SWEDEN Law and Practice Contributed by: Annika Blomqvist, Sanna Frånlund, Henrik Lindstrand and Viktor Eriksson, Advokatfirman Cederquist
2.2 Contracting Authorities and Entities Subject to Defence Procurement Rules The applicability of LUFS is not limited to central gov - ernment or Ministry of Defence bodies. It applies to all contracting authorities and contracting entities for their procurements in the defence and security sector. Entities within the scope of the legislation include: • central government and municipal authorities; • municipal and regional decision-making assem - blies; • bodies governed by public law; and • undertakings over which a contracting authority exercises controlling influence and undertakings operating in those sectors under a statutory special or exclusive right. 2.3 Types of Contracts and Value Thresholds LUFS applies to procurements of contracts concern - ing: • (i) military equipment, including parts, components and subassemblies thereof; • (ii) sensitive equipment, including parts, compo - nents and subassemblies thereof; • (iii) works, supplies and services directly related to the equipment referred to in (i) and (ii) for any ele - ment of its life cycle; and • (iv) works and services specifically intended for military purposes, and sensitive works or services. The EU procurement directives apply above certain thresholds. LUFS applies both above and below the applicable EU thresholds, as Sweden has adopted national rules below the threshold value, included in Chapter 15 and 15a of LUFS. From 1 January 2026, the thresholds are SEK4,903,632 for supplies and services and SEK61,340,804 for works contracts. The direct award threshold is SEK1.2 million. 2.4 Restricted and Classified Procurement LUFS does not specifically set out any separate clas - sified procurement procedures but contains specific provisions relating to information security for procure - ment involving security-classified information.
Contracting authorities and entities shall specify in the procurement documents the measures and require - ments necessary to protect such information. Ten - derers may be required to demonstrate that they can comply with those requirements. The authority or entity may also require undertakings to protect security classified information disclosed during the procurement, during the performance of the contract and after the contract has been com - pleted or terminated. Sweden’s security protection legislation also applies to procurements in this field, and imposes additional requirements concerning security vetting, access to sensitive information activities and, where applicable, security protection agreements. 2.5 Tender Procedures for Defence Contracts For procurements above the EU threshold, the restrict - ed procedure, the negotiated procedure with prior publication and the competitive dialogue are the main procedures. In certain circumstances, the negotiated procedure without prior publication can be applied. For procurements below the EU threshold, subject to requirements for publication, as regulated in Chapter 15a, LUFS, there are no regulated procurement proce - dures which enable the contracting authority or entity to design the procurement process more freely as long as the procedure complies with the fundamental procurement principles of, for example, transparency, equal treatment and proportionality. The procurement documents must clearly set out how the procedure will be conducted. Direct awards are regulated in a separate chapter – Chapter 15a, LUFS. 2.6 Direct Contract Awards and Single- Source Procurement For procurements above the EU threshold, LUFS permits direct or single-source awards in specified circumstances, through the negotiated procedure without prior publication. This includes situations where the contract can only be awarded to a specific supplier due to technical reasons or exclusive rights,
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