Price Bidding First, Then Project Capability Evaluation

Shortened Selection Period, Early Start of Services and Construction

Ulsan City has decided to improve the bidding process for construction technology services to ease the participation burden on local companies.


On the 14th, Ulsan City announced that starting in July, for construction technology services ordered by the city with a budget under 1 billion KRW, price bidding will take place first, followed by a Project Capability Evaluation (PQ).


Until now, in order to participate in bids for construction technology services worth more than 220 million KRW, companies were required to undergo a capability evaluation (including participation of technical personnel, records of similar projects, credit rating, etc.) first, and only those deemed qualified could proceed to the price bidding stage.


As a result, bidding companies had the inconvenience of preparing project capability evaluation documents regardless of whether they won the contract.


To address this, the Ministry of Land, Infrastructure and Transport amended the Enforcement Decree of the Construction Technology Promotion Act on April 23, allowing for price bidding first, followed by PQ, for construction technology services under 1 billion KRW.


Ulsan City has also decided that, starting July 1, for construction technology services ordered by the city with a budget under 1 billion KRW, the project capability evaluation will be conducted after price bidding.


With the PQ threshold expanded to projects under 1 billion KRW, the participation burden for small and medium-sized construction engineering companies is expected to be significantly reduced, leading to higher participation rates in projects.


Additionally, Ulsan City will shorten the service provider selection period from about 60 days to approximately 30 days.


With a shorter selection period, it is expected that service orders and construction commencement can begin earlier.



An Ulsan City official stated, "By improving the bidding procedures for construction technology services, such as implementing price bidding first followed by PQ, we will work to reduce the burden on local companies and revitalize the local construction industry."

"Evaluation After Bidding"... Ulsan City Improves Construction Technology Service Procedures for Local Companies Under 1 Billion KRW View original image



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