The Public Administration Electronic Contracting Platform (PECAP)

Published on: 28/12/2005
The Public Administration Electronic Contracting Platform is an internet portal (, whose purpose is to improve operational efficiency and productivity in the management of public contracting. The tool is specifically designed for e-procurement.

Main results, benefits and impacts

The advantages of using the platform both for public administrations and companies are: - The Electronic Contracting Platform simplifies the contracting processes - It enables the duration of the negotiation processes to be reduced - It makes it easier to integrate the contracting processes with different internal processes of public administrations and suppliers - It reduces the volume of paper used in contracting files - It allows commercial operation in a safe, transparent, neutral environment where it is possible to work 24/365 - It offers a market where new customers can access, public administrations in this case Additionally, the Public Administration Electronic Contracting Platform adds the following values: - The increase of the transparency in contracting processes - Access to a larger critical mass of companies and suppliers and contracting public administrations - Access to the best market prices There are two participation roles in the PECAP: the entities of the administration that make the purchases (purchasers) and the companies that make the sales (suppliers).At present, 33 Public Administrations have signed the inter-administrative agreement of collaboration with Localret consortium to use the Portal. And 40 companies have performed the registration process. Until now, the purchasing operations using PECAP are 7 online auctions with a total auction volume of ?144,267. The Commission notes that if public administrations were to generally adopt e-procurement, there would be a 5% saving for the public purse, and companies would save between 50% and 80% on transaction costs. These figures and results are due to the legal and administrative difficulties of public administration to perform an advance service. To publish the public tenders online require from public administration more detailed information about the service requirements. In addition, there is no specific legislation on public administration electronic contracting. On the other hand, the private companies can see this tool as a way of increasing their competition and so a danger of reducing their profits. An important aspect of this project will be to overcome the cultural reserves both from public administration as well as privates.

Return on investment

Return on investment: Not applicable / Not available

Lessons learnt

PECAP smooths the path for other Public Administrations and familiarises them with: the EU legal framework applicable to public e-purchasing (Directives by the European Parliament and Council, 2004/18/CE of the 31st of March 2004, concerning adjudication procedures for public works contracts, supplies and services; 2004/17/CE of the 31st of March 2004, covering contract adjudication procedures in the water, energy, transport, and postal services sectors); electronic purchasing systems; new contract procedures; negotiation; dynamic purchasing systems; e-auctions, etc. Scope: Local (city or municipality)