Inquiry proposes amended procurement rules to protect Sweden from antagonistic states

Current Swedish public procurement legislation does not expressly differentiate between suppliers from the EU and third countries with which the EU has free trade agreements, and those from third countries without such agreements. This means that all suppliers can take part in public procurements and have the right to equal treatment and judicial review by a court of law. The Court of Justice of the European Union clarified in two judgments that third-country suppliers from states without a free trade agreement with the EU do not have the same rights.

For this reason, the Inquiry proposes that Swedish public procurement legislation be amended so that it not longer applies to third-country suppliers from states without a free trade agreement with the EU. According to the proposal, procuring government agencies would be able to choose whether those suppliers are allowed to take part in public procurements and whether their tenders should be treated the same way as tenders from suppliers from Sweden or the EU. This would also improve possibilities to consider suppliers’ nationality and to rule out suppliers from antagonistic states.

– We must have stronger tools to safeguard Sweden’s interests and security. This proposal would reduce the risk of infiltration of important sectors such as IT, infrastructure and energy by hostile states,” says Minister for Public Administration Erik Slottner.

The Inquiry’s proposals would also mean that suppliers from states without a free trade agreement with the EU would no longer be covered by the possibilities of judicial review by a court of law provided under current public procurement legislation. Therefore, the memorandum outlines other rules and possibilities for judicial review by a court of law that could come into question for third-country suppliers to which the public procurement legislation would no longer apply.

The Inquiry’s proposals will now be examined by the Government Offices.