ARTICLE 1: - emits - ESA

ESA/REG/001, rev.2
Page 21
ARTICLE 10 -
PRINCIPLES
1. Provisions in these Regulations and in any instructions concerning the placing of
contracts shall always be interpreted so as to ensure:
a) transparency and fair and equitable treatment of all economic operators;
b) that the participation of a Tendering Body does not cause any distortion of
competition in relation to private economic operators;
c) the most economic and effective employment of the Agency's resources;
d) the implementation of the defined industrial policy and to guarantee a
distribution of work among Member States which is consistent with the
prescriptions of Article VII and Annex V of the Convention.
2. No contract action shall be taken until approval has been obtained in accordance
with the applicable Rules and Regulations of the Agency.
3. No contract actions shall be taken for studies of future projects, preparatory activities
and the early programme phases until such time it is considered that these actions are
sufficiently funded such as to ensure an orderly development and completion of the
programme in the framework of an end to end procurement process.
4. Resulting contracts shall be subject to the Agency's General Clauses and Conditions
except in so far as such clauses and conditions are explicitly waived, amended or
replaced by special clauses and conditions introduced in the contract or in annexes
forming an integral part thereof.
5. Contracts shall wherever possible be placed at fixed prices provided they are
substantiated, by competition or otherwise, as being fair and reasonable.
If a fixed price cannot be agreed prior to signature, the contract may be placed at a
ceiling price to be converted into a fixed price as early as possible during the course of the
contract.
If a ceiling price cannot be agreed, the contract may be placed on a cost-reimbursement
basis.