Montenegro

Gaps in Procurement Law and Contract Management

• Issue: The legal framework lacks clear rules on contract management, administrative debarment, and security protocols for procurement records.
• Recommendations:
  • Amend procurement laws to define contract management roles and responsibilities.
  • Introduce formal debarment procedures and align them with international standards.
  • Establish security protocols for managing procurement records​.

Challenges in Appeal Mechanisms and Market Access

• Issue: Simplified procurement procedures are exempt from appeals, limiting supplier rights.
• Recommendations:
  • Expand appeal rights to cover simplified procurement procedures.
  • Conduct a wide-ranging review of market barriers that restrict private sector participation​.

Lack of IT Expertise and Staffing for E-Procurement

• Issue: The DPPP is understaffed and lacks IT expertise, relying entirely on external vendors for system maintenance.
• Recommendations:
  • Establish a dedicated IT team within DPPP.
  • Set up a permanent helpdesk for EPPS users​.

Weak Coordination Between Procurement Oversight Institutions

• Issue: Overlapping responsibilities between DPPP, the State Audit Institution (SAI), and the Commission for Protection of Rights in Public Procurement create inefficiencies.
• Recommendations:
  • Clarify the mandates of procurement oversight bodies.
  • Improve coordination mechanisms to enhance regulatory effectiveness​.

Limited Market Competition and Private Sector Engagement

• Issue: A few suppliers dominate public contracts, and economic operators perceive the market as non-competitive.
• Recommendations:
  • Conduct sectoral analysis to identify competition barriers.
  • Improve market engagement strategies, particularly for complex projects​.

Challenges in the Implementation of Electronic Procurement

• Issue: The EPPS lacks full automation and interoperability with other government systems, limiting efficiency.
• Recommendations:
  • Fully automate the procurement cycle to enhance data integrity.
  • Improve EPPS integration with financial and tax systems​.

Weak Anti-Corruption Measures and Whistleblower Protections

• Issue: Procurement laws lack clear definitions of fraud, corruption, and prohibited practices, and whistleblower protections are weak.
• Recommendations:
  • Amend laws to define corruption offenses and introduce stronger whistleblower protections.
  • Develop a national anti-corruption strategy for procurement​.

Limited Transparency and Public Access to Procurement Information

• Issue: Data on procurement complaints, appeals, and contract modifications is not systematically published.
• Recommendations:
  • Require mandatory publication of procurement complaints and appeals decisions.
  • Improve data transparency in EPPS by making contract amendments publicly accessible​.