Directive 2014/23/EU of the European Parliament and of the Council of 26 February 2014 on the award of concession contracts.

This directive is part of a package of legal acts designed to modernise public procurement rules across the European Union (EU). The reforms will allow public authorities to optimise their use of public procurement. Public contracts that are covered by the European directives are valued at around EUR 420 billion, making it a key driver of the EU economy.

Concessions are contracts for pecuniary interest by means of which one or more contracting authorities or contracting entities entrusts the execution of works, or the provision and the management of services, to one or more economic operators. The consideration for the works or services consists in the right to exploit the works or services or that right together with payment. The right to exploit the works or services implies the transfer to the concessionaire of an operating risk of economic nature involving in particular, the possibility that the concessionaire will not recoup the investments made.

The rules on the award of concessions aim to set out a clear legal framework. They also aim to guarantee effective access to the concessions market for all European businesses, including SMEs, and provide them with possibilities for investment in major public services in the future.