Thresholds

National Threshold

National thresholds (kansalliset kynnysarvot) are the minimum contract values above which the Finnish Public Procurement Act applies. Procurements below these thresholds are not subject to the Act and can be conducted according to the contracting authority's own internal rules.

Definition

National thresholds are the lower value limits that determine whether a procurement falls within the scope of the Finnish Public Procurement Act. The thresholds are: EUR 60,000 for supply and service contracts, EUR 150,000 for works contracts, EUR 400,000 for social and other specific services (Annex E services), and EUR 500,000 for concession contracts. Procurements between the national threshold and the EU threshold follow simplified national procedures (Part III of the Act). Procurements below the national threshold are exempt from the Act entirely. They are defined in Section 25 of the Public Procurement Act (1397/2016).

Legal Reference

Public Procurement Act (1397/2016), Section 25

View on Finlex

Practical Example

A municipality needs to procure office supplies worth EUR 45,000. Since this is below the national threshold of EUR 60,000 for supply contracts, the Public Procurement Act does not apply. The municipality can use its own purchasing guidelines to conduct the procurement.

Common Mistake

Suppliers sometimes overlook procurements below the national threshold, assuming they are not available. While these procurements are not published on Hilma, many contracting authorities voluntarily publish them or send invitations to potential suppliers.

Frequently Asked Questions

Are procurements below the national threshold completely unregulated?

While the Public Procurement Act does not apply, contracting authorities must still follow the general principles of EU law, including non-discrimination, transparency, and proportionality, especially for procurements with cross-border interest. Most authorities also have internal procurement guidelines.

What is the difference between national and EU thresholds?

National thresholds determine whether the Finnish Procurement Act applies at all. EU thresholds determine whether the full EU-wide procurement rules apply. Between the two thresholds, simplified national procedures apply. Above the EU threshold, the full EU procedures (including TED publication and ESPD) are required.

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