How many BBBEE points does a tender award?

Under the Preferential Procurement Policy Framework Act, South African government tenders use one of two formulas based on contract value:

• 80/20 for contracts up to R50 million — 80 points for price, 20 points for BBBEE preference.
• 90/10 for contracts above R50 million — 90 points for price, 10 points for BBBEE preference.

A Level 1 contributor earns the full 20 (or 10) preference points. A Level 8 contributor earns 2 (or 1). Non-compliant bidders earn zero preference points — they can still win on price alone, but lose the preference differentiator.

See the full breakdown in B-BBEE explained.