Principles of incentives and information disclosure on contractor selection
This Decree details a number of articles of the Law on Bidding on contractor selection, including: Clause 5, Article 3; Clause 1, Article 5; Clause 6, Article 6; Clause 6, Article 10; Clause 3, Article 15; Clause 4, Article 19; Clause 2, Article 20; Article 23; Clause 1, Article 24; Clause 2, Article 29; Clause 2, Article 29a; Clause 3, Article 29b; Clause 4, Article 36; Clause 2, Article 39; Clause 2, Article 43; Clauses 2 and 4, Article 44; Clause 3, Article 45; Article 50; Clauses 3 and 7, Article 53; Clauses 3 and 4, Article 55; Article 57; Clause 1, Article 61; Clause 4, Article 67; Clause 6, Article 70; Clause 2, Article 84; Clause 4, Article 86; Clause 5, Article 87; Clause 4, Article 88; Clause 5, Article 89 of the Law on Bidding.
Measures to implement the Law on Bidding on contractor selection, including: Registration on the National Bidding Network; time for organizing contractor selection; information disclosure in bidding activities; contractor management.
Regarding the principle of incentives, the Decree stipulates: A bidder that is eligible for more than one type of incentive in the assessment of capacity and experience or in the financial assessment shall, when calculating incentives, only enjoy the most beneficial incentive for the bidder corresponding to each content of the assessment of capacity and experience or the financial assessment.
In case all participating bidders enjoy the same incentives or all bidders are not eligible for incentives, it is not necessary to calculate incentives for comparison and ranking.
For mixed packages, the calculation of incentives is based on all proposals of contractors in the consulting, goods supply, and construction work sections. Contractors are entitled to incentives when they propose domestic costs (consulting costs; non-consulting costs; goods of Vietnamese origin; construction) of 25% or more of the package's work value.
The bidder must prove that the bidder, goods and services offered by the bidder are eligible for incentives as prescribed in Clause 1, Article 10 of the Law on Bidding.
The Decree also stipulates the disclosure of information on contractor selection. Accordingly, information on contractor selection is publicly posted on the National Bidding Network as prescribed in Articles 7 and 8 of the Bidding Law.
The investor is responsible for posting the following information on the National Bidding Network: The contractor does not ensure credibility when participating in bidding; The contractor's contract is terminated due to the contractor's fault; The contractor is banned from participating in bidding activities according to the provisions of the bidding law and other organizations and individuals with violations.
In case it is necessary to modify this information, the investor shall make the modification, attach the modification decision, clearly state the reason for modification and be responsible for the modified information.
The Ministry of Finance shall provide detailed regulations on information posting, management and use as prescribed in Clause 1 of this Article.
Detailed procedure for open, restricted, non-online bidding
On the other hand, Article 24 of the Decree has stipulated detailed procedures for open, restricted bidding without internet for bidding packages for the provision of non-consulting services, procurement of goods, construction and installation, and mixed bidding under the 1-stage, 1-envelope method.
Specifically, the detailed process includes:
- Prepare contractor selection, including: a) Shortlist selection (if necessary); b) Prepare bidding documents; c) Appraisal (if any) and approval of bidding documents.
- Organizing contractor selection, including: a) Inviting bids; b) Issuing, amending, clarifying bidding documents; c) Preparing, submitting, receiving, managing, amending, withdrawing bidding documents; d) Opening bids.
- Evaluate bidding documents and submit bidding document evaluation results, including: a) Check and evaluate the validity of bidding documents; b) Evaluate bidding documents in detail and rank bidders (if there is more than 1 bidder); c) Submit bidding document evaluation results.
- Contract negotiations (if any) are carried out in accordance with the provisions of Article 45 of this Decree for procurement packages of goods, construction and installation, provision of non-consulting services applying international bidding, mixed bidding packages and bidding packages applying restricted bidding as prescribed in Clause 1, Article 22 of the Law on Bidding.
- Appraise, approve, and publicize the results of contractor selection and explain the reasons for the contractor's failure to win the bid as requested by the contractor (if any).
- Complete, sign and manage contract implementation.
- Pre-bidding activities prescribed in Article 42 of the Law on Bidding shall be carried out in accordance with the processes and procedures prescribed in Clauses 1, 2, 3, 4 and 5 of this Article. The completion, signing and management of contract implementation prescribed in Clause 6 of this Article shall only be carried out after the project is approved for investment.
For goods procurement packages, in addition to contractors being organizations, contractors being individuals or groups of individuals bidding for their innovative products that meet the provisions in Clause 4, Article 6 of this Decree are allowed to participate in the bidding.
Prohibited from participating in bidding activities
Regarding handling of violations, the Decree stipulates the content of prohibition from participating in bidding activities. Specifically, the period of prohibition from participating in bidding activities for organizations and individuals who commit violations, including individuals belonging to investors, expert groups, and appraisal groups:
Ban from participating in bidding activities from 3 to 5 years for one of the violations of Clauses 1, 2, 4 and Point a, Clause 3, Article 16 of the Law on Bidding;
Ban from participating in bidding activities from 1 year to 3 years for one of the following violations: Point b, Point c, Clause 3; Clause 5; Points g, i and l, Clause 6; Clause 8; Clause 9, Article 16 of the Law on Bidding;
Ban from participating in bidding activities from 6 months to 1 year for one of the violations of points a, b, c, d, dd, e, clause 6 and clause 7, Article 16 of the Law on Bidding;
For joint venture contractors, the prohibition from participating in bidding activities applies to all joint venture members when one or several joint venture members violate the provisions of Article 16 of the Law on Bidding, except in the following cases: if a joint venture member violates the provisions of Point c, Clause 3, Clause 4, Points b, c, d, dd, Clause 5, Points a, b, c, d, dd, e, g, Clause 6, Clause 7, Point a, Point b, Clause 8, Article 16 of the Law on Bidding, then only that member shall be prohibited from participating in bidding activities and not prohibited from participating in bidding activities for the remaining members.
In case an organization or individual commits two or more violations within the same management scope of the competent person and these violations have not been banned from participating in bidding activities, the competent person shall issue a decision to ban participation in bidding activities with the ban period determined by the total ban period of the violations but not exceeding 5 years.
The statute of limitations for applying the measure of banning participation in bidding activities prescribed in Clause 1 of this Article is 10 years from the date of the violation.
The Decree consists of 14 chapters and 146 articles and takes effect from the date of signing.
From the effective date of this Decree, the following Decrees and provisions shall cease to be effective: a) Decree No. 24/2024/ND-CP dated February 27, 2024 of the Government detailing a number of articles and measures to implement the Law on Bidding on contractor selection (amended and supplemented by Decree No. 115/2024/ND-CP dated August 16, 2024 of the Government detailing a number of articles and measures to implement the Law on Bidding on selection of investors to implement investment projects using land and Decree No. 17/2025/ND-CP dated February 6, 2025 of the Government amending and supplementing a number of articles of the Decrees detailing a number of articles and measures to implement the Law on Bidding); b) Clause 5, Article 13 and Clause 3, Article 14 of Decree No. 165/2017/ND-CP dated December 31, 2017 of the Government regulating the management and use of assets at agencies of the Communist Party of Vietnam .
To Thi Hue
Source: https://sotp.langson.gov.vn/tin-tuc-su-kien/quy-dinh-chi-tiet-mot-so-dieu-va-bien-phap-thi-hanh-luat-dau-thau-ve-lua-chon-nha-thau.html
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