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New rules for public works come into force in October

8 SEPTEMBER 2026
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Suggestions Public Works
From October, new rules will simplify public works procurement and increase the thresholds for faster procedures.
Novas regras para obras públicas entram em outubro
Source: Adobe Stock
Author: Redaction

Works contracts will have new thresholds

The Public Contracts Code will change from 1 October, with new rules designed to make procurement processes simpler and faster. One of the main changes concerns the thresholds for choosing simplified procurement procedures. For public works contracts, the prior consultation procedure will now apply to contracts worth less than one million euros. Direct award procedures may be used for contracts worth less than €150,000.
Currently, these thresholds are €150,000 for prior consultation and €30,000 for direct award.
The thresholds will also increase for the purchase of goods and services. Prior consultation will have a threshold of €130,000, while direct award will have a threshold of €75,000.

Execution projects gain greater flexibility

The new rules also introduce changes to the execution of works. The contractor may propose changes to the execution project, provided that the project author agrees. This possibility only applies to parts of the works that have not yet been carried out. The changes may not alter the purpose of the works, compromise their quality or affect their functionality. Another change concerns the base price. The contracting authority will now be able to set this value in the invitation or procurement procedure documents, instead of it always being mandatory.

New rules strengthen contract execution

The new regime also establishes a 30-day deadline for the public contracting party to respond to a subcontracting proposal submitted by the contractor. If there is no response within this period, the proposal will be deemed accepted. In cases of unjustified delays or failure to comply with the work schedule, the project owner will also have greater powers. They may take administrative possession of the works and associated assets, continuing the work directly or through third parties. These measures aim to reduce the impact of delays and facilitate the completion of works when problems arise during contract execution.

Technology and new proposals enter public procurement

Digital transformation will play a more prominent role in public procurement. The new rules allow digital systems, including artificial intelligence, to be used in the planning, preparation and monitoring of procedures and contracts.
The regime also establishes the “once-only” principle, to prevent companies from having to repeatedly submit documents that are already available through other entities. Another new feature is the possibility for companies, research centres and individuals to submit projects or solutions to the Public Administration before a tender is launched. The so-called spontaneous initiative aims to make it easier to present new ideas and solutions.
The amendments to the Public Contracts Code will enter into force on 1 October 2026.
Topics
Suggestions Public Works
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