Conditions for applying online quotations in bidding in Vietnam

Conditions for applying c in bidding in Vietnam (Internet image)

Regarding this matter, LawNet would like to answer as follows: 

1. Conditions for applying online quotations in bidding in Vietnam 

According to Article 98 of Decree 24/2024/ND-CP, the conditions for applying online quotations in bidding in Vietnam include:

- Online quotation includes online quotation under ordinary procedures and online quotation under shortened procedures.

- Online quotation under ordinary procedures applies in the following cases:

+ Common and simple non-consulting service packages;

+ Packages for procurement of readily available, standardized goods with similar quality from multiple competing suppliers; price is the main deciding factor, with no or minimal impact from life cycle costs;

+ Groups of goods or services that can apply for online quotation include: materials, fuel, basic construction materials (iron ore, road aggregate, construction materials, copper pipes and other materials; standardized information technology equipment, including computers, ink cartridges, modems and other equipment; printing paper, photocopy paper, simple supplies, light bulbs; purchase of the right to use commercial software; energy, coal or gas; chemistry; shipping services; cleaning service; maintenance service; other goods or services that meet the requirements of Points a and b of this Clause.

- Online quotation under shortened procedures applies in one or more of the following cases:

+ Packages for procurement of goods and provision of non-consulting services with a value of no more than 300 million VND for procurement estimates;

+ Packages belong to projects of the state-owned enterprises, enterprises with 100% charter capital held by state enterprises and projects under the Law on Public Investment, including: packages for procurement of goods and provision of non-consulting services with a value of no more than 1 billion VN

+ Packages for goods and services that must be purchased from specific manufacturers to ensure compatibility of technology and copyright with equipment, machinery, software and services that are readily available or due to the manufacturer's warranty conditions that cannot be purchased from another manufacturer and there are multiple bidders capable of supplying the goods or services.

2. Principles of online quotation in bidding in Vietnam 

- Bidders can continuously change prices and factors other than prices (if any) during the online quotation period. The price levels and factors other than prices (if any) offered by bidders are publicized on VNEPS during the bidding process, except the bidder's name. VNEPS automatically ranks and publicizes the ranking order of bidders corresponding to prices and factors other than prices (if any) during the online quotation period; remaining time of the online quotation process.

- If the bid price is the only factor allowed to be re-offered and the package is evaluated according to the least-cost selection and there are many bidders offering the lowest price, the first bidder with the lowest price wins the bid.

- If the least-cost selection is not used, VNEPS automatically ranks bidders according to the evaluation criteria in the bidding documents and if there are multiple bidders ranked first, the bid will be awarded to the bidder who first achieved the first rank.

- The end time for online quotation must be during business hours.

- The offered price must not be higher than the fixed budget and must not be higher than the lowest offered price if the price is the only factor being re-offered.  If the bid prices after discount (if any) of all technically-responsive bidders exceed the fixed budget and no bidder participates in online quotation under ordinary procedures, the employer will address the situation according to Point b or Point c or Point d, Clause 8, Article 131 of Decree 24/2024/ND-CP.

(Article 99 of Decree 24/2024/ND-CP)

Nguyen Ngoc Que Anh

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