Electronic Bidding (e-Bidding)

Electronic bidding (e-bidding) is the submission of a bid or tender electronically through a designated electronic procurement system, rather than by paper, email or other physical delivery. The supplier prepares the response, uploads it and sends it through the platform named in the solicitation.

E-bidding is one part of broader electronic procurement, or e-procurement, which covers the online systems used to publish opportunities, distribute solicitation documents, receive bids and manage procurement transactions. Related terms include electronic tendering, electronic bid submission and electronic bid bond (e-bond). In Canadian defence procurement, e-bidding can include online submission, revisions before closing, electronic bid security and electronic confirmation that a bid was received.

What an electronic bid submission involves

The exact steps depend on the buyer and the platform, but the common elements are consistent. The supplier submits the bid online, can often revise it before the closing time, provides any required bid security electronically, and receives confirmation that the submission went through. Each solicitation states which system and delivery method applies, so the instructions in the individual opportunity always govern.

E-bidding is not the same as an electronic auction. An auction is a separate process in which suppliers compete electronically after initial bids. Ordinary e-bidding is simply the electronic delivery of a bid.

How PSPC handles electronic bid submission

Public Services and Procurement Canada (PSPC) describes the Government of Canada as moving federal procurement online. For some tenders, suppliers may submit bids electronically through the Canada Post Connect online service. Solicitations processed through the Government's electronic procurement solution require bid submission through SAP Ariba. Each opportunity identifies the required delivery method. See PSPC's guidance on preparing a bid for the current requirements.

PSPC also directs suppliers to instructions for submitting bids electronically through Ariba on its bid on opportunities page.

How Defence Construction Canada uses e-bidding

Defence Construction Canada (DCC) states that e-bidding is used for all DCC contracts, including tenders and requests for proposal that require bid security. DCC makes its procurement opportunities available through an electronic tendering service, and the opportunity listing shows whether electronic bid security is required. Details are on the DCC e-procurement page.

Where bid security is required, DCC accepts one of two forms:

• An electronic bid bond (e-bond)
• Cash security by electronic funds transfer

An earlier DCC publication on e-bidding described a system that accepted only online bids. Its stated functions included revising a bid before tender closing, uploading an electronic bid bond, submitting bid security by electronic funds transfer and receiving a confirmation number.

E-bidding at NATO Headquarters and NSPA

Electronic submission is also standard in NATO-related procurement. NATO Headquarters directs suppliers to its NATO BizOpps Portal, where they can access opportunities, download document packages and submit bids and proposals digitally. The details are on the NATO Headquarters business opportunities page. The NATO Support and Procurement Agency (NSPA) publishes its supply, service and other opportunities through its own online eProcurement portal.

What e-bidding means for a supplier bidding on Canadian public contracts

A Canadian supplier cannot assume one submission channel for every buyer. PSPC may use Canada Post Connect or SAP Ariba depending on the opportunity, while DCC uses e-bidding for all of its contracts. Read the delivery instructions in each solicitation before you begin, and confirm the required platform well before the closing time.

• Register for and test the required system before the deadline.
• Check whether electronic bid security is required, and arrange an e-bond or electronic funds transfer in advance.
• Keep the confirmation of submission as your record that the bid was received.
• Use bid revision options, where the platform offers them, only before the tender closes.