HomeNews Serbia EnergySerbia–Hungary oil pipeline supervision tender partially cancelled by procurement authority

Serbia–Hungary oil pipeline supervision tender partially cancelled by procurement authority

Supported byClarion Energy

Serbia’s public-procurement review authority has partially cancelled the tender procedure covering professional construction supervision for the planned Serbia–Hungary oil pipeline. The decision introduces an additional delay in the procurement process for the supervision scope.

The ruling does not change the selection process for the pipeline construction contractor. It requires state-owned pipeline operator Transnafta to repeat its assessment of bids submitted for the supervision contract.

December 2025 tender split into construction and supervision lots

The procurement was launched in December 2025 and divided into two lots. One lot covers construction of the pipeline between the Hungarian border and Novi Sad, while the other covers professional supervision of the works. The combined estimated value is €131 million excluding VAT. Approximately €5.1 million of that total is allocated to supervision.

Supported byVirtu Energy

Transnafta selected a consortium led by SGS, together with Project Biro Utiber, SGS Czech Republic, Petrol Projekt, and Preventiva 012. The consortium’s offer was valued at €4.7 million including VAT. A competing consortium led by Bureau Veritas submitted a bid of €5.7 million.

Award challenged over compliance evidence and personnel qualifications

Bureau Veritas challenged the award after submitting its higher-priced bid. Serbia’s Commission for the Protection of Rights in Public Procurement Procedures upheld the complaint and ordered a new evaluation. The appeal focused on whether SGS Czech Republic had demonstrated compliance with tax and social-security obligations.

The challenge also disputed evidence related to a requirement that bidders had not experienced an account blockage during the 36 months before the tender deadline. Bureau Veritas argued that allowing bidders to supplement such documentation after submission conflicts with procurement law.

The complaint further raised issues about whether proposed engineering personnel met the tender’s qualification and experience requirements. The supervision role is described as covering construction quality checks, welding, testing, environmental compliance, and conformity with cross-border technical requirements.

New bid evaluation required; contractor lot left formally unchanged

The difference between the two supervision bids is significant, but supervision accounts for less than 4% of the overall procurement envelope. Transnafta is now required to reassess bids before making a new award for the supervision contract. This extends the pre-construction timetable while leaving the main contractor lot formally unchanged.

Supported byElevatePR Tech

RELATED ARTICLES

Supported byCarbon Trading Exchange
Supported byInvitation for Europe
Supported byClarion Energy
Supported byVirtu Energy CBAM Electricity