Files Motion with Competition Authority and Challenges Prague’s Procedure
PORR Enters Dispute over Billion-Crown Palmovka Project
Vienna/Prague, / Construction projects / Business activities / Press Release
On 7 April 2026, PORR a.s. filed a motion with the Office for the Protection of Competition (ÚOHS) in response to its exclusion from the tender for the completion of Nová Palmovka, which is intended to serve as the headquarters of the European Union Agency for the Space Programme (EUSPA). The contract, valued at over over EUR 80 million (more than CZK 2 billion), is among the key investments of the City of Prague.
PORR submitted the most economically advantageous bid in the amount of EUR 86 million (CZK 2.16 billion), while the other bids reached approximately EUR 96 million (CZK 2.4 billion) and more than EUR 124 million (over CZK 3.1 billion). Despite this, PORR, together with another participant, was excluded from the procurement procedure in February this year. Following this decision, only a single bidder - GEOSAN GROUP a.s. - would remain in the tender.
The tender was launched in October 2023, and in June 2025 PORR was selected by the contracting authority as the winning contractor. However, a series of objections and review proceedings subsequently led to the annulment of this decision. In February 2026, the contracting authority requested PORR to supplement its qualification within a very short timeframe. PORR complied with the request, presented a new member of the project team, and submitted the required documentation. Nevertheless, it was subsequently excluded from the tender
“We are convinced that we have demonstrated our qualifications in full and in accordance with the tender documentation. However, while the procedure, the contracting authority has imposed additional requirements on PORR that were not part of the tender conditions,” says Dušan Čížek, CEO of PORR a.s. “At the same time, we are asking the ÚOHS to examine why the contracting authority is not proceeding in the same way against the other tender participant, GEOSAN GROUP, where numerous shortcomings have been overlooked throughout the tender process. Our company has repeatedly raised objections regarding the submission of inaccurate information by this participant, in relation to the evaluation criteria and with potential impact on the fulfilment of participation requirements. In our view, these issues have not been sufficiently reviewed by the contracting authority.”
PORR filed objections against its exclusion, which were rejected by the contracting authority on 25 March 2026. Consequently, on 7 April 2026, PORR submitted a motion for review to the ÚOHS.
As part of the review, PORR argues that the procurement procedure reflects a situation where stricter requirements are being applied to one participant than to another, without basis in the tender documentation or the law. PORR also points to requests for additional documentation beyond the originally defined conditions, which it considers a breach of the principles of transparency and equal treatment.
The procurement process has also been accompanied by repeated publication of inaccurate or incomplete information. According to available documentation, some publicly presented statements contradict the actual status of the tender procedure, and there have also been differing interpretations of ÚOHS decisions.
PORR further emphasizes that its bid was the most economically advantageous, with a difference of tens of millions of euros (hundreds of millions of Czech crowns) compared to other bidders. In the company’s view, further delays in the procedure may therefore impact the efficient use of public funds.
The Nová Palmovka project is crucial not only for Prague but also for the continued functioning of EUSPA. However, repeated reversals in the procurement process have been delaying its implementation over the long term. “Our objective is not to delay the project. We want it to be implemented as soon as possible - but because of a transparent and lawful process. This is about the principle of fair competition,” concludes Čížek.