Region Skåne bought medical supplies without public procurement

Region Skåne has entered into a contract for medical supplies estimated to be worth 29 million SEK without first issuing a prior notice in accordance with the Swedish Public Procurement Act (LOU). The Swedish Competition Authority considers this an illegal direct award of contract and is now seeking to impose a procurement fine of SEK 2.5 million.

In November last year, Region Skåne extended a previously procured framework agreement for medical supplies. The region has extended this framework agreement several times despite the fact that the option for extension expired in August 2020.

According to Region Skåne, the then-ongoing COVID-19 pandemic was an unforeseen circumstance that entitled the region to extend the framework agreement without conducting a new procurement. The region also argued that the extension could be exempt from the requirement for prior notice under the Swedish public procurement law for reasons of extreme urgency. Inflation and the war in Ukraine led to delivery and financial issues for the region's suppliers, which allegedly left the region with no room to conduct a new procurement.

The Swedish Competition Authority points out that the outbreak of the COVID-19 pandemic occurred more than three and a half years prior to the agreement made in November 2023. Therefore, it was not an unforeseen circumstance. There was also no extreme urgency, as Russia's invasion of Ukraine took place over a year and a half before the agreement was made.

“A contracting authority must ensure that it has procedures in place to comply with procurement legislation. This principle applies even in times of crisis. Without proper control over its contracts, the authority risks making purchases more expensive and harder to monitor,” said Hanna Witt, acting Director General of the Swedish Competition Authority.

The Swedish Competition Authority is now petitioning the Administrative Court in Malmö to impose a procurement fine of SEK 2.5 million for an illegal direct award of a contract. Region Skåne has previously been ordered to pay procurement fines on four occasions due to illegal direct awards of contract. This is an aggravating circumstance that, according to the Swedish Competition Authority’s assessment, increases the size of the fine for the current violation.

For further information, please contact:

Marie Strömberg Lindvall, Press Officer, +46(0)76 542 15 92, marie.stromberglindvall@kkv.se
Stefan Olsen Siri, Legal Counsel, +46 (0)8 700 15 37, stefan.olsensiri@kkv.se

Region Skåne bought medical supplies without public procurement

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