Procurement Dispute Delays €18 Million Project in Budva

Marek Sadowski
Marek Sadowski
Reports on procurement law, review decisions and how the rules change. Based in Warsaw.
2 Min Read

This article examines the implications of a procurement dispute in Budva regarding a major infrastructure project.

Background of the Tender Process

The procurement process for the construction of a road over the Grđevice river in Budva, valued at €18 million, has encountered a significant delay due to a complaint from a disqualified bidder. The decision to award the contract to Geotechnics Projects & Consultant was made by the Mayor of Budva, Nikola Jovanović, on 11 August, following recommendations from the municipal procurement committee. However, the excluded bidder, Projectman, contested the decision on 21 August, prompting the municipality to halt further procurement activities in accordance with the Law on Public Procurement, as confirmed by the commission’s decision.

Financial Implications of the Delay

The halted project not only affects the timeline of the road construction but also has financial implications for the involved parties. Geotechnics Projects & Consultant was set to receive €720,000 for its role in overseeing the project, with €100,000 allocated for this year. While awaiting the resolution of the complaint, Geotechnics has secured another contract for a separate project involving the construction of two parking garages, worth €5.5 million, demonstrating the firm’s ability to maintain its operations despite the setback.

Future of the Grđevice Project

The Grđevice road project aims to enhance connectivity in Budva, linking key traffic routes and alleviating congestion. The project is expected to unfold over multiple budget years, with €3 million earmarked for execution in 2026, alongside €120,000 for oversight. The construction is crucial for the urban development of Budva, promising to transform the area significantly. However, the ongoing procurement dispute poses a risk to the project’s timeline and overall success, highlighting the importance of transparent and fair procurement processes.

IN NUMBERS

As the dispute unfolds, the outcome will not only determine the future of the Grđevice project but also set a precedent for procurement practices in Budva.


Reported from vijesti.me, 2026-09-04. The Tender Wire is published by Otnox.

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Reports on procurement law, review decisions and how the rules change. Based in Warsaw.
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