- within Antitrust/Competition Law, Technology and Consumer Protection topic(s)
March 2026 – The February 2026 proposal to amend Croatia's Public Procurement Act (PPA)—now returning to the government for preparation of the final legislative draft—marks the first comprehensive reform of Croatia's procurement framework in a decade, bringing forward a suite of material changes aimed at modernising and recalibrating the country's public procurement landscape.
1. Key changes at a glance
Higher thresholds for simple procurement—aligning Croatian practice with EU thresholds by limiting the application of regular procurement proceeding rules only to procurements of goods and services above EUR 50,000 and works above EUR 100,000.
Increased transparency and anti-corruption safeguards—requiring all simple procurement procedures above EUR 15,000 to be conducted via the EOJN1 portal, introducing the mandatory publication of calls for submission of bids for all procurements above EUR 25,000 for goods and services and EUR 45,000 for works, as well as publication of each contract amendment in EOJN within 30 days.
Reinforcing conflict‑of ‑interest (COI) rules—by requiring any conflicted representative of the contracting authority to withdraw immediately, preventing cancellation of the procedure unless the conflict involves the authority's head, in which case the tender would be cancelled. In addition, simple‑procurement by‑laws must set out COI‑management rules and the process for filing complaints.
New and reshaped exclusions grounds—shifting the non‑conviction test to the existence of any final conviction, regardless of where it was issued, in line with Directive 2014/24/EU. A new exclusion ground covers the non‑payment of wages, while operators with tax or contribution debts below EUR 1,000 remain eligible and must be allowed at least five days to remedy higher debts.
Preparation requirements—obliging public authorities to conduct prior market analysis, with consultations extended to at least seven days, except where duly-justified urgency allows departure from this rule.
Removing discriminatory effects—by introducing the evaluation of bids on a net-of-VAT basis.
Introduction of public‑interest cancellation ground—for situations such as unresolvable COI, flawed planning, the inability to apply tender documentation during evaluation, or other conduct that could result in wasteful expenditure or unlawful performance.
Further digitalisation—by requiring qualified electronic signatures on all contracts.
Contract‑execution oversight—strengthened by enabling contracting authorities to verify compliance with environmental, social, and employment obligations, regardless of whether these were expressly set out in the procurement documents. This includes the right to request proof of compliance, notably on wage payments and adherence to collective agreements or international standards.
Restructured legal protection mechanisms—requiring bidders to notify the contracting authority of alleged tender irregularities through a mandatory pre‑warning process within ten days and to observe a three‑day standstill period before submitting an appeal. Appeal deadlines increase to fifteen days, and the State Commission gains the ability to seek expert evidence for technically demanding disputes.
2. Legislative status
The draft PPA passed the first reading on 20 February 2026, and the government is now expected to present a final draft of the PPA for a second reading and vote by parliament.
As currently envisioned, the new PPA will enter into force eight days after publication, while several key provisions—including new thresholds and EOJN obligations— are set to apply from 1 July 2026.
Internal rules and procurement plans must be aligned within three months of entry into force, while ongoing procurement and appeal procedures will continue under the current PPA.
3. What stakeholders should expect
Economic operators can expect broader access to procurement opportunities due to mandatory publication of simple procedures, faster contracting through digital signatures, and increased transparency of contract amendments. They will, however, face stricter compliance obligations—especially through the pre‑warning requirement and enhanced COI scrutiny.
Contracting authorities will have to substantially adjust and revise internal processes including simple procurement rules, COI governance, planning and consultation workflows, EOJN usage, and contract‑management routines. Authorities will also need to justify any use of the public‑interest cancellation ground with particular care.
In practice, these amendments are expected to streamline procurement procedures, lower barriers to legal protection, and stimulate market competition and SME participation, while also enhancing transparency and accountability in the use of public funds.
Our team is available to help navigate developments and ensure compliance with the new legal landscape.
Footnote
1 Electronic Public Procurement Advertisement portal (cro. Elektronički oglasnik javne nabave; EOJN), https://eojn.hr/
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