Suspension of auctions

Article 19 bis. Conditions for use of electronic reverse auctions

The Guide could also address issues arising from the relative novelty of electronic reverse auctions, such as the provision of training and holding simulated auctions.

It has been observed that electronic reverse auctions have many potential benefits.

Article 47 bis. Conduct of electronic reverse auctions in the pre auction period

Such information may become less important as experience with auctions increases.

The draft provisions and commentary above are presented on the basis of providing for electronic reverse auctions alone.

Electronic technologies have facilitated the use of reverse auctions by greatly reducing the transaction costs.

Draft provisions to enable the use of electronic reverse auctions under the Model Law and to establish conditions for their use

Such auctions have been increasing in use since the text of the original Model Law was adopted in 1994.

1.188 All tender and contract document templates will have been revised to take into account current technical and legal issues.

Electronic reverse auctions (A CN.9 WG.I WP.40 and Add.1, paras.

But on 1 April 1949, these notes were stamped with Government of Pakistan and were used as legal tenders.

(a) The enabling provisions should be based on the use of electronic reverse auctions as a procurement method rather than a phase in other procurement methods

Draft provisions addressing the conduct of electronic reverse auctions under the Model Law proposed new article 47 bis and ter

It has been observed that electronic reverse auctions rarely close after a fixed duration of time has expired (known as a hard close time ).

It was also noted that at least in one jurisdiction no tender securities were used at all in electronic reverse auctions.

(4) Enacting States may wish to provide guidance as to how auctions may be closed under paragraph 2.

(b) Conditions for use of electronic reverse auctions (article 19 bis) (A CN.9 WG.I WP.40, paras.

Article 63 of Ordinance No. 20 of Romania of 24 January 2002 concerning public acquisitions by means of electronic bids.

Possible revisions to the UNCITRAL Model Law on Procurement of Goods, Construction and Services drafting materials for the use of electronic reverse auctions in public procurement

(2) In any procurement by means of an electronic reverse auction, the procuring entity shall may engage in prequalification proceedings in accordance with article 7 .

The issue for consideration is the additional time and costs burden of running larger auctions as against their more rigorous competitive effect.

This note will present for the Working Group's consideration the drafting materials requested for provisions to govern the use of electronic reverse auctions.

(e) Revisions to the Model Law to enable the use of electronic reverse auctions (A CN.9 WG.I WP.40 Add.1, paras.

Publication of some additional information may be necessitated by new electronic procurement techniques and features, such as e catalogues, dynamic purchasing systems or electronic reverse auctions (ERAs).

Also, as regards paragraph (1) (c), the Working Group may wish to consider the extent to which the conditions for use of electronic reverse auctions should be specified.

As final prices are determined through the auction, prior disclosure of bidders' identities may be unnecessary, and such disclosure also contravenes the principle that the identity of the parties should not be disclosed while the procurement proceedings are not complete.

At its seventh session, the Working Group noted that electronic reverse auctions were increasingly used as a method of procurement in those countries where e commerce had become a norm.

The Working Group therefore requested the Secretariat to draft general enabling provisions for the Model Law to provide for the use of electronic reverse auctions, and to set out the key principles for their use.

In model 3 auctions, the winning bidder is not known until after the full evaluation of auctionable and non auctionable criteria.

(d) A note concerning electronic reverse auctions and abnormally low tenders, including drafting materials (A CN.9 WG.I WP.40 and Add.1).

(1) The provisions of chapter III of this Law shall apply to procurement by means of electronic reverse auctions except to the extent that those provisions are derogated from in this article.

Even if the use of auctions is limited to standardized goods and services, non price considerations (such as running and maintenance costs of vehicles) may be significant.

However, even in auctions of models 1 and 2, there may be situations in which the lowest bid is not necessarily the winning bid.

See, e.g., the requirement in the OGC's E auctions guidelines (available at http www.ogc.gov.uk index.asp?docid 1001034).

It was observed that paragraph (4) of the draft article in particular required the Working Group to consider the models of electronic reverse auctions that should be provided for.

The design development work would be followed by the construction documentation phase, in which the final drawings and specifications to be used for bidding and construction would be prepared (ibid., para.

The Working Group requested that the related draft text of the Guide to Enactment should address the use of electronic reverse auctions in detail, in particular their advantages and disadvantages, and how to address any risks that they pose.

It was observed that in some jurisdictions, electronic reverse auctions were conducted on the basis of lists or catalogues that set out items that could be procured through the mechanism.

(b) The enabling provisions should address the general conditions for use of electronic reverse auctions, and should not exclude any category of procurement (goods, construction or services) per se

Some specific publication requirements are found, for example, with respect to the records of ERA proceedings in Brazil (see A CN.9 WG.1 WP.35 Add.1, paragraph 37).

Proposed article 19 bis for the Model Law offers options for the Working Group to consider as to the conditions for use of electronic reverse auctions, and operates as the general enabling provision requested.

Most systems limit the use of electronic reverse auctions to items for which precise specification is possible, and exclude most construction procurement, but in other respects, there is some variation in the degree of prescription to be found.

The Secretariat has been advised in consultations with the World Trade Organization that there is as yet no decision as to whether electronic reverse auctions will be included in the revised text of the GPA.