Price monitoring

Price law audits are a task of the public sector to ensure appropriate prices in public procurement. The public sector must be protected from excessive prices. Prices may be excessive if they are higher for marketable services than for private procurement, or in the case of contracts at cost price that exceed the reasonable costs for the provision of the service (including mark-up for risk and profit). In 2004, 24% of the 3,655 audits of public contracts nationwide resulted in price-related complaints. This resulted in savings of around 35 million euros.

Contracts of the federal government, the federal states, municipalities and associations of municipalities as well as other legal entities under public law are audited. In addition to supplies and services, this also includes rents and leases. Prices of construction services are no longer audited (VO PR 1/72 repealed in 1999).

Price law must be distinguished from price indication law.