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Limited bidding is a method of selecting contractors where only a number of contractors meeting the package's requirements are invited to bid, applied in the following cases:
- Packages with high technical requirements or specific technologies that only a few contractors meet.
- The capital sponsor for the project/package requires Limited bidding in international treaties, foreign loan agreements.
*** Note: Limited Online Bidding is similarly understood as Limited bidding, and currently, the National Bidding System does not support Limited Online Bidding.
According to Article 43 of the Bidding Law 2023, the process of Limited bidding is as follows:
Step 1: Preparation for contractor selection. In this step, the bid solicitor needs to prepare the following contents:
Step 2: Organizing contractor selection. The bid solicitor carries out inviting contractors, issuing, amending, clarifying bidding documents. Then, preparing, submitting, receiving, managing, amending, withdrawing bid documents, and opening technical proposals.
Step 3: Bid evaluation. In this step, the bid solicitor performs:
Step 4: Contract negotiation for consulting service packages.
For packages of goods procurement, construction, non-consulting services applied to international bidding, mixed packages, and packages with high technical requirements, if necessary, the bid solicitor may negotiate the contract with the top-ranked contractor;
Step 5: Submitting, appraising, approving, publicly announcing the contractor selection results, and explaining reasons for contractors not winning the tender upon request.
Step 6: Finalizing, signing, and managing the contract execution.
*** Note: For Limited Online Bidding, the bid solicitor must post information on the National Online Bidding System as regulated in Article 7 of the Bidding Law 2023. However, the system currently does not support Limited Online Bidding.
According to Articles 21 and 22 of the Bidding Law 2023, Open Online Bidding and Limited Online Bidding differ in the following criteria:
Criteria | Open Bidding | Limited Bidding |
Legal Basis | Article 21 of the 2023 Procurement Law | Article 22 of the 2023 Procurement Law |
Number of participating contractors/investors | Unlimited number of contractors | Only a number of contractors meeting the package's requirements are invited to bid |
Applicable cases | Applied to all packages, except for packages applying other bidding methods | Applied only to packages with high technical requirements or specific technologies that only a few contractors meet. |
Advantages | Highly competitive | Saves time and research costs |
Disadvantages | Challenges for the bid solicitor in managing many documents, high bidding costs, and prolonged execution time. | Difficult to find suitable contractors due to few participants - Low competitiveness |
Author: Phượng Hồ Thị Hoa
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