Foligno Must Restart Public Lighting Process After Court Ruling

The Umbria Regional Administrative Court (TAR) in Italy has canceled a resolution by the Municipality of Foligno regarding a public lighting project, siding partially with energy company Engie Servizi. The court ruled that the municipality failed to comply with the updated Public Procurement Code during the selection process.

The dispute began in 2021 when two firms, Enerstreet and Engie, submitted competing proposals for managing the city’s public lighting. Despite the new procurement rules taking effect in July 2023, the municipality continued evaluating bids under the old framework. In early 2024, Foligno selected Enerstreet’s proposal as the preferred option.

Engie later challenged the decision, arguing procedural flaws, including the use of outdated regulations. While the court dismissed claims questioning Enerstreet’s technical suitability, it agreed that the municipality should have applied the updated procurement rules, leading to the annulment of the contested acts.

The ruling requires Foligno to restart the process in compliance with current legislation.