service. In a PPP scheme, the private partner bears, in whole or in part, the implementation cost of the project, as well as a substantial part of the risks related with its construction and operation. The public partner, on the other hand, lays out a set of output specifications on the design, technical, and operational characteristics of the project and determines the private partner’s payment mechanism, either through partial (e.g., annual) payments, or through direct payments by the end-users via fees.
The legislative framework governing PPPs in Greece is determined by Law 3389/200, 4412/2016 and 4413/2016. The current law details the framework regarding the planning, approval, award, and implementation phases of PPPs by clearly defining the scope and minimum requirements of such projects. Its aim is to ensure the attainment of the most efficient outcome by supporting the positive aspects of the whole scheme on the one hand, and by minimizing the possibilities for the occurrence of potential risks on the other. Information on PPPs can be found at the Ministry of Development website: https://ependyseis.mindev.gov.gr/en/sdit
Public Private Partnerships are long term contracts between private and public sector entities, aiming at implementing projects and delivering services.
The Inter-Ministerial Committee for Public-Private Partnerships (ICPPP) is the collective governmental body which set the general policy for PPPs and approve projects that should proceed to implementation through the PPP framework. ICPPP Members include the Minister of Economy and Development (Head of Committee); the Minister of Finance; the Minister of Environment and Energy; the Minister of Infrastructure and Transport; the Minister of State; and the Ministers supervising the public entities involved in implementing the PPP projects. The ICPPP is responsible for the approval of inclusion of PPP projects to the framework depicted under Law 3389, as well as the cancelation of such approvals; the decision for the provision of the any contractual consideration to the private partner in the Public Investments Program; and the decision on the level of the public sector’s participation in the financing of a PPP project.
European Union Directives and Public Procurement Restrictions
Policies governing the public procurement market in the EU have been revised and a new legislation on concession has also been adopted. All EU member states had to include the following directives, Directive 2014/24/EU, Directive 2014/25/EU and Directive 2014/23/EU in their national law.
U.S. companies bidding on Government tenders may also qualify for U.S. Government advocacy. A unit of the U.S. Commerce Department’s International Trade Administration, the Advocacy Center coordinates U.S. Government interagency advocacy efforts on behalf of U.S. exporters bidding on public sector contracts with international governments and government agencies. The Advocacy Center works closely with our network of the U.S. Commercial Service worldwide and inter-agency partners to ensure that exporters of U.S. products and services have the best possible chance of winning government contracts. Advocacy assistance can take many forms but often involves the U.S. Embassy or other U.S. Government agencies expressing support for the U.S. bidders directly to the foreign government. Consult Advocacy for Foreign Government Contracts for additional information.
Financing of Projects
Multilateral Development Banks and Financing Government Sales: Price, payment terms, and financing can be a significant factor in winning a government contract. Many governments finance public works projects through borrowing from the Multilateral Development Banks (MDB). A helpful guide for working with the MDBs is the Trade Finance Guide. The U.S. Department of Commerce’s (USDOC) International Trade Administration (ITA) has a Foreign Commercial Service Officer stationed at each of the five different Multilateral Development Banks (MDBs): the African Development Bank; the Asian Development Bank; the European Bank for Reconstruction and Development; the Inter-American Development Bank; and the World Bank.
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