Paying the tender fee and EMD online
The two payments every bid needs, how they are paid on KPPP (net banking, cards, NEFT/RTGS, over-the-counter challan), why NEFT must be done days early, how and when EMD is refunded, when it is forfeited, and the MSME exemptions some tenders grant.
In this module
Two payments stand between you and the Submit button, and one of them comes back. The tender feeTender fee / processing feeA non-refundable amount paid to buy the tender document or to process the bid online. Small, fixed per tender, and separate from the EMD.Read in the glossary → is small and gone. The EMDEMD (Earnest Money Deposit)A refundable deposit paid with your bid to show you are serious. Usually a small percentage of the estimate. Returned to losing bidders after the award; forfeited if you withdraw or refuse to sign.Read in the glossary → is larger and refundable. Both are paid on the portal, both must clear before the closing minute, and both are checked at technical opening.
The tender fee
Also called the document fee or processing fee. Fixed per tender, stated in the notice, typically a few hundred to a few thousand rupees, and not refunded. It is the price of the tender document. Registered MSMEs are exempt on some tenders; the notice says so.
The EMD
The Earnest Money Deposit is a percentage of the estimate. Up to ₹1 crore the rate is fixed by government order in the standard documents K/W-1 to K/W-3; above that the tender states it.
| Estimate | Open tender | Reserved tender (SC, ST, Cat-I/II(A)) |
|---|---|---|
| Up to ₹20 lakh | 2.5% | 1.25% |
| ₹20 lakh to ₹1 crore | 2%, minimum ₹50,000 | 1%, minimum ₹25,000 |
| Above ₹1 crore | Stated in the tender; 1 to 1.5% is typical | Reservation does not apply above ₹1 crore |
| Estimate | Open tender | Reserved tender |
|---|---|---|
| Up to ₹20 lakh | 2.5% | 1.25% |
| ₹20 lakh to ₹1 crore | 2%, min ₹50,000 | 1%, min ₹25,000 |
| ₹1 crore to ₹10 crore (typical) | 1.5%, min ₹2,00,000 | — |
| Above ₹10 crore (typical) | 1%, min ₹15,00,000 | — |
Udyam-registered MSMEs are exempt on tenders whose document says so. A works tender that is silent means pay.
How to pay on KPPP
- Net banking, debit or credit card, UPI through the portal's payment gateway: instant, and the safest on a deadline.
- NEFT / RTGS to the virtual account the portal generates for your bid: the money must reach and reconcile before closing, which can take a working day or more. Pay at least two days early.
- Over-the-counter challan at a designated bank branch: same warning, doubled.
- Bank guarantee in place of cash EMD: accepted on larger tenders where the document says so, from a scheduled bank, in the department's format, valid beyond the bid validity. The original goes to the department as the notice directs.
Refunds
Unsuccessful bidders' EMD is refunded after the award, to the bank account on your supplier profile, usually within a couple of weeks of the LOA but sometimes longer where the department is slow to close the tender on the portal. The successful bidder's EMD is adjusted against the security depositSecurity deposit (SD)Money held by the department for the whole contract as a guarantee of performance, commonly 5% of the contract value in Karnataka works. Part is paid at agreement, the rest deducted from bills.Read in the glossary → or refunded when the deposit is furnished. If a tender is cancelled, all EMDs are refunded.
Forfeiture
The EMD is forfeited if you withdraw or modify the bid after closing and inside the validity period, if you refuse to sign the agreement or furnish the security deposit after the LOA, or if you are found to have submitted false information. It is not forfeited for losing, for being non-responsive, or for the tender being cancelled.
MSME exemptions
Tenders for goods and services, and some works tenders, exempt Udyam-registered MSMEs from the tender fee, the EMD, or both, under the central and state MSME procurement policies. The tender document says whether, and the exemption is claimed by uploading the Udyam certificate in the technical cover. Do not assume it; a works tender that is silent means pay.
Key takeaways
- Tender fee: small, per tender, not refunded. EMD: a slab percentage of the estimate, refundable.
- Pay through the gateway on a deadline; NEFT and challans need days to reconcile.
- Losing bidders get the EMD back after award; the winner's is adjusted against the security deposit.
- Forfeited only for withdrawing, refusing to sign, or false information. Udyam MSMEs may be exempt where the tender says so.
Check yourself
0 / 3- 1.What is the EMD on a ₹60 lakh PWD work under the usual slab?
- 2.When is EMD forfeited?
- 3.Why pay EMD by the gateway rather than NEFT on the last day?
Frequently asked
How is EMD refunded on KPPP?
Is the tender fee refundable?
Can EMD be paid by bank guarantee?
Every live Karnataka tender, with the history the portal never shows.
Who won the last ones like it, at what discount, and the documents it asks for. Browse without an account; sign up when you want alerts.
Written from the KTPP Act and Rules, the Karnataka Public Works Departmental Code 2014, KPWD bidding documents and office checklists, and checked against awarded tenders on this site. Figures change; the tender document and the registering office are the final word. Spotted an error? Tell us.