The Competition Council (CC) has issued a critical advisory to public entities involved in the procurement, construction, and reconstruction of biomass and wood chip boiler houses. Following a detailed review of recent public tenders, the watchdog emphasizes that procurement bodies must design their technical specifications, qualification rules, and evaluation criteria to reflect the diverse technological solutions available on the market rather than restricting fair competition.
According to the CC, the market currently offers a wide array of biomass boiler technologies capable of meeting essential benchmarks for capacity, energy efficiency, emission limits, and operational safety. However, some contracting authorities are narrowing competition by including highly specific demands in their tender documents. These restrictive terms often dictate particular fuel supply designs, cooling systems, equipment dimensions, or even exact numbers of fans, alongside over-targeted requirements for previous experience.
The competition authority notes that while complex energy infrastructure projects justify strict standards for quality and safety, these requirements must remain proportionate and verifiable. Specifying rigid design elements instead of focusing on functional outcomes risks creating a “supplier lock-in,” where only a single manufacturer or a tiny handful of bidders can qualify. This occurs even when perfectly equivalent, alternative technologies are readily available.
To counter these risks, the CC advises public buyers to conduct thorough market research before launching tenders and to frame technical specifications around performance targets, such as fuel moisture tolerances and automated safety functions. Furthermore, emission and efficiency benchmarks should rely on clearly defined test conditions, while qualification criteria and financial guarantees must be balanced so they do not act as artificial barriers to entry.
Ultimately, the CC stresses that open competition is not just a regulatory formality but a tool for ensuring the smart use of public funds. Restrictive tenders drive up project costs and block innovative, highly efficient technologies from entering the market. CC Chairwoman Ieva Šmite highlighted that public procurement must prioritize the desired final result rather than creating an artificial dependency on a single supplier. Moving forward, the watchdog will actively monitor procurement practices to ensure free competition and neutrality are maintained in the public interest.