EU Court Says Public Buyers Must Accept Different Materials

Plastic Pipe Suppliers Win in Court – Concrete and Clay Pipe Rules Now Changed

The EU Court has in case C-424/23 made a new decision that helps companies that sell plastic pipes and other new materials compete for government projects. This decision from January 16, 2025, changes how cities and government agencies can say which materials should be used in building projects.

The Problem: Plastic Pipe Maker Kept Out

A Belgian company called DYKA Plastics, which makes plastic sewer pipes, was tired of being blocked from government contracts. A Belgian utility company called Fluvius always required that sewer pipes be made of clay or concrete, and only allowed other materials in special cases.

DYKA took the case to court, saying this was against EU rules for government buying. The case went all the way to the EU Court, which has now agreed with the plastic pipe company.

Court's Clear Message: Cannot Demand Specific Materials

The EU Court says that government buyers cannot demand specific materials in their contracts without adding the words "or equivalent." This is a big win for companies that sell alternative materials.

"Government buyers cannot specify which materials the products must be made of without adding 'or equivalent,'" the court states. The only exception is when a specific material is absolutely necessary for the project and there is no alternative.

Three Main Points from the Decision

The EU Court made three important points that will change government buying across the EU:

1. Only Four Ways to Write Technical Requirements: The EU rules list only four ways to write technical requirements, and government buyers must use one of these methods.

2. Material Requirements Favor Certain Products: When a government buyer requires a specific material, this unfairly favors some products and blocks others.

3. Breaking These Rules Means Unfair Treatment: If a government buyer specifies materials in a way that breaks these rules, they are also breaking the basic principle of treating all companies fairly.

What This Means for Cities and Suppliers

For cities and other government buyers, the decision means they must be more open to different materials. They can no longer just write "clay" or "concrete" in their contracts, but must:

• Focus on what the product needs to do rather than what it's made of

• Add "or equivalent" when they mention specific materials

• Prove that only one specific material will work for the job

For companies that sell alternative materials, this decision creates new opportunities. Plastic pipe makers, who have always said their products are cheaper and better for the environment than traditional materials, now get a fair chance to compete.

This decision shows that the EU Court takes fair competition seriously and that technical requirements cannot be used to shut out new solutions or certain suppliers.EU Court Says Public Buyers Must Accept Different Materials