Shortened online quotation process in Vietnam

Shortened online quotation process in Vietnam (Internet image)

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

1. Shortened online quotation process in Vietnam

According to Article 101 of Decree 24/2024/ND-CP, the shortened online quotation process in Vietnam is prescribed as follows:

- Prepare an invitation to bid based on the approved specific contractor selection plan:

The invitation to bid includes the following information:

+ Specific requirements on origin, marking, trademark, manufacturer, technical specifications of goods, delivery time, warranty and other necessary matters (if any) for goods procurement package; scope of work, technical requirements, performance duration, service completion time and other necessary matters (if any) for non-consulting service packages;

+ Online quotation start time, bidder ranking principles, bid increments, online quotation end time and other relevant information (if any);

+ No bid security is required.

- After the employer approves the invitation to bid, the procuring entity posts the invitation to bid on VNEPS at least 3 working days before online quotation start time. The minimum online quotation time is 24 hours from the time the online quotation starts.

- Bidders participate in direct online quotation on VNEPS to bid for the items listed in the invitation to bid and can offer their prices within the time limit specified in the invitation.

- To participate in online quotation, bidders must commit in their letter of bid to meet the requirements in the invitation to bid.  If the bidder wins the bid but does not comply with the commitment as outlined in the letter of bid, the situation will be addressed in accordance with the terms and conditions specified in that document (publicize the bidder's name on VNEPS and lock the account within 6 months from the date on which the Ministry of Planning and Investment receives the employer's written request), except for force majeure events.

- Recording of online quotation result:

+ VNEPS records the final offered price of each bidder at the end of the online quotation process and the bidder ranking list;

+The consideration for contract award is carried out according to Article 61 of the Bidding Law based on the bid price of the first ranked bidder at the end of the online quotation process.

- Submission, appraisal of, approval for, and publication of contractor selection result:

The submission, appraisal of, approval for, and publicization of contractor selection result shall comply with Article 31 of Decree 24/2024/ND-CP.

- Finalization, signing, and management of contract performance:

The contract signed between the parties must be consistent with the decision on approval for contractor selection result, the bid, the bidding documents, and other related documents. The finalization, signing, and management of contracts shall comply with Article 32 and Article 33 of Decree 24/2024/ND-CP.

2. Principles of online quotation in Vietnam

According to Article 99 of Decree 24/2024/ND-CP, regulations on principles of online quotation are as follows:

- 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.

To Quoc Trinh

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