The legislation that regulates public procurement in Peru is composed of the Law No. 30225 (hereinafter "LCE") and its corresponding Regulation which was approved by Supreme Decree No. 350-2015-EF (hereinafter "RLCE". The LCE and the RLCE entered into force on January 9th 2016. It should be mentioned that in 2017, some articles of LCE and the RLCE were modified, specifically the LCE was modified by Legislative Decree No. 1341, which was published on 7 January 2017, and the RLCE was modified by Supreme Decree No. 056-2017-EF, which entered into force on 3 April 2017.
No, the applicable Peruvian legislation is not affected by international procurement agreements or standards. However, the Peruvian public procurement process follows the same basic principles as these international agreements.
The underlying principles of the public procurement framework are as follows:
- Free competition
- Equal treatment
- Transparency
- Advertising
- Competition
- Effectiveness and Efficiency
- Technological Validity
- Environmental and Social Sustainability
- Equity
- Integrity.
As a general rule, all contracts with the State are covered by the public procurement framework, which regulates the bid selection process. However, there are two exceptions: (i) in the event of an emergency arising from catastrophic events, situations affecting national security or defense, or a health emergency declared by the body governing the national health system, in these instances the procuring entity can contract outside the typical selection process, through direct contracting; and (ii) some institutions can contract through state companies, as a FAME (Fábrica de Armas y Municiones del Ejército S.A.C.), without a selection process if and only if there is a specific law which expressly permits this. Article 36 of the Constitution permits this exception because these contracts are of particular public interest.