Tenders up to R50 million score 80 points on price and 20 on the tender's stated specific goals; above R50 million it is 90 and 10. Since 2023 there are no automatic B-BBEE points: each organ of state sets its own goals in the SBD 6.1 itself, so the form must be read every time. The Public Procurement Act of 2024 has not commenced, so the PPPFA framework still governs today, with new draft regulations published in April 2026. Points are only awarded against proof, and expired proof is the quiet killer.
The two formulas that decide most tenders
Under the Preferential Procurement Policy Framework Act, price points are computed relative to the lowest acceptable bid. For tenders with a value up to R50 million, the 80/20 system applies:
Above R50 million, 90/10:
Ps is your price score, Pt is your price, Pmin is the lowest acceptable price. The remaining 20 or 10 points come from the tender's specific goals, claimed on the SBD 6.1 form. Two consequences worth internalising:
- Being 10 percent above the cheapest acceptable bid costs you 8 price points on an 80/20 tender. The full specific-goals allocation is 20. Preference points are real money.
- The formula only sees acceptable bids. A bid disqualified on a technicality never enters the comparison, no matter its price.
What changed in 2022, and still trips bidders in 2026
After the Constitutional Court's Afribusiness judgment, the 2022 Preferential Procurement Regulations removed the old automatic link between B-BBEE status level and preference points. Since they took effect in January 2023, each organ of state defines its own specific goals per tender: B-BBEE level is commonly used, but so are ownership by women, by youth, by people with disabilities, or local subcontracting.
The practical rule: the SBD 6.1 in front of you is the only SBD 6.1 that matters. Last month's tender allocated its 20 points differently, and next month's will again.
The 2026 transition state
The Public Procurement Act 28 of 2024 was signed on 18 July 2024 and will eventually replace this entire framework, single procurement regime, new preferencing model and all. It has not commenced. National Treasury published draft General Public Procurement Regulations for comment on 16 April 2026, which signals commencement is approaching, but until the proclamation lands, the PPPFA and the 2022 regulations govern every tender you submit today. Bid teams should track the commencement date, not redesign around rules that are not yet in force.
Where good bids die
From the compliance side, the same handful of technicalities disqualifies bids over and over:
- Unsigned or incomplete SBD forms. An unsigned SBD 6.1 is a claim of zero points at best and non-responsiveness at worst.
- Points claimed without the proof behind them. A B-BBEE certificate or sworn affidavit that is missing, expired, or in the wrong entity's name.
- Expired tax clearance. The pin is valid on the day you print it and stale on the day the committee checks it.
- CSD registration out of date, or details that contradict the bid documents.
- Arithmetic and transcription errors between the pricing schedule and the forms.
- The wrong goal claimed, because the team reused last tender's SBD 6.1 answers on this tender's different goals.
The checklist before you submit
- Read this tender's SBD 6.1 goals table first, before pricing.
- Match every point you claim to a document in the pack, and check the document's validity date against the closing date.
- Verify tax clearance, CSD registration and B-BBEE proof are current on the day of submission, not the day of drafting.
- Reconcile every figure that appears twice.
- Sign everything that has a signature block.
- Track certificate expiry dates centrally so renewal happens before a tender needs it, not during one.
This is the paperwork we automate first
Intric Solves runs a tender engine: complete, submission-ready responses with every expiry tracked and every claimed point matched to its proof. Your team reviews and lodges. Start with three bids at a fixed price.
kamau@intricsolves.com