Feb 10 • 05:33 UTC 🇱🇻 Latvia LSM

The regulator has received signals about possible competition violations in building insulation and renovation

Latvia's Competition Council has issued recommendations to municipalities regarding procurement practices for the renovation of apartment buildings and improving energy efficiency.

The Latvian Competition Council (KP) has raised concerns regarding potential competition violations in the insulation and renovation sector of apartment buildings, prompting the authority to send recommendations to local municipalities. The KP advises municipalities, as purchasers in these procurements, to carefully examine the market to identify a wide range of potential bidders, understand their service offerings, pricing, and costs. This thorough market assessment helps municipalities make informed decisions based on their financial capacities while ensuring appropriate participation in procurement processes.

Additionally, the KP emphasizes the importance of municipalities independently preparing procurement documentation, particularly the technical specifications, to avoid reliance on external bodies. This proactive approach enables a clearer definition of project requirements and helps mitigate risks associated with improper pricing, whether excessively high or unusually low. In cases where municipalities struggle to develop these specifications, the GP suggests assessing industry associations for assistance, promoting a more competitive and transparent procurement environment.

Ultimately, the recommendations provided by the Competition Council aim to enhance fairness in procurement, ensuring that renovation and energy efficiency projects in Latvia are carried out in compliance with competition laws. This initiative not only protects market integrity but also ensures that municipal projects deliver value to taxpayers, ultimately benefiting the community and improving energy efficiency in the long run.

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