Bid Evaluation in Public Procurement Law 2026

Bid evaluation in public procurement: procedure, award criteria, evaluation matrix and legal requirements in Austria and Germany.

Definition: Bid evaluation is the procurement-law-regulated process in which the public contracting authority, after the formal bid examination, assesses all admissible tenders against the previously announced award criteria in order to identify the most economically advantageous tender.

Last updated: January 2026 · Legal status: Art. 67 Directive 2014/24/EU, § 127 GWB, § 58 VgV, § 127 BVergG 2018, § 16d VOB/A

What is bid evaluation?

Bid evaluation is the heart of the procurement procedure and determines which company is awarded the public contract. It must follow the award criteria and their weighting as published in advance in the contract notice or procurement documents. Any subsequent change to the evaluation methodology is unlawful under procurement law and may lead to the cancellation of the procedure.

The principle of the most economically advantageous tender (best-value principle) applies throughout European procurement law. The contract must not automatically go to the cheapest tender, but to the tender offering the best price-to-quality ratio.

Stages of Bid Evaluation

Bid evaluation is divided into several consecutive stages that must be strictly observed.

Stage 1: Formal Examination

First, all tenders are checked for formal completeness and compliance with formal requirements. Tenders that were not received on time, are missing essential documents, or fail to meet the minimum requirements must be excluded. Formal defects may be remedied through subsequent requests under certain conditions.

Stage 2: Suitability of Bidders

In a two-stage procedure, the suitability (authorisation, reliability, capability) of the bidders is examined. In open procedures this is often done simultaneously with the bid examination; however, suitability must always be assessed before the substantive evaluation.

Stage 3: Substantive Bid Examination

It is examined whether the tenders meet the technical requirements of the specifications and contain no inadmissible alterations. Tenders with material deviations from the minimum requirements must be excluded.

Stage 4: Price Adequacy Check

Abnormally low tenders must be scrutinised; the bidder is given the opportunity to provide clarification. If the seriousness of the price cannot be demonstrated, the tender must be excluded (§ 60 VgV / § 16d VOB/A).

Stage 5: Evaluation According to Award Criteria

In the final step, the remaining tenders are evaluated according to the defined award criteria and their weighting and placed in a ranking order.

Award Criteria and Evaluation Matrix

The most economically advantageous tender is determined by an evaluation matrix combining price and qualitative criteria. Typical award criteria are:

Criterion	Typical Weighting
Price / total cost	40–70 %
Quality / concept	20–40 %
Delivery / completion period	5–15 %
Service / warranty	5–10 %
Sustainability aspects	5–15 %

The weightings must be set bindingly in advance. A purely price-based evaluation is only permissible for simple, standardised services.

Documentation of Evaluation

The entire evaluation process must be fully documented, as it must be capable of complete review in any review procedure. The procurement record must transparently set out the methodology applied, the points awarded, and the result of the evaluation.

Legal Requirements

Three principles shape bid evaluation: transparency, equal treatment, and non-discrimination. Any deviation from the published criteria is open to challenge. Bidders have a right to information about the evaluation result (bidder notification before award, § 134 GWB / § 143 BVergG 2018).

Related Terms

FAQ

May the contracting authority change the award criteria after tenders have been received? No. Subsequent changes to the award criteria or their weighting are unlawful under procurement law and render the procurement procedure open to challenge.

Must the contract always be awarded to the cheapest tender? No. Procurement law requires the most economically advantageous tender, which is to be determined on the basis of the best price-to-quality ratio. Purely price-based evaluation is only permissible in exceptional cases.

What is an evaluation matrix? An evaluation matrix is a structured assessment system that displays the various award criteria with their respective weightings and systematically captures the point allocation for each tender.

Can qualitative criteria be weighted higher than price? Yes, provided this is objectively justified and announced in advance. For complex services, quality may carry a higher weighting than price.

Last updated: January 2026 All information provided without guarantee. For legally binding advice, please consult a law firm specialising in public procurement law.