Public procurement glossary: A–Z of tender terms

Public procurement has a vocabulary of its own. This glossary explains the terms you'll meet in EU tender notices and documents, in plain English. Each term has its own link, so you can share or bookmark it. National names are given where they're common.

A#

Abnormally low tender#

A tender whose price or cost seems too low for the work. The buyer must ask the bidder to explain it before rejecting it, and must reject it if the low price comes from breaching environmental, social or labour law (Article 69 of Directive 2014/24/EU).

Award criteria#

The published rules used to compare and rank compliant offers, such as price, quality and life-cycle cost, with their weights. See the award criteria guide.

Award decision#

The buyer's decision on who wins, sent to all bidders with the reasons. Above the EU thresholds it starts the standstill period.

B#

Below-threshold contract#

A contract whose estimated value is under the EU thresholds. National rules apply instead of the full directives, often with simpler procedures and national portals, but EU Treaty principles still apply when there is certain cross-border interest. See EU thresholds.

Bid bond#

A financial guarantee submitted with the bid (also called a tender guarantee or provisional guarantee) that the bidder will not withdraw and will sign if it wins. Required only when the documents say so.

BPQR#

Short for best price-quality ratio, the most common form of MEAT: offers are scored on both price and quality criteria with published weights.

Buyer profile#

The buyer's web page or platform section where it publishes tender documents, clarifications and sometimes planned purchases.

C#

Call-off#

An order (specific contract) placed under a framework agreement, either directly on the framework terms or after a mini-competition.

Candidate#

A company that has asked to take part in a procedure, for example by sending a request to participate. Compare tenderer.

Central purchasing body#

A public organisation that buys or sets up framework agreements for other buyers, for example Hansel (Finland), Consip (Italy) or UGAP (France).

Clarification question#

A question a bidder sends to the buyer about the tender documents during the tender period. Answers are shared with all bidders and become part of the rules.

Competitive dialogue#

A procedure for complex projects in which the buyer discusses possible solutions with selected candidates before they submit final tenders. See procedures.

Competitive procedure with negotiation#

A procedure in which selected candidates submit initial tenders that the buyer may negotiate, except for minimum requirements and award criteria, before final tenders.

Consortium#

Two or more companies bidding together as one tenderer, also called a group of economic operators or joint bid (UTE in Spain, RTI in Italy, groupement in France, Bietergemeinschaft in Germany). See consortia and subcontracting.

Contract award notice#

The notice (CAN) published after a contract is concluded, showing the winner, the value and often the number of tenders received. Above the thresholds it must be sent within 30 days of concluding the contract.

Contract modification#

A change to a contract during its term. Changes are limited to what the documents allow and a few other cases; larger changes require a new procedure and are published as modification notices.

Contract notice#

The notice (CN) that launches a procedure and invites bids or requests to participate. It gives the subject, lots, deadlines, conditions and a link to the documents. See reading a tender notice.

Contracting authority#

A public buyer: the state, regional or local authorities, bodies governed by public law, or associations of them.

Contracting entity#

A buyer in the utilities sectors (water, energy, transport, postal services) covered by Directive 2014/25/EU. It can be a public authority, a public undertaking or a company with special or exclusive rights.

Corrigendum#

A correction to a published notice, for example a new deadline or changed requirement. With eForms, changes are published as change notices.

CPV#

The Common Procurement Vocabulary, the EU classification of what is being bought: an 8-digit code plus a check digit, organised in a hierarchy from division (first two digits) down to detailed items, for example 45 for construction work or 72 for IT services. See the CPV guide.

D#

Debriefing#

Feedback from the buyer on how your bid was scored and why it won or lost. On written request, the buyer must give the reasons and the relative advantages of the winning tender within 15 days.

DPS#

A dynamic purchasing system: a fully electronic system for commonly used purchases that stays open during its whole validity: any company meeting the selection criteria can join at any time. See framework agreements and DPS.

E#

e-Certis#

A free European Commission tool that shows which certificates and documents are used as evidence in each member state, helping you find the equivalent of a document asked for abroad.

Economic operator#

Any company, person, public entity or group of them offering works, supplies or services on the market. In practice: the bidder.

eForms#

The EU standard for procurement notices published on TED, mandatory since 25 October 2023 under Implementing Regulation (EU) 2019/1780. It makes notice data structured and machine-readable.

eIDAS#

The EU regulation on electronic identification and trust services, which defines simple, advanced and qualified electronic signatures.

E-invoicing#

Sending invoices in a structured electronic format. Public buyers in the EU must accept e-invoices that follow the European standard, and many countries require their own platforms.

E-procurement platform#

The website where a buyer publishes tender documents, answers questions and receives bids, for example PLACSP in Spain or a German e-Vergabe platform.

ESPD#

The European Single Procurement Document, a standard self-declaration that you are not excluded and meet the selection criteria, used instead of certificates at the bidding stage (Implementing Regulation (EU) 2016/7). National names include DEUC, DGUE, DUME, EEE and JEDZ. See the ESPD guide.

Estimated value#

The buyer's estimate of the total value of a contract excluding VAT, including options, renewals and all lots. It decides whether the EU thresholds apply. Splitting a contract to avoid the thresholds isn't allowed.

Exclusion grounds#

Situations that bar a company from a procedure: mandatory ones such as convictions for corruption or fraud and unpaid taxes, and discretionary ones such as insolvency or grave professional misconduct (Article 57).

F#

Framework agreement#

An agreement setting the terms for future orders over a period, with one or several suppliers. At most four years under Directive 2014/24/EU and eight for utilities, except in justified cases. See framework agreements.

G#

GPA#

The Government Procurement Agreement, a WTO agreement that opens covered public contracts to bidders from its parties, including the EU, Norway, Switzerland, the United Kingdom and the United States.

I#

Incumbent#

The supplier currently holding a contract that is being re-tendered.

Innovation partnership#

A procedure for developing an innovative product, service or works not yet available on the market and then buying the result.

L#

Life-cycle costing#

A way of comparing offers on the total cost of ownership: purchase, use, maintenance and end-of-life, sometimes including environmental costs (Article 68).

Light regime#

Simplified rules for social, health, education and certain other specific services, with a higher threshold (€750,000 for the public sector in 2026–2027). Buyers have more freedom to design the procedure.

Lot#

A part of a contract that can be bid for and awarded separately, for example by region or by type of service. Buyers that don't divide a contract into lots must explain why, and may limit how many lots one bidder can win.

M#

Market consultation#

Contacts between a buyer and the market before a procedure to prepare it, for example a request for information or supplier meetings. Taking part is a chance to shape realistic requirements, as long as competition isn't distorted.

MEAT#

The most economically advantageous tender, the basis for awarding EU public contracts: best price-quality ratio, lowest cost (such as life-cycle cost) or, where allowed, lowest price (Article 67). See award criteria.

Mini-competition#

A short competition among the suppliers on a multi-supplier framework agreement to award a specific call-off. Also called reopening competition.

N#

Negotiated procedure without prior publication#

An exceptional procedure in which the buyer negotiates directly with one or more companies without publishing a contract notice, for example in extreme urgency or when only one supplier can perform.

NUTS code#

The EU's regional classification (Nomenclature of Territorial Units for Statistics) used in notices to show where a contract is performed, from country down to region.

O#

Open procedure#

The most common procedure: any interested company may submit a tender in response to the contract notice. Minimum time limit 35 days, reduced to 30 when tenders are submitted electronically.

P#

Performance guarantee#

A bank guarantee or deposit the winner provides to secure proper performance of the contract, also called a definitive guarantee. Required only when the documents say so.

PIN#

A prior information notice: an advance notice of a planned purchase. It can shorten tender time limits and, for some buyers, serve as the call for competition.

Price-quality ratio#

See BPQR.

Procurement documents#

All the documents the buyer produces for a procedure: the notice, instructions to tenderers, technical specifications, draft contract, forms and later clarifications.

Q#

Qualified electronic signature#

The highest level of electronic signature under eIDAS (QES), legally equivalent to a handwritten signature and recognised in all member states. Some countries require it for bids.

R#

Reliance on capacities#

Using another company's financial or technical capacities to meet the selection criteria, with a commitment that the resources will be available (Article 63). Known as avvalimento in Italy and Eignungsleihe in Germany.

Remedies#

The ways a bidder can challenge a procurement decision before a national review body, under the Remedies Directives. Time limits are short and set by national law.

Request to participate#

The application a company sends in the first stage of a restricted or negotiated procedure, showing it meets the selection criteria, so that it can be invited to tender.

Restricted procedure#

A two-stage procedure: companies send requests to participate, the buyer selects at least five (where enough qualify) and invites them to tender.

S#

Selection criteria#

Minimum requirements on a company's suitability, economic and financial standing, and technical and professional ability, such as turnover, insurance or references. Pass or fail; the minimum turnover is normally capped at twice the contract value (Article 58).

Self-cleaning#

Measures a company in an exclusion situation can take to prove it is reliable again: paying compensation, cooperating with the authorities and preventing recurrence (Article 57(6)).

Standstill period#

The waiting time between the award decision and signing the contract, so that unsuccessful bidders can challenge it: at least 10 calendar days when the decision is sent electronically, 15 otherwise. See after the deadline.

Subcontracting#

Having part of a contract performed by another company while the main contractor stays responsible to the buyer (Article 71).

T#

TED#

Tenders Electronic Daily, the online supplement to the Official Journal of the EU, where all above-threshold notices from the member states are published every working day, at ted.europa.eu.

Technical specifications#

The part of the documents that describes what must be delivered and the minimum requirements. Specifications must allow equivalent solutions and not favour one supplier without justification.

Tenderer#

A company that has submitted a tender. Compare candidate.

Thresholds#

The contract values above which the EU directives apply in full. From 1 January 2026 to 31 December 2027, for example, €5,404,000 for works and €140,000 or €216,000 for supplies and services. See EU thresholds.

Time limits#

The minimum periods buyers must give bidders to respond, set by the directives per procedure and extended when the documents change significantly. Always use the deadline in the notice.

U#

Utilities#

Buyers in water, energy, transport and postal services, covered by Directive 2014/25/EU with higher thresholds and more flexible procedures.

V#

Variant#

An alternative solution offered in addition to, or instead of, the standard offer. Variants are allowed only when the buyer permits or requires them, and must meet the stated minimum requirements.

VEAT#

A voluntary ex-ante transparency notice: a notice a buyer publishes when it intends to award a contract without a prior contract notice, giving the market a chance to challenge the decision before the contract is signed.