Public procurement: the era of common sense?

Faced with red tape that discouraged smaller businesses, the federal government has agreed to streamline public procurement rules. This is a welcome breath of fresh air for the Brussels economy.

Until now, bidding on a public contract for a small business was a real ordeal. Over the years, the accumulation of procedures and formal requirements has driven away many SMEs from a market that is far from marginal. The result? In Belgium, public procurement represents nearly 15% of the gross domestic product (GDP). However, this financial windfall largely escaped our local businesses, discouraged by barriers to entry deemed insurmountable.

Excessive regulatory zeal, sometimes going well beyond the requirements imposed by Europe, ultimately stifled the diversity of bids. Aware of this deadlock, the Council of Ministers has just approved a draft bill that redefines the regulatory framework. This reform, spearheaded by the federal government, resonates particularly strongly in Brussels, where the high density of SMEs demands exceptional responsiveness.

A major overhaul of the figures

The first real relief from this reform lies in one figure: €75,000. This is the new threshold for simplified procedures, compared to €30,000 previously. This is an adjustment that the business community has been demanding for ten years. Below the €3,000 mark, direct awarding becomes possible, without any formalities. We are finally in line with our neighbors.

When questioned about this timeline, the Deputy Prime Minister and Minister of Employment, Economy, and Agriculture, David Clarinval, sheds light on the political maneuvering: "For a reform to take place, there needs to be strong political will and sufficient agreement at the negotiating table." According to him, the current team has provided "a better lineup to tackle the challenges of administrative simplification, and in particular, the contractual relationship between public buyers and businesses." "Led hand in hand with the Prime Minister, this project aims to revitalize the economy. For entrepreneurs, 'new markets are opening up to them,' because bureaucracy will no longer be a barrier."

The bet on trust

The real breakthrough is philosophical: the introduction of a right to make mistakes. Tomorrow, forgetting to sign something will no longer mean the immediate exclusion of an otherwise excellent bid. David Clarinval perfectly summarizes the issue: "The question of trust/distrust is at the heart of public procurement regulations." While public funds must be monitored, "the administrative requirements put in place to guarantee objectives must not have perverse effects such as disqualifying bids submitted by high-quality partners. Substance must take precedence over form," the minister explains.

Regulating without stifling: this is precisely the guiding principle that Beci champions on the ground. This desire for simplification extends beyond the realm of public procurement alone. It also informs the SME Plan led by Éléonore Simonet, Minister for the Self-Employed and SMEs. Relaxing selection criteria, introducing the right to make mistakes, and taking short supply chains into account in certain markets are among the measures she has championed since joining the government. "Three key measures in favor of SMEs," the minister emphasizes, seeing them as a way to broaden access to public procurement and "increase the participation rate of SMEs in public contracts to 80%."

Reconnecting Brussels to federal dynamics

On paper, it's a victory. In Brussels reality, it will be necessary to take the plunge. Our SMEs have neither the time nor the legal services of large corporations. David Clarinval is realistic but encouraging: "I understand the reluctance of SMEs; it must be acknowledged that participating in a public tender is a complex operation, but it is through participation that skills are developed." The minister also advises relying on organizations like Beci to become familiar with tools such as the e-procurement platform. "Even if it is still too often late with payments, the State remains a reliable debtor!"

This reform is just the beginning. Éléonore Simonet, who has held numerous sectoral meetings, emphasizes the method: "This SME Plan translates into action the needs expressed by those who create value and jobs." “Faced with crises,” she also emphasized, “the resilience of our SMEs is our best response to global uncertainties. With this Plan, we want to unleash their potential, offer them a simpler and fairer framework, and enable them to turn their ambitions into successes.” The message has been delivered. The framework is being streamlined; it’s up to our entrepreneurs to take advantage of it.