Public Procurement Act
The Public Procurement Act is the European Commission's proposal of 9 September 2026 for a Regulation of the European Parliament and of the Council on public contracts and concessions (COM(2026) 590 final). It would repeal Directives 2014/23/EU, 2014/24/EU and 2014/25/EU and replace them with a single Regulation applying directly in every Member State. The proposal reduces procedures to three, sets a 30 % minimum weight for quality in award criteria, introduces a European preference framework and builds an EU-wide digital procurement ecosystem. The in-house exemption keeps the current directive test, and Member States may regulate it more strictly. Application is expected in 2029–2030 at the earliest.
Definition
The Public Procurement Act refers to Commission proposal COM(2026) 590 final (2026/0265 (COD)) for a Regulation on public contracts and concessions. Unlike a directive, a Regulation applies directly: its rules on procedures, exclusion and award bind public buyers as such, and national law is confined to what the Regulation expressly allows, such as stricter in-house rules (Article 80(5)) and a duty to divide contracts into lots (Article 100(7)). Thresholds (Article 2) equal those in force since 1 January 2026. The Regulation would enter into force 20 days after publication and apply two years later (Article 149).
Legal Reference
COM(2026) 590 final, 2026/0265 (COD); repealing Directives 2014/23/EU, 2014/24/EU and 2014/25/EU
View on FinlexPractical Example
A jointly owned municipal IT company sells services to its owners without a tender. Under Finnish law it may sell at most 5 % and EUR 500 000 to outsiders, and from 1 July 2027 each owner must hold at least 10 %. Under Article 80 of the proposed Regulation outside sales could be just under 20 % with no ownership floor, but Article 80(5) lets Finland keep its stricter rules. What matters for the company and its competitors is therefore the national decision taken when the Finnish act is rewritten to fit the Regulation.
Common Mistake
A common mistake is to assume the Regulation overrides national reforms immediately. It is a proposal; negotiations are expected to run to the end of 2027 and application starts two years after entry into force. Until then national procurement acts apply in full.
Frequently Asked Questions
When does the Public Procurement Act apply?
The proposal was adopted on 9 September 2026. Agreement is targeted for end-2027 and the Regulation would apply two years after entry into force, so 2029–2030 at the earliest.
Does the Public Procurement Act repeal national procurement laws?
Once it applies, national acts must be rewritten because the directives are repealed. Member States keep stricter in-house rules, may oblige division into lots, and continue to regulate below-threshold procurement and remedies.
What does the Act say about in-house contracts?
Article 80 excludes contracts where the buyer controls the entity, more than 80 % of its activity is for the controlling buyers and there is no private capital. Article 80(5) allows stricter national rules.
Related Guides
EU Public Procurement Act: what the Commission proposal means for bidders
The Commission's 9 September 2026 proposal explained with article references: in-house and Article 80(5), three procedures, 30 % minimum quality weighting, European preference, digital ecosystem and timeline. Includes a legislative tracker and a Finland case study.
Read guideFinnish Procurement Act Reform 2026: What Changes for Bidders
What the new Finnish Procurement Act of 18 June 2026 means for companies and bidders: dividing contracts into lots, the single-bid rule, in-house entities and exclusion grounds, with section references and transitional periods.
Read guideEU Procurement Thresholds 2026: €140k / €216k / €5.404M
EU procurement thresholds changed on 1 January 2026: €140,000 central government, €216,000 other authorities, €5,404,000 works. All EU and Finnish national thresholds in clear tables, plus what crossing each limit means for bidders.
Read guideRelated Terms
In-house entity
An in-house entity (sidosyksikkö) is a unit controlled by a contracting authority that it can buy from without competition. How the 2026 reform tightens the rules, and why the EU Public Procurement Act does not remove Finland's limits.
Open Procedure
Learn how the open procedure works in Finnish public procurement. Any supplier can submit a tender without pre-qualification under hankintalaki 1397/2016.
Dynamic Purchasing System
Learn about the dynamic purchasing system (DPS) in Finnish public procurement. An open system where new suppliers can join throughout its duration.
EU Threshold
Learn about EU procurement thresholds in Finnish public procurement. The value limits above which EU-wide tendering rules apply under hankintalaki.
Most Economically Advantageous Tender
MEAT compares bids on price and quality combined — not just lowest price. See scoring criteria, weighting, and how bidders win MEAT-based EU tenders.
TED (Tenders Electronic Daily)
TED (Tenders Electronic Daily) is the EU's official procurement notice channel publishing all above-threshold tenders. How bidders use TED effectively.
Haavi monitors public tenders for you
AI-powered procurement monitoring finds relevant tenders for your company automatically.