Pre-Commercial Procurement (PCP)
Pre-Commercial Procurement (PCP) is a public procurement approach for research and development (R&D) services, as defined in the European Commission’s PCP Communication and accompanying Staff Working Document. It allows public authorities to stimulate innovation by clearly expressing their unmet needs and inviting the market to develop new solutions in response. By acting as an early reference customer, PCP helps companies strengthen their market position and bring innovative solutions closer to commercial deployment.
PCP is especially effective in situations where no existing market solution can meet the required needs and where encouraging competition is essential. In initiatives such as REHEAL, procurers do not purchase completed products. Instead, they co-finance the development of innovative solutions by supporting several competing suppliers throughout a structured, phased process:
Concept Development – Multiple suppliers are funded to explore, design, and present alternative solution concepts.
Prototype Creation – The most promising concepts are selected for further development, leading to the creation of working prototypes.
Operational Validation – A small number of prototypes are tested in real-life environments to evaluate their performance and suitability.
After each phase, solutions are assessed and only the strongest proposals move forward, ensuring that competitive pressure remains a key driver of innovation. The outcome of a PCP is not a commercial purchase; rather, it is the development of viable solutions. Suppliers retain full ownership of their intellectual property and may commercialise their innovations independently. Any subsequent purchase by the procurers requires a separate procurement procedure, often under more favourable conditions.
Through this approach, PCP balances risks between the public and private sectors while supporting the development of innovative, high-quality solutions that directly address public sector challenges.
Prior Information Notice (PIN)
Further information about the project and the planned procurement can be found in the Prior Information Notice (PIN), which provides early details for interested suppliers.
Open Market Consultation (OMC)
The Open Market Consultation (OMC) consists of a series of activities aimed at informing potential suppliers about the pre-commercial procurement opportunities offered by the REHEAL project. The OMC provides clarity on the procurement approach, invites feedback on project needs and challenges, and supports the creation of partnerships among interested market participants.
In addition to the consultation events, the OMC includes an online survey and a matchmaking service to gather more detailed market insights and help potential bidders identify collaboration opportunities. Participation in the OMC is entirely optional and does not influence eligibility to submit a tender. All relevant information and materials from the consultation activities are made available on this website.
Calls for Tender
The Call for Tender formally invites suppliers to submit proposals for the REHEAL project’s pre-commercial procurement. It sets out the overall context and objectives of the procurement, including the phased, competitive development process described above. The document explains how risks and benefits related to intellectual property rights are fairly shared, outlines applicable exemptions from EU public procurement directives, and highlights the role of the Open Market Consultation.
In addition, the Call for Tender defines the scope of services to be procured, the expected results for each phase, and the tender submission deadline. It identifies the procuring entities and other relevant stakeholders, describes the contractual framework, and presents the total budget along with its allocation across the different phases. The document also specifies the evaluation and award criteria, the required content and format of tenders, and practical information such as language requirements and appeal procedures.
Selection Process
The selection of suppliers for each PCP phase follows a structured and rigorous evaluation process.
Eligibility and Exclusion
Participation is open to all types of operators, regardless of size, governance structure, or country of origin. Suppliers may submit tenders individually or as part of a consortium. Certain conditions apply to the location of R&D activities: at least 50% of the total value of the services must be carried out within EU Member States or Horizon Europe associated countries.
Evaluation Framework
Tenders are assessed against exclusion, selection, and award criteria. Exclusion criteria cover issues such as conflicts of interest, criminal convictions, non-payment of taxes, insolvency, and professional misconduct. Selection criteria focus on the tenderer’s capacity to carry out R&D activities, experience in multi-disciplinary and cross-organisational pathway planning, ability to collaborate with public procurers, and potential to commercially exploit the results.
Award Criteria
Award criteria consist of both mandatory (on/off) requirements and weighted evaluation criteria. Mandatory criteria include compliance with the definition of R&D services, compatibility with other public funding, and adherence to ethics and security requirements. The weighted criteria assess the proposed solution in terms of excellence, impact, and quality of implementation.
Tenders are evaluated by a committee made up of representatives from the Buyers Group, with additional support provided by an Expert Advisory Board.
Contracting Approach
The PCP is carried out through the award of a Framework Agreement to each selected supplier, together with Specific Contracts for each of the three R&D phases. Initially, Framework Agreements and Phase I Specific Contracts were awarded to seven contractors.
For Phases II and III, call-off procedures are used to further narrow participation, with the intention of awarding three contracts in Phase II and two contracts in Phase III. Only contractors that successfully complete a phase are eligible to compete in the subsequent phase.
Involved Parties
The PCP process is jointly carried out by a group of public organisations acting as buyers. The process is coordinated by a Lead Procurer, who launches the procurement and enters into the framework agreement and related contracts on behalf of all participating organisations.