Art. I Overeenkomst inzake overheidsopdrachten — Scope and Coverage

1. This Agreement applies to: any law, regulation, procedure and practice regarding any procurement of products, through such methods an purchase or as lease, as rental or hire-purchase, with or without an option to buy by the entities 1) Throughout this Agreement, the word entities is understood to include agencies.2) [Red: De lijsten van de aankopende instanties zijn niet opgenomen. De lijsten liggen ter inzage bij het Ministerie van Economische Zaken, Directoraat-Generaal voor de Buitenlandse Economische Betrekkingen, Hoofdafdeling Handelspolitiek, alsmede bij de parlementaire documentatiedienst van de Tweede Kamer en bij de Staten van Aruba te Oranjestad.]subject to this Agreement. This includes services incidental to the supply of products if the value of these incidental services does not exceed that of the products themselves, but not service contracts per se; any procurement contract of a value of SDR 130,000 or more 1) For contracts below the threshold, the Parties shall consider, in accordance with paragraph 6 of Article IX, the application in whole or in part of this Agreement. In particular, they shall review the procurement practices and procedures utilized and the application of non-discrimination and transparency for such contracts in connexion with the possible inclusion of contracts below the threshold in this Agreement.3.This Agreement shall apply to any procurement contract for which the contract value is estimated to equal or exceed the threshold at the time of publication of the notice in accordance with Article V:4.. No procurement requirement shall be divided with the intent of reducing the value of the resulting contracts below SDR 130,000. If an individual requirement for the procurement of a product or products of the same type results in the award of more than one contract or in contracts being awarded in separate parts, the basis for application of this Agreement shall be either the actual value of similar recurring contracts concluded over the previous fiscal year or twelve months adjusted, where possible, for anticipated changes in quantity and value over the subsequent twelve months, or the estimated value of recurring contracts in the fiscal year or twelve months subsequent to the initial contract. The selection of the valuation method by the entity shall not be used with the purpose of circumventing the Agreement. In cases of contracts for the lease, rental, or hire-purchase of products, the basis for calculating the contract value shall be: in the case or fixed-term contracts, where their term is twelve months or less, the calculation should be based on the total contract value for its duration, or, where their term exceeds twelve months, its total value including the estimated residual value; in the case of contracts for an indefinite period, the monthly instalment multiplied by forty-eight; if there is any doubt, the second basis of calculation, namely (ii), is to be used. In cases where a proposed procurement specifies the need for option clauses, the basis for application of this Agreement shall be the total value of the maximum permissible purchases, lease, rentals or hire-purchases, inclusive of optional purchases; procurement by the entities under the direct or substantial control of Parties and other designated entities, with respect to their procurement procedures and practices. Until the review and further negotiations referred to in the Final Provisions, the coverage of this Agreement is specified by the lists of entities, and to the extent that rectifications, modifications or amendments may have been made, their successor entities, in Annex I. 2. The Parties shall inform their entities not covered by this Agreement and the regional and local governments and authorities within their territories of the objectives, principles and rules of this Agreement, in particular the rules on national treatment and non-discrimination, and draw their attention to the overall benefits of liberalization of government procurement.

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