Para 5.1.15 - Bid Extension | KartavyaDesk
Original Rule Text
2. Auto-Extension of Bids – in case of lack of Response: The e-Procurement portal/ GeM should not provide anybody, including the Procuring Entity, with the bid count before the tender opening time, even at their request. The eProcurement portal/ GeM may facilitate the Procuring Entity in specifying the minimum number of bids considered sufficient and the pre-specified number of days for automatic extension of bid opening (ordinarily not less than 7 days) at the time of tender upload. The system shall declare in the tender details that in case of low competition (without specifying the number), the tender closing time shall be automatically extended by the specified number of days. If bids received till the bid opening time are less than the specified minimum bids, the system should automatically extend the tender opening by the specified number of days without seeking any input from or sharing any information with anyone, including the Procuring Entity. Purchasers and bidders shall only be informed that due to less competition, the tender closing time has been extended up to (date and time). However, this automatic extension of bid opening shall be done only once, not repeatedly. If a Procuring Entity wants to go ahead even with low competition (e.g., due to urgency), they may mention ‘one’ as the
What This Means
Para 5.1.15 of the Manual for Procurement of Non-Consultancy Services deals with automatically extending bid deadlines when there's a lack of sufficient responses to a tender. Think of it like this: the government wants to ensure fair competition and get the best possible deals. If only a few companies bid on a project, it might mean others didn't see the opportunity or needed more time to prepare their proposals. This rule helps address that. The e-Procurement system is designed to automatically extend the deadline by a pre-set number of days (usually at least 7) if the number of bids received is below a minimum threshold specified when the tender was initially published. This gives other potential bidders a chance to participate. Importantly, this extension happens automatically, without anyone at the procuring entity knowing the exact number of bids received. This ensures transparency and prevents any potential bias.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- •Automatic bid extension occurs when the number of bids received is less than the minimum specified in the tender document.
- •The e-Procurement system handles the extension automatically, without revealing the bid count to the procuring entity.
- •The extension period is pre-defined (ordinarily not less than 7 days) and specified during tender creation.
- •Bidders are informed that the closing time has been extended due to 'less competition'.
- •Automatic extension is allowed only once per tender.
Practical Example
The Ministry of Rural Development issues a tender for the supply of 500 water pumps to various villages. They specify a minimum of 3 bids required for the tender to proceed smoothly and set an automatic extension period of 7 days. When the initial deadline arrives, only 2 bids are received. The e-Procurement system automatically extends the deadline by 7 days. All potential bidders receive a notification stating that the tender closing time has been extended due to less competition. After the extension, 2 more bids are received, bringing the total to 4. The Ministry can now proceed with evaluating the bids and awarding the contract. If after the extension, the number of bids was still less than 3, the Ministry could then decide whether to proceed with the available bids or cancel the tender.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
What happens if we still don't get enough bids after the automatic extension?▼
Can we extend the bid deadline manually in addition to the automatic extension?▼
How do we specify the minimum number of bids required and the extension period?▼
Why is the bid count not revealed before the tender opening?▼
What if we urgently need the goods/services and can't wait for the extension?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Test Your Knowledge
Question 1 of 3
According to Para 5.1.15 of the Manual for Procurement of Non-Consultancy Services, what is the primary reason for the automatic extension of bid opening in e-Procurement?
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