Above-threshold procurement

Above‑threshold procurement refers to public contracts in the European Union whose estimated value exceeds specific financial thresholds established by EU law. These thresholds—updated every two years—determine which procurement exercises must adhere to EU-wide rules to promote transparency, fairness, and cross-border competition. As of January 2024, the thresholds are approximately:

• €143,000 for central government contracts,
• €221,000 for regional/local authorities,
• €443,000 for utilities (e.g., transport, energy),
• €750,000 for certain social and other specific service contracts,
• €5,538,000 for public works and concession contracts.
  

Contracts that exceed these thresholds must follow procedures outlined in EU directives such as Directive 2014/24/EU, including: formal tendering via an open, restricted, or negotiated procedure; publication in the Official Journal of the European Union (OJEU) (now accessible through Tenders Electronic Daily, or TED); and adherence to core principles like transparency, equal treatment, and non-discrimination.

In contrast, below‑threshold contracts are handled under national procurement rules, though they must still comply with general EU treaty principles. The distinction ensures that high-value contract opportunities are visible across the EU, stimulating competition and improving value for public money.