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Bromölla’s cooperation agreement on services related to waste management was an illegal direct award of contract

The cooperation agreement signed between Bromölla Municipality and Kristianstads Renhållnings AB did not constitute the type of cooperation between contracting authorities that is exempt from the requirement for a prior notice. Since the agreement was concluded without a prior notice according to the procurement rules, the Swedish Competition Authority deems this to be an illegal direct award of contract.

In January 2021, Bromölla Municipality entered into a cooperation agreement with Kristianstads Renhållnings AB regarding services related to waste management. The agreement covered a range of service, including IT, communication, waste management expertise and customer services. The agreement, which runs from 1 January until 31 December 2021, was not advertised in accordance with the Swedish Public Procurement Act.

Contracting authorities have certain specific opportunities to enter agreements without a prior notice regarding agreements based on a cooperative concept. In practice, the agreement entered into between Bromölla Municipality and Kristianstads Renhållnings AB involves the performance of certain services on behalf of the municipality against payment. Given the circumstances, it is apparent that the agreement does not constitute the type of concept exempted under the provisions of the Public Procurement Act.

 “While it is desirable for contracting authorities to collaborate to deliver public services in a resource-efficient manner, it is important to ensure that cooperation between the authorities complies with public procurement rules,” says Rikard Jermsten, Director General of the Swedish Competition Authority.

A cooperation agreement in which one party’s contribution primarily consists in paying for services rendered is not exempt from the obligation to advertise the intention to award a contract. This being the case, the agreement entered into by Bromölla Municipality was an illegal direct award of contract. The Swedish Competition Authority is now referring the matter to the Administrative Court in Malmö with the demand that the Municipality shall be required by law to pay SEK 110,000 by way of a procurement fine.

For further information, please contact:

Marie Strömberg Lindvall, Communications Officer, +46 (0)76 542 15 92,
Sophia Anderberg, Legal Counsel, 08-700 15 63,

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Last updated: 2022-01-18

Press release13 december 2021