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Tendering without losing the budget

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By , construction economist

Information verified on 7 min read

What you will learn The two meanings of the word "devis" in Luxembourg, the budget levers the public procurement law leaves open before and after tenders are opened, the freedom of a private contract and the discipline it requires, and the four articles in this branch.

Tendering is the moment when the estimate meets the real price. In a Luxembourg public contract, almost everything is decided before tenders are opened: after that, the contracting authority (pouvoir adjudicateur) no longer negotiates prices and must, in principle, award the contract. In a private contract the room for manoeuvre is wider, but it only serves the budget if the tenders are comparable.

One word, two meanings: the "devis"

In a public contract, the devis is not the contractor's tender: it is the estimate drawn up by the contracting authority. The amended law of 8 April 2018 on public procurement uses the word in this sense in article 19 (amount estimated "according to an estimate", unofficial translation) and in article 47 (final account compared with the estimate). The implementing grand-ducal regulation (règlement grand-ducal, RGD) of the same date prohibits disclosing it to tenderers (art. 45 (5)).

In private contracts, everyday usage calls the contractor's price a "devis". In this branch, that price is called the tender in both cases, and "estimate (devis)" always means the contracting authority's own figure.

Public contracts: what is decided before opening

The open procedure is the general rule (law, art. 18 (1)); the restricted procedure and the negotiated procedure are only allowed in the cases provided for by the law (art. 17, 19 and 20). The choice of procedure depends on the estimated value, which is itself calculated from the estimate, including options and all lots (art. 12, § 5). For the restricted procedure with publication of a notice, the amount of the whole building project also matters: its threshold applies only to works relating to a project (ouvrage) whose estimated amount does not exceed the European threshold, that is €5,404,000 in 2026 (art. 19 (1), subparagraph 4).

Estimated value excluding VAT (2026) What the text allows Basis
up to €79,000 negotiated or restricted procedure without publication, with no further justification RGD art. 151; law art. 20 (1) a)
from €79,000 to €144,986.80 the same procedures, with at least 3 candidates law art. 20 (3)
works above €1,294,525 restricted procedure with publication of a notice possible law art. 19 (1)
from €5,404,000 (works) rules of Book II (European threshold) law art. 52; notice of 24 November 2025

The main budget lever is therefore the tender file itself: a dated and realistic estimate, a settled brief, and options built in from the start. How to organise the tender is covered in the article on organising the tender.

Public contracts: what remains after opening

The examination of tenders covers whether the prices are justified and whether the calculations are accurate (RGD art. 80 (1) and 87). A price analysis must be requested from tenders more than 15% below the average of compliant tenders, excluding the most expensive and the cheapest, provided there are at least 5 compliant tenders (art. 88).

Two rules then sharply reduce the contracting authority's room for manoeuvre. First, "after the opening of the tender, the contracting authority may under no circumstances come to an arrangement with tenderers with a view to changing the prices of their tenders" (RGD art. 85), except where prices are equal. Second, "the contract must be awarded if at least one tender meeting the conditions of the specification has been received" (law, art. 39 (1)).

Two exits remain, both regulated: waiving the contract by a reasoned decision, after first hearing the opinion of the Tender Board (Commission des soumissions) (art. 39 (2)), or cancelling, in particular where the tender has not produced a "satisfactory result", again after the prior opinion of the Tender Board (art. 39 (3) a)). Negotiation is only possible in the procedures that provide for it.

Private contracts: freedom and its discipline

No procedure is imposed on a private client: they can invite tenders, negotiate, re-tender and reduce the scope. That freedom only serves the budget if every contractor prices the same thing. How to read tenders is covered in the article on analysing and comparing bids.

Lever Public contract Private contract
Choosing which contractors to invite depends on the procedure and thresholds free
Negotiating prices after submission only in a negotiated procedure; not in an open or restricted one, except where prices are equal (RGD art. 85) free
Not awarding reasoned waiver or cancellation, opinion of the Tender Board (art. 39) free, subject to any commitments made
Benchmark for comparison the contracting authority's estimate, confidential the client's budget

The articles in this branch

The overall framework is set out in the guide to the client's budget. Four articles look at the specific situations in detail:

This article sets out the rules as they stood on the date of checking and is intended as professional guidance. It does not replace legal advice or an examination of the specific case.

Frequently asked questions

Not in an open or restricted procedure: article 85 of the regulation prohibits any arrangement with tenderers on their prices after opening, except where prices are equal. Negotiation only exists in the negotiated procedures allowed by article 20 of the law.

The law requires an award as soon as one tender meets the conditions of the specification. The contracting authority may nevertheless waive by a reasoned decision or, in the cases provided for, cancel, after the prior opinion of the Tender Board.

No: article 45 (5) of the regulation prohibits it. For contracts under Book II, only the total estimated value may appear in the notice.

Yes, provided every contractor receives the same amended file.

Explore the articles in this guide

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