I get asked to help evaluate lighting tenders regularly. Not to design systems—that’s already done—but to help clients make sense of three or five tender responses that all claim to meet the specification but vary wildly in price and approach.

Here’s what I’ve learned about separating genuine quality from creative compliance.

Why Price Variations Occur

Before evaluating tenders, understand why prices differ:

Product quality: The biggest factor. Premium European manufacturers cost more than budget imports.

Scope interpretation: Tenderers may interpret specifications differently. One includes all accessories; another prices them as extras.

Risk allocation: Conservative pricing anticipates problems; aggressive pricing assumes everything goes smoothly.

Margin: Some companies work on higher margins than others.

Genuine efficiency: Some contractors are more efficient. This is legitimate price difference.

Underbidding to win: Then variations, substitutions, or cutting corners to recover margin.

Your job in evaluation is distinguishing legitimate differences from problematic ones.

Product Comparison

Verify the Products Meet Specification

Tenderers should provide product data sheets. Check these against your specification:

• Lumen output meets requirements
• Efficacy (lm/W) meets minimum
• CRI meets minimum
• Colour temperature as specified
• UGR meets maximum
• IP rating meets requirements
• Driver type matches specification (DALI, etc.)
• Warranty meets requirements

Watch for: Products that technically meet minimums but barely. A 79 CRI product when you specified 80 minimum might pass, but a quality-focused tenderer would offer 90+.

Research the Brands

If you’re not familiar with the proposed products:

• Are they established brands with Australian representation?
• Can you find them installed in reference projects?
• Is spare parts/replacement availability assured?
• What’s the warranty service process?

Unknown brands from unknown importers are high risk regardless of on-paper specifications.

Compare Like With Like

Some tenders propose equivalent but different products to specification. This isn’t necessarily wrong, but requires careful assessment.

If accepting alternatives, ensure you’re comparing similar quality levels. A $30 panel isn’t equivalent to a $70 panel even if both claim 4000K 600x600.

Scope Clarity

Inclusions and Exclusions

Read carefully what’s included and excluded:

• All labour (normal hours and out-of-hours if required)
• Access equipment (scaffolding, lifts, etc.)
• Electrical isolation and reinstatement
• Commissioning and testing
• Documentation and as-builts
• Removal and disposal of old fittings
• Making good (patching, painting, etc.)
• Control system programming
• Emergency lighting compliance

Common exclusions that surprise clients later:

• Builder’s work (penetrations, ceiling modifications)
• Electrical upgrades (switchboard work, cabling)
• Access to difficult areas (high atriums, over operating machinery)
• After-hours premiums
• Permit costs

Provisional Sums and Allowances

Tenders may include provisional sums for uncertain items. These are estimates that will be adjusted on actual costs.

Too many provisional sums indicate the tenderer hasn’t fully understood the scope. These become variations later.

Variations Approach

How does the tenderer handle variations? What’s their rate for additional work? This matters because scope changes happen.

Compliance and Evidence

Standards Compliance

The tender should confirm compliance with relevant standards:

• AS/NZS 1680 series (lighting levels)
• AS/NZS 2293 (emergency lighting)
• AS/NZS 60598 (luminaire safety)
• AS/NZS 3000 (wiring rules)
• Any project-specific requirements

Look for explicit confirmation, not just “we’ll comply with all relevant standards.”

Lighting Calculations

For significant projects, tenderers should provide lighting calculations showing proposed products achieve required levels.

What to check:

• Software used and version
• Maintenance factors applied
• Room parameters match reality
• Results meet specifications throughout, not just averaged

Environmental and Sustainability

If the project has Green Star, NABERS, or other sustainability requirements:

• Products should have appropriate certifications
• Energy calculations should support rating targets
• Documentation for certification should be clearly addressed

Experience and Capability

Relevant Track Record

Has the tenderer done similar projects?

Ask for:

• Reference projects of comparable scale and type
• Contact details for referees
• Photos of completed work

Call the references. Ask about quality, timeline, problem resolution.

Project Team

Who will actually do the work?

• Project manager identified and available
• Electricians with relevant experience
• Commissioning personnel for complex controls

Financial Capacity

For larger projects, check the contractor’s capacity:

• Can they fund the project through to payment?
• Are they financially stable?
• What’s their security of payment arrangement?

Program and Risk

Timeline

Does the proposed program align with your requirements?

• Lead time for products (especially international orders)
• Labour duration realistic for scope
• Critical path items identified
• Contingency for problems

Risk Allocation

What happens when things go wrong?

• Who bears weather delays?
• Who handles late product delivery?
• What’s the defects liability period?
• Insurance arrangements

Penalties and Incentives

If timeline is critical:

• Are liquidated damages proposed?
• Are incentives for early completion considered?

Evaluation Process

Scoring Framework

Before receiving tenders, establish a scoring framework:

Price (usually 30-40% weight): Lowest price gets maximum points; others pro-rated.

Technical compliance (usually 20-30%): How well products and approach meet specification.

Experience (usually 10-20%): Track record, references, team capability.

Program (usually 10-15%): Realistic timeline, risk management.

Other factors: Safety, sustainability, innovation as relevant.

Clarification Rounds

Tenders rarely answer everything clearly. Prepare clarification questions:

• Ambiguous items
• Missing information
• Apparent inconsistencies
• Areas where you want more detail

Give tenderers fair opportunity to clarify before evaluation.

Interview/Presentation

For significant projects, interview shortlisted tenderers:

• Meet the project team
• Discuss approach and methodology
• Probe areas of concern
• Assess cultural fit and communication

Common Pitfalls

Selecting on price alone: The cheapest tender often has problems—either underbidding to win (with variations to follow) or inferior products.

Ignoring specification compliance: Products that don’t quite meet specification are problems waiting to happen.

Not checking references: Past performance predicts future performance.

Underweighting experience: Contractors new to your project type face a learning curve. You pay for it.

Vague scope enabling disputes: Clear specifications and scope prevent arguments later.

When to Get Help

For complex evaluations, consider external help:

• Lighting consultants for technical assessment
• Quantity surveyors for price reasonableness
• Legal advice for contract terms on major projects

For projects involving sophisticated control systems or building integration, having someone who understands those broader systems can help evaluate whether proposed approaches will actually work. AI consultants Melbourne and similar technology specialists can assist with assessing integration aspects on complex projects.

Conclusion

Tender evaluation is part art, part science. The structured approach matters, but so does judgement about which issues matter most for your specific situation.

Take the time to evaluate properly. The cheapest tender isn’t necessarily the best value. The best value is the one that delivers what you need, on time, without drama.

James Thornton has been working in commercial lighting for 18 years and is based in Australia.