Law on Bidding in Capital Construction: Current Status of Regulations, Limitations and Proposed Solutions

Abstract

Bidding is part of procurement activities between businesses, between businesses and state agencies. This is a form of civilized competition in the market economy, a special transaction method for large-scale transactions that require efficiency and transparency. The nature of bidding is a form of civilized competition in a market economy. Bidding activities are carried out in many fields such as construction, equipment procurement, project implementation, etc. Therefore, all professional businesses, whether Vietnam or foreign, no matter what field, any model, if it has enough capacity, cannot be ignored in bidding. Laws on bidding in the field of capital construction play an important role in managing and regulating bidding activities in the construction industry. Currently, Vietnam law has documents regulating public procurement such as Bidding Law 2013 effective from July 1, 2014, Decree No. 63/2014/ND-CP stipulates detailed implementation of several articles of the Bidding Law on contractor selection, etc. Some issues related to the current status of provisions of Vietnam law on public bidding and procurement activities are the selection of bidding form, bidding process, healthy competition, openness, and transparency in public bidding activities. This study analyzes the regulations and limitations of the law on bidding in the field of capital construction, thereby proposing solutions to improve the law on this issue.