Relevant for: buyers and contract managers at Dutch contracting authorities and utilities (water, energy, transport, postal services) tendering above the EU thresholds.
Awarding public contracts on lowest price alone is set to end for EU tenders, framework agreements in the utilities sector are set to become shorter and the origin of products may start to count. That is what the proposal for a single EU procurement regulation, the Public Procurement Act, sets out. The European Commission adopted it on 9 September 2026. It is not law yet: the Council and Parliament still have to agree, and SIVON expects the rules to apply from early 2029. How existing contracts will be treated is still open. Take stock of contract terms and origin data now, but change nothing yet.
What is actually happening
The Commission published the proposal on its public procurement policy page; according to eucrim it carries the number COM(2026) 590 final. It replaces three directives: 2014/23 (concessions), 2014/24 (public sector) and 2014/25 (utilities). Because it is a regulation, the EU rules will apply directly. The Dutch Public Procurement Act 2012 will have to be amended accordingly.
The number of procedures falls from five to three: according to Crowell & Moring, the open, the dynamic and the innovation procedure. The table sets out the main changes, based on analyses of the proposal text by law firms and knowledge centres.
| Element | Now (2014 directives) | Proposal 9 September 2026 |
|---|---|---|
| Procedures | five | three: open, dynamic, innovation |
| Negotiation | limited in the public sector | also allowed in the public sector |
| Award | lowest price allowed | at least 30% quality; 50% for labour-intensive contracts |
| Framework agreement | 4 years; 8 years for utilities | 3 years with one operator, 5 years with several; no exception for utilities |
| Contract modification | cap of 50% of the original value | no cap; prior notice above 50% |
| Origin | no general EU preference | optional EU preference; reject if less than 50% of the value is 'covered' |
A contract is labour-intensive if labour normally accounts for at least 50% of the contract value, according to an analysis on Lexology. If you deviate from the quality weighting, CMS says you must explain how you secure quality in another way, for example through minimum requirements in the specifications.
The thresholds remain. For 2026 and 2027, PIANOo lists 432,000 euros for supplies and services and 5,404,000 euros for works for utilities. Sub-central authorities are at 216,000 euros for supplies and services, central government at 140,000 euros.
According to Herbert Smith Freehills, stakeholders can respond until 16 November 2026. The aim is an agreement by the end of 2027.
Structural drivers
Economic security. The proposal introduces a framework for European preference. Applying it is voluntary. A public buyer may exclude companies from outside the EU and outside 'covered' countries: countries that are party to the WTO Government Procurement Agreement (GPA) or have a trade agreement with the EU. The buyer may also require EU origin, give covered tenders an advantage, or reject a tender if less than 50% of its value is covered. The origin of goods follows the non-preferential rules of origin in the Union Customs Code. That is according to Herbert Smith Freehills.
Brussels keeps a lever. The Commission would gain the power to make European preference mandatory through delegated acts, where this is "in the interest of the Union". Herbert Smith Freehills expects Parliament and the Council to define that power more tightly.
The Netherlands walks a fine line. In June 2026 the Dutch government backed a "careful and targeted" European preference principle for strategic sectors, which must be temporary, effective and proportionate, PIANOo reports. The Netherlands also wants simpler rules, better control of supply chain risks and better procurement data.
Who is directly affected
Directly: contracting authorities. Central government, provinces, municipalities and water boards will tender above the threshold under one EU rulebook, including their choice of procedure, award criteria and contract modifications.
Directly: utilities. Grid operators, drinking water companies, transport operators and postal companies lose their longer term for framework agreements: from 8 years to a maximum of 5.
Indirectly: suppliers and subcontractors. Component suppliers, machine builders, ICT suppliers and construction firms only face the origin test if the contracting authority applies European preference or the Commission makes it mandatory. The main contractor must then demonstrate origin across the contract value and will request that data from its subcontractors.
Not directly: private buyers. A chemicals company or agrifood processor that buys only for the private market falls outside the proposal. So do contracts below the EU thresholds, as they do now.
The second-order effect
This section is Orbecta analysis. The proposal may still change substantially; each scenario rests on one condition.
Scenario 1: origin becomes a tender requirement. Condition: Dutch buyers actually apply the preference in strategic categories, or the Commission makes it mandatory. Suppliers would then build up origin records per component and are likely to pass those costs on in their price. Suppliers with many parts from non-covered countries may drop out or change their sourcing mix. Indicator: the share of covered origin per category in your own supplier base.
Scenario 2: shorter framework agreements for utilities. Condition: the 5-year cap survives the negotiations. Grid operators and drinking water companies would then retender more often, and suppliers get less long-term volume certainty. That may lead them to ask for shorter fixed-price periods or stricter indexation at retender. Indicator: the number of framework agreements running beyond 2029.
Scenario 3: quality must count. Condition: the 30% minimum weighting stays. Competition then shifts from price to performance, and buyers must set measurable quality criteria for every tender. If you currently award cleaning, security or grounds maintenance on lowest price, contract prices may rise at the first retender. None of the sources quantifies this. Indicator: the share of your current tenders awarded on lowest price.
Dutch procurement impact
Contract clauses: term and modifications
Directly: whether the new rules affect what you award in 2027 or 2028 depends on the transitional provisions, which are not yet settled. So do not shorten contract terms now on the basis of a proposal, but do map which contracts run beyond 2029. If the modification cap disappears, you gain more room to adjust existing contracts. A contract with clear modification clauses and price review formulas then gives you more grip than one without.
Supplier conversations: origin data
Directly: suppliers that import themselves already know the rules of origin from their customs declarations. If you or the Commission apply the preference, you need a statement of origin per main component. The composition of the bill of materials then determines whether a tender meets the 50% threshold.
Sourcing mix: covered and non-covered origin
Indirectly: switching to covered origin is not a like-for-like swap. An EU supplier of transformers or cables does not automatically have the same capacity as a current supplier from a non-covered country. Compare alternatives on qualification time, standards, lead time and price. If the Commission makes the preference mandatory for a product group, your supplier field there shrinks in one go. The buyer who has already benchmarked the alternative is then in a stronger position.
What is confirmed and what is still uncertain
What is confirmed
- The Commission adopted the proposal for a Public Procurement Act on 9 September 2026.
- The proposal replaces three directives with one directly applicable regulation.
- The proposed text sets a minimum quality weighting of 30%, and 50% for labour-intensive contracts.
- European preference is voluntary, with a power for the Commission to make it mandatory.
What is still uncertain
- Whether the 30% weighting, the 5-year framework cap and the 50% origin threshold survive the negotiations.
- How the transitional provisions treat existing contracts.
- For which product groups the Commission will make the preference mandatory.
- Whether agreement by the end of 2027 is reached, and so whether application around 2029 is realistic.
What to watch
- The feedback round, which closes on 16 November 2026.
- The Council's position and amendments in the European Parliament.
- PIANOo publications on the Dutch position and the impact on TenderNed.
What you can do now
- This month: list all framework agreements you will (re)tender from 2026 to 2028 and mark which run beyond 2029 including option years. Do not change terms yet: the 5-year cap is a proposal and the transitional provisions are unknown.
- Before 16 November: give input through your industry association on the points that affect you, such as framework duration for utilities or the origin test.
- This quarter: ask your ten largest suppliers in strategic categories for a statement of non-preferential origin per main component. Make it a voluntary request within existing contracts; only lay down any origin requirement at renewal or in a new tender.
- This year: for tenders you prepare from 2027, test how a quality weighting of 30%, and 50% for labour-intensive contracts, would work out. Do not fix those percentages as a standard while the proposal is not final.
How Orbecta supports you
With Contract Intelligence you analyse a framework agreement for term, extension options and modification clauses. The Supply Risk Index gives a risk score per country and trade corridor. Retendering, or discussing origin data with suppliers? Prepare that conversation with Warroom Prep.
Sources
Primary source: European Commission — Public procurement: Public Procurement Act — September 2026 Primary source: PIANOo — Drempelbedragen Europees Aanbesteden — thresholds valid 1 January 2026 to 31 December 2027 Primary source: PIANOo — Kabinet wil aanbestedingsregels vereenvoudigen en inkoopkracht beter benutten — 22 June 2026 Operational confirmation: SIVON — Voorstel nieuwe aanbestedingsregels: meer nadruk op kwaliteit — 21 September 2026 Additional context: Herbert Smith Freehills Kramer — The EU Public Procurement Act: The Commission proposes a European preference framework — 21 September 2026 Additional context: CMS — European Commission presents proposal for a new public procurement regulation — 25 September 2026 Additional context: Lexology — New EU Regulation to overhaul Public Procurement regime — 28 September 2026 Additional context: Haavi — EU Public Procurement Act: what the Commission proposal means for bidders — September 2026 Additional context: Crowell & Moring — EU Public Procurement Overhaul: European Commission Proposes Single Regulation to Replace 2014 Directives — October 2026 Additional context: eucrim — Commission Presented Proposal for New EU Public Procurement Law — date not specified
Orbecta analysis based on the sources above.