And what if no one raises their hand? 80 public works projects go unawarded in Barcelona

A worker at the upper level of Barcelona’s Sants railway station © Andrea Salazar | ACN
A worker at the upper level of Barcelona’s Sants railway station © Andrea Salazar | ACN

The rising cost of energy, fuel, and materials leaves 192 public works projects without a contractor in the first half of 2026, 80 of them in the Barcelona area

september 08, 2026 - 05:30

Building is more expensive today than it was a few years ago, and that's true of public works too. Rising prices for energy, fuel, and certain materials are squeezing companies' margins in the sector and complicating some public tenders. In fact, during the first half of 2026, 192 works or contract lots went unawarded in Catalonia for lack of a winning bidder, according to figures from the Cambra de Contractistes d'Obres de Catalunya (CCOC). In the Barcelona area, 80 projects went unawarded.

Just because a public authority puts a project out to tender doesn't automatically mean a company will be ready to carry it out. Before the process begins, the authority sets the terms, the project scope, and the budget, and construction firms decide whether they can bid and take on the work at those numbers. When no company that meets the tender's conditions comes forward, the tender goes unawarded.

Going unawarded doesn't mean, however, that a project disappears or is scrapped — only that it can't be awarded at that particular moment, and the authority will need to review what happened. In many cases, that review means adjusting the project scope or budget and putting it back out to tender later on.

Grua treballant. © Andrea Salazar | ACN
A crane at work. © Andrea Salazar | ACN -

Going unawarded doesn't mean, however, that a project disappears or is scrapped — only that it can't be awarded at that particular moment, and the authority will need to review what happened. In many cases, that review means adjusting the project scope or budget and putting it back out to tender later on.

Faced with this situation, the Cambra de Contractistes d'Obres de Catalunya points to one of the causes behind this mismatch: tender budgets that, in some cases, no longer align with real market costs. Rising prices for energy, fuel, and certain materials — worsened by the war and instability in the Middle East — have driven up the cost of carrying out many projects, leaving companies little margin when it comes to bidding on a tender.

That's why the CCOC is calling for "updating prices more quickly" and for mechanisms that allow for extraordinary cost increases to be addressed. This is a particularly relevant issue for contracts drawn up when prices were lower.

Altogether, the 192 works or lots that went unawarded in Catalonia during the first half of the year amount to €50.93 million in budgeted costs before VAT. In the Barcelona area, the 80 projects represent €19.23 million and span a wide range of project types: roads, sanitation, public facilities, and buildings, among others.

Among the highest-budget projects is the sanitation and water treatment project for the Aldover and Xerta communities, in Baix Ebre, worth €2.93 million. Two projects from the Lleida Provincial Council also went unawarded: the upgrade of the LV-5055 road between the N-230 and Vilamòs, budgeted at €2.74 million, and the stabilization and reinforcement of slopes along the LV-9124, worth €2.41 million. For the Generalitat, the expansion and renovation of the ABP police station in Vielha had a budget of €2.11 million.

By region, Tarragona recorded 44 unawarded projects, with a budget of €9.95 million, while Girona had 31, worth €7.41 million. Lleida counted 26 works or lots without a contractor, though its budget exceeds €12 million, largely due to the weight of a few high-budget road projects.

Among the municipal-level projects is the development of action unit number 2 of the Mirador del Penedès, in Montmell, worth €1.85 million; the construction of a new municipal nursery in Lloret de Mar, worth €1.35 million; and renovations to the facilities and façades of Pavilion 6 at Mercabarna, worth €1.22 million.

These are very different projects, but they all share one thing in common: at the time of tender, they failed to find a company willing to take them on under the terms set. This lack of margin is also reflected in the low level of competition among companies. During the first half of 2026, 38% of public works tenders in Catalonia received only one or two bids — a figure that, according to the CCOC, points to the difficulty some tenders face in attracting bidders.

Nine out of ten Spanish construction companies are already affected by rising costs

Costs are squeezing construction firms

What's happening with these tenders also reflects the broader situation facing the construction sector. According to the Confederación Nacional de la Construcción (CNC), nine out of ten Spanish construction companies are already affected by rising costs, particularly the rising cost of energy, fuel, and certain raw materials. The trade body also estimates that 56% of companies have slowed their activity as a result.

Roads are one of the areas where this pressure is most evident. The CNC estimates that cost overruns can reach 15% for maintenance work and as much as 30% for resurfacing rehabilitation.

Given this outlook, contractors are calling on public authorities to update tender budgets more quickly and to build mechanisms into contracts that allow for extraordinary cost increases to be addressed. "It's essential that projects be tendered with budgets aligned to real market costs," says CCOC president Lluís Moreno.

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