The European Union has published its Progress Report on Albania, a 102-page document analyzing the country’s performance in key areas such as judicial reform, the fight against corruption, and developments in public administration.
In the chapter on public procurement and public-private partnerships (PPPs), the report notes that although significant improvements have been made in transparency and the use of open procedures, the legal framework remains only partially aligned with the EU acquis.
According to the report, the transitional provision of the new law that allows central institutions to negotiate international consultancy agreements in “areas of strategic interest,” exempting them from open competition, continues to raise concerns about compliance with the Stabilisation and Association Agreement.
“The transitional provision of the new law authorizing central government institutions to negotiate and sign international consultancy agreements in ‘areas of strategic interest,’ excluding them from open competition, continues to raise concerns about compliance with the EU acquis and the Stabilisation and Association Agreement.
The law on concessions and public-private partnerships (PPPs) is only partially aligned with the EU acquis. The process of substantially revising this law to achieve full alignment with EU standards has not yet been completed.”
Implementation and Administrative Capacity
The public procurement market in Albania represented 16.5% of GDP in 2024 (up from 6.7% in 2023). The use of negotiated procedures without prior publication decreased both in number (2.3% of all procedures, down from 2.9% in 2023) and in value (0.4% of the total, down from 2% in 2023).
There was a significant increase in new framework contracts — both in number (1,601 in 2024, up from 767 in 2023) and in value — partly due to the functioning of the new Central Procurement Organization.
The application of the “Most Economically Advantageous Tender” (MEAT) criterion in awarding contracts rose sharply in 2024, both in the percentage of tenders where it was used (4.8% in 2024, up from 3.6% in 2023) and in the value of those contracts (41% in 2024, up from 20.3% in 2023).
The Public Procurement Agency (PPA) published new guidelines in September 2024 for the use of the MEAT criterion and expanded training in this area.
The use of new PPPs and concessions remains very low — only one procedure was launched in 2024, and no contracts were awarded. Contracting authorities must continue building capacity to effectively manage public procurement processes. Work has begun on preparing technical specifications for improving the electronic procurement system. Training efforts have intensified: in 2024, 3,139 people participated (compared to 247 in 2023) from 443 central, local, independent, and private institutions (up from 98 in 2023).
Preventing Corruption in Public Procurement
To prevent corruption in public procurement, Albania must continue strengthening the overall system to enhance competition, compliance, and professionalism.
Effective Appeal System
The Constitution and the Public Procurement Law include provisions on the right to legal remedies, which are largely in line with the relevant EU directives.
The capacities of the State Appeals Commission (SAC) must be further strengthened, given the large number of complaints it handles (1,151 in 2024, up from 1,019 in 2023).
In 2024, the Public Procurement Commission (PPC) issued 1,050 decisions, 42 of which were appealed in court, the report states.
