New guidelines for procurement in the defence sector: Greater freedom of action and stricter sustainability requirements

The new guidelines introduce both simplifications and more stringent requirements. The following provides an overview of the most important changes.

Stricter requirements for ethics and sustainability

The RAF introduces a separate chapter on ethics and sustainability in procurement – far more comprehensive than previous provisions. For procurements above the EEA threshold value, suppliers and subcontractors must commit to acting in accordance with basic requirements for ethics and sustainability, with specific references to national legislation and international conventions.

Climate and environmental requirements are being tightened significantly: The contracting authority must now assess the climate and environmental impact of the procurement from a life-cycle perspective early in the process and set specific climate and environmental targets. This is a significant tightening from the ARF, which only contained general provisions on environmental considerations.

Greater freedom of action for advance payments

The RAF gives the defence sector considerably greater freedom of action through administrative simplifications. The most significant change concerns advance payments: The threshold value for when agreements must be approved by the Ministry of Defence has been raised from NOK 50 million to NOK 500 million.

Clear lines of responsibility

The new guidelines clarify who can commit the defence sector: Only representatives of commercial functions – not technical functions – are authorised to sign contracts and place orders. Hired consultants cannot commit the defence sector, neither verbally nor in writing.

Focus on industrial cooperation

The RAF requires industrial cooperation agreements for the procurement of defence equipment and related services that can be based on Article 123 of the EEA Agreement, and has supplementary provisions on such cooperation in a separate annex. Such agreements may form the basis for significant investments in Norwegian industry. Exceptions apply to procurements below NOK 100 million and procurements carried out by foreign organisations on behalf of several nations.

Background and legal status

The update is intended to ensure that the requirements reflect current regulations and developments in the field of procurement, while taking into account the current security policy situation. The RAF is based on the Ministry of Defence's general authority to issue instructions and has the status of an internal instruction, but will nevertheless have an indirect impact on suppliers through administrative practice.

Overview of planned procurements in the defence sector 

In parallel with the new guidelines, the Ministry of Defence has presented FAF 2026-2033 (Future Procurements for the Defence Sector). The document provides a comprehensive and long-term overview of planned equipment investments and property, building and construction projects in the defence sector over the next eight years.

FAF is updated annually and is intended to give industry and suppliers early insight into future needs. For the market, this is a key tool for positioning itself in good time, adapting capacity and expertise, and preparing for future competitions.

However, it is important to note that the FAF also includes projects that have not yet been formally approved in accordance with the ordinary decision-making process. There is therefore uncertainty as to whether all projects will be implemented as planned.

Further questions?

There is currently extensive activity and regulatory development in the field of defence and security procurement, including proposals for a new law on defence and security procurement. 

Wikborg Rein is closely following developments and assisting clients with both current regulations and preparations for upcoming changes. Our experts combine in-depth knowledge of EEA law, procurement law and contract law with practical experience from defence and security procurement.