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Procedure for initiating the superficies licence proceedings by competitive tender

Issuer:Minister of Economic Affairs and Infrastructure
Type:regulation
In force from:19.03.2023
In force until: In force
Translation published:14.04.2023

Procedure for initiating the superficies licence proceedings by competitive tender

Passed 14.03.2023 No. 20

The Regulation is established on the basis of subsection 14 of § 11310 of the Building Code.

§ 1.  Subject matter of Regulation

  The Regulation stipulates the procedure for initiating the superficies licence proceedings by competitive tender for such superficies licence applications, which are dealt with pursuant to subsection 14 of § 11310 of the Building Code as competing applications.

§ 2.  Announcement of competition

 (1) Notice about the announcement of the competitive tender (hereinafter competitive tender notice) is communicated by the competent authority to the parties who filed the competing applications at least 30 days before the deadline for submission of tenders.

 (2) The competitive tender notice, in addition to the provisions of subsection 2 of § 11310 of the Building Code, shall contain the following information:
 1) the name and address of the competent authority and the name, phone number and e-mail address of the contact person;
 2) the description of the subject of competitive tender;
 3) the procedure for payment of a deposit;
 4) the bidding increment, time and place of the auction and other important information for participating in the auction;
 5) the procedure for payment of the highest bid in the auction;
 6) the closing date for the submission of applications to participate in the auction;
 7) other essential terms and conditions of the competitive tender.

§ 3.  Application for participation in the auction

 (1) A person who wishes to participate in an auction (hereinafter the participant) shall submit to the competent authority by the due date specified in the competitive tender a written application for participation in the auction. According to the date stamp, the application posted on the due date specified at the latest is deemed to have been submitted on time.

 (2) The application must contain at least the following:
 1) the participant's name, location, e-mail address, personal identification code or, in the absence thereof, the date of birth and, in the case of a legal person, the registration number of the country in which it is established or other identifier;
 2) confirmation that the participant is aware of the requirements for participation in the competitive tender and agree to the terms and conditions of the competitive tender;
 3) a document certifying the right of representation of the participant's legal representative, if the competent authority cannot verify the right of representation itself, or a power of attorney in the case of a contractual representative;
 4) the information requested in the competitive tender notice.

 (3) The competent authority may, if necessary, require the participant's contractual representative to submit a notarized or authenticated power of attorney.

 (4) The application shall be submitted in Estonian or accompanied by translation into Estonian.

 (5) A participant may withdraw an already submitted application before the due date for submission of an application in the competitive tender notice and submit a new application. If one applicant submits several applications, the last application submitted by the due date will be used as the basis for conducting the competitive tender. A participant who, without submitting a new application, has withdrawn an application before the due date for submitting the application, will be refunded the paid deposit within ten working days as of the due date for submitting the application.

§ 4.  Review of applications and elimination from competitive tender

 (1) The competent authority shall verify the conformity of the applications received in due time within three working days with the provisions of § 3.

 (2) The competent authority shall have the right to eliminate a participant from the competitive tender at any time if it is found that the participant does not comply with this Regulation or has submitted false information.

§ 5.  Conducting a written auction

 (1) The written auction will be conducted by e-mail at the time and under the terms and conditions specified in the competitive tender notice.

 (2) The competent authority shall request from the participant the tender round in accordance with the following conditions and procedure:
 1) the competent authority sets a deadline for the submission of the tender, with the calculation that it falls between 8:00 a.m. and 4:30 p.m. on a working day;
 2) bids can be submitted only by the legal or authorised representatives indicated in the application for participation in the auction;
 3) The price of the first bid of the subject of the competitive tender shall be at least the starting price specified in the competitive tender notice, each subsequent bid shall exceed the highest bid of the previous round by a bidding increment specified in the competitive tender notice;
 4) the tender shall be submitted in full euros in electronic format by e-mail;
 5) the bidder may change the already submitted bid before the bid submission deadline, withdraw it or submit a new bid;
 6) the competent authority considers the last offer that meets the requirements and is submitted on time;
 7) the competent authority issues a confirmation immediately after a bid has been received;
 8) the organiser of the competitive tender shall rank the bids in each tendering round, based on their amount;
 9) the competent authority shall notify all the participants within three working days by e-mail of the results of the tendering round, including the ranking of the tenders and the names of the participants;
 10) the provisions of clauses 1-9 are repeated until there is only one highest bid in the first position of the bid ranking.

 (3) The participant who has made the highest bid is recognized as the winner of the auction by the decision of the competent authority. The decision is made within three working days from the end of the auction and it is communicated to the participants in the auction.

§ 6.  Conducting an oral auction

 (1) The oral auction is conducted at the time, place and under the conditions specified in the competitive tender notice. The conduct of the auction shall be recorded.

 (2) Participants in the oral auction are registered, and each registered participant is issued a registration number, which will identify them until the end of the auction.

 (3) The competent authority shall introduce the subject of competitive tender, the rules of procedure of the auction, declare the number of participants in the auction and their registration numbers, the bidding increment and the auctioneer.

 (4) Bids shall be submitted in full euros in the increments specified in the competitive tender notice.

 (5) A bidding participant shall notify the auctioneer of their wish to submit a bid by increasing the registration number and stating the amount of the bid. The auctioneer repeats the amount of the participant’s bid.

 (6) The auctioneer closes the oral auction by announcing the winner after the highest bid has been announced three times.

 (7) The competent authority confirms the winner of the oral auction within three working days as of the end of the auction and shall communicate this confirmation, together with the auction record, to the participants in the auction.

§ 7.  Conducting an electronic auction

 (1) The electronic auction is conducted at the time, under the conditions and in the web environment specified in the competitive tender notice.

 (2) The competent authority shall introduce the subject of competitive tender, the rules of procedure of the auction, declare the number of participants in the auction and their registration numbers, the bidding increment and the auctioneer.

 (3) Participants start bidding as soon as the auctioneer gives an appropriate notification. Bids shall be submitted in full euros in the increments specified in the competitive tender notice.

 (4) Auction logs are kept until the expiry of the term for contesting the decision confirming the winner of the auction.

 (5) The winner of the auction is the participant who made the highest bid. The organiser shall communicate the results of the electronic auction to the participants through the web environment specified in subsection 1 immediately after the winner of the auction has been determined.

 (6) The competent authority shall confirm the winner of the electronic auction at the end of the auction and shall communicate this to the participants in the auction within three working days.

§ 8.  End of competition

  The competition closes when:
 1) on the basis of the auction winner's request, the superficies licence proceedings is initiated;
 2) the price specified in subsection 1 of § 9 has not been paid in due time and it is not possible to apply the provisions of subsection 2 of § 9;
 3) no application for participation in the auction is submitted, the said applications are dismissed or the participants are eliminated from the competitive tender;
 4) the competent authority shall declare the competitive tender unsuccessful pursuant to subsection 7 of § 11310 of the Building Code.

§ 9.  Procedure for paying and refunding the deposit

 (1) The deposit is paid in accordance with the procedure stated in the competitive tender notice. The payment order shall include a reference to the relevant competitive tender as payment details.

 (2) The deposit is deemed to have been paid when the amount of the deposit indicated in the competitive tender notice has been received in the account number and by the deadline specified in the competitive tender notice.

 (3) After the winner of the competitive tender has been determined or the competitive tender has been declared unsuccessful, the deposit will be refunded within 14 days to the bank account from which the deposit has been paid.

§ 10.  Entry into force of Regulation

  This Regulation enters into force pursuant to the general procedure.

Riina Sikkut
Minister of Economic Affairs and Infrastructure

Ahti Kuningas
Secretary General

Explanatory memorandum Explanatory memorandum to draft Regulation of the Minister of Economics and Infrastructure "Procedure for initiating the superficies licence proceedings by competitive tender"

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