Bureaucracy reduction - Public authorities can soon issue orders simpler
Companies in Baden-Wuérttemberg should come easier to public contracts in the future. Wirtschaftsministerin Nicole Hoffmeister-Kraut (CDU) said in Stuttgart to the German Press Agency: "The threshold for direct contracts to companies should be increased from 25,000 to 100,000 Euro." Then it would be easier for the state institutions to award contracts. Not always is the cheapest the best. The corresponding administrative regulation has been reduced from 59 to twelve pages and has thus been significantly simplified.
The administrative regulation Procurement is to be decided on Tuesday in the cabinet and to come into force on 1st October. It applies to state authorities. The CDU politician further stated, it is crucial that bureaucracy be dismantled. The authorities are suffocating in the flood of regulations. "If the pressure from the economy was not so great, there would not be a move towards the abolition of regulations."
In order to significantly consider Start-ups with their offers in the public contract business and to mobilize them for public contracts, innovative awards to Start-ups are to be particularly supported within the framework of a three-year pilot project.
The Managing Director of the IHK-Region Stuttgart, Susanne Herre, supports the planned change. This is a bold step towards bureaucracy reduction and should set an example, she said. "It would be a massive relief for both the issuing authorities and the companies bidding for contracts. Many small and medium-sized companies could again submit offers without being burdened by the unbelievable formalism of the procurement law."
The proposed change in administrative regulations is being supported by the Managing Director of the IHK-Region Stuttgart, as it aims to reduce bureaucracy. This move, according to her, is a significant step towards easing the procurement process for both state authorities and companies. By increasing the threshold for direct contracts to companies from 25,000 to 100,000 Euro, the Regional Authority in Baden-Württemberg hopes to make it easier for companies to secure public contracts. The CDU politician, Nicole Hoffmeister-Kraut, emphasizes the importance of dismantling bureaucracy, stating that it is suffocating the authorities due to the flood of regulations.
