In an important development for Australian businesses looking to get involved in World Cup and Olympics preparations in Brazil, the next few weeks should see the federal government approve a new amendment to the law governing public tender processes as it seeks to speed up key projects for the two mega-events.
The law will be ‘modernised’ through various changes, including an inverted verification procedure for tender bids allowing the winning proposal to be named before the comprehensive assessment takes place and a requirement that the executive project and the actual works be undertaken by the same company.
Furthermore, other changes such as a payment schedule pinned to the realization and performance of the project and the possibility of post-negotiation with the best-qualified bidder to achieve even lower prices.
Doubters have warned that selecting bids before full assessments takes place risks allowing complications and unknown risks to arise down the track.