Conference launches new concessions legislation

TIRANA, Nov.7 – A conference launched on Wednesday the new legislation regulating the process of concessions. Entitled “The new law of Concessions, a key factor for the economic development of the country”, the event was attended by Prime Minister Sali Berisha, other ministers of the government, World Bank representative in Albania, Nadir Muhamed, representatives of other major financial institutions in Albania as well as ambassadors of the Diplomatic Mission accredited in Tirana. The legislation was presented by the Minister of Economy, Genc Ruli. In his speech, the minister emphasized the importance of integrating the private sector in the major infrastructure programs and other similar enterprises of large scale. Experience has showed that the previous legislation had severe problems which were reflected in the lack of competing procedures for concessions given so far. The only successful exception according to Ruli up until now has been the concession of the Mother Teresa Airport, given to Tirana Airport Partners. The Ministry that Ruli leads too over the obligation to revise and improve the law with the help of the IFC Consulting firm. The Minister made clear that the final result was due to a joint effort of many law firms that gave a valuable contribution in the designing of efficient regulations. In his offering of gratitude he included the studios: BOGA &Associates, Kola Associates, Studio Legale Tonucci, KALO&Associates, Loloci Law and the French law firm “Gide Loyrette.” Explaining the content of the new legislation, Minister Ruli emphasized two features: the focus on competitive practices and transparency. The new law, according to Ruli, is radically different from the previous one in that it eliminates virtually all occasions for competition-free concession giving. A major exception stands for the projects related to national security and major military programs. The support of competitiveness is expected to bring better services to the Albanian consumer. Among other aspect of the new law the minister mentioned the guarantee for fair rules of competition, equal opportunities and requirement for businesses and finally a higher appreciation of ideas and proposals from the business sector, which will be rewarded with a special bonus. Improvements have been made in the field of concession monitoring. Thus a special agency will be created with an expert panel to review the performance of the companies that have won concessions in order to asses that they are complying with the specified requirements and expectations.