Cyprus government moves to streamline public tender appeal processes

The Cypriot government is initiating legislative reforms to address significant delays in public infrastructure projects caused by frequent appeals to the Tenders Review Authority. These appeals often force project cancellations, costly re-tendering, and price inflation due to the rising costs of materials and labor during the extended waiting periods. Currently, companies face minimal financial consequences for losing appeals, with some firms allegedly using the process simply to gain information on competitors' bids.

Data from the Tenders Review Authority indicates that the average time to process an appeal is approximately 107 days, though cases can span anywhere from 41 to 159 days. The Treasury is currently proposing a new framework to accelerate these timelines and reduce the number of frivolous appeals. One key provision includes a requirement to examine all grounds raised by a petitioner, a departure from current practices. The proposal has been submitted to the Law Office for legal vetting to ensure it can effectively expedite project commencement and protect public resources.