Procurement fine imposed on Västerås

Västerås municipality has concluded a contract with an online TV supplier.  The contract value is approximately SEK 1.1 million, which significantly exceeds the limit for direct award of contract. 

During its investigative work the Swedish Competition Authority has not found any possible exemptions from complying with the procurement rules. According to the Swedish Competition Authority, the exemptions which exist in the procurement rules for certain TV production cannot be used in this case, as the municipality is not a programme company with a public service commission.

“The procurement rules exist so that all suppliers have the same opportunity to conclude contracts with municipalities and authorities, and to guarantee that the best possible deal is made. It is important that tax money is used so that the municipality obtains the best quality at the best price,” says Kristina Geiger, Deputy Director General of the Swedish Competition Authority.

The Swedish Competition Authority is currently bringing a claim before the Administrative Court in Uppsala demanding that Västerås municipality should be ordered to pay a penalty/procurement fine of SEK 80,000.

Read the application, dnr 362/2016 (in Swedish)