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GeM bids for electrical and energy products: how they work

How India's Government e-Marketplace (GeM) buys cables, transformers, meters, lights, solar systems and other electrical goods: who must buy there, the buying methods and their value limits, bids and reverse auctions, EMD and MSE preferences, and what a seller needs before the first bid.

By the TenderGrid team. Updated 23 Oct 2026.

Many of India's public purchases of electrical goods never go through a classic e-tender. They happen on GeM, the Government e-Marketplace, where buyers order from catalogues, compare offers and run bids and reverse auctions online. Cables, transformers, energy meters, LED lights, batteries, solar systems and electrical maintenance services are all bought there. This guide explains how GeM works for sellers of electrical and energy products and what to prepare before your first bid.

This guide explains GeM in plain language. It is general information, not legal advice: GeM's rules change often, and the bid document always prevails. Indian amounts are often written in lakh and crore: ₹1 lakh is ₹100,000 and ₹1 crore is ₹10 million.

What GeM is and who buys there

GeM was launched in August 2016 and is run by GeM SPV, a not-for-profit company under the Ministry of Commerce and Industry. Under Rule 149 of the General Financial Rules 2017, central ministries and departments must buy the goods and services that are available on GeM through GeM. Many central public sector companies, state governments and their bodies buy there as well.

How a buyer chooses: the value limits

For a product listed on GeM, the value of the order decides how the buyer can buy it:

Order value	How the buyer can buy
Up to ₹50,000	Directly from any seller whose product meets the requirement
Above ₹50,000, up to ₹10 lakh	From the lowest-priced (L1) seller, after comparing the offers of at least three different makers or service providers
Above ₹10 lakh	Through a bid or a reverse auction

These are the limits in GeM's own guidance, under the General Financial Rules. The Department of Expenditure raised the value limits of most buying methods in July 2024, so older guides quote lower figures.

Bids and reverse auctions

Bid. Sellers submit their technical and price offers by the bid end date. The buyer evaluates the technical offers first, and then compares the prices of the sellers that qualified.
Bid followed by a reverse auction (RA). The buyer says at the start whether a reverse auction will follow. Only technically qualified sellers take part, and under the rule the buyer chooses, the most expensive of them can be left out; the others lower their prices online. An RA runs for at least 24 hours, and a price offered in its last 15 minutes extends it.
Custom bids and BoQ bids. For items without a standard GeM category, a buyer can write a custom bid with its own specification. A BoQ bid puts many line items into a single bid, for example the materials of an electrical works package.
PAC bids. When the buyer needs one particular make and model (a proprietary article), only sellers offering that make and model can take part.

According to GeM's guidance, a normal bid stays open for between 10 and 45 days, and shorter bids are possible in some cases. Buyers can change a bid with a corrigendum, so check it again before you submit.

Before your first bid: registration

Seller registration. GeM checks the person registering through Aadhaar or a personal PAN, and the business through its PAN (and, for a company, its CIN). A GSTIN is not needed to register. To take part in bids, a business older than two years also gives its income tax returns for the last three years.
Makers and resellers. In some categories only the maker (OEM) or its authorised resellers may sell. The maker authorises its resellers through GeM's OEM panel. Makers can be asked to pass a vendor assessment, which GeM has given to RITES Limited.
Foreign brands. A company in India that represents a foreign brand can register as a "deemed OEM".
Catalogue and local content. You list each product in its category with its specifications, and declare its local content. Without that declaration you can't take part in bids that are open only to Make in India products.
MSE and startup status. Add your Udyam registration number (for micro and small enterprises) or your DPIIT startup recognition to your profile, so that you can claim the exemptions below.

EMD, preferences and payment

EMD. A buyer can ask for an earnest money deposit for bids with an estimated value above ₹5 lakh. Micro and small enterprises and DPIIT-recognised startups can claim exemption from it. Our guide to EMD, tender fees and MSE exemptions explains the rules behind this.
Price preference for MSEs. When the lowest price comes from a seller that is not a micro or small enterprise, MSEs that quoted within 15% of it (L1 + 15%) can match the lowest price and supply at least 25% of the tendered value. On GeM, the five lowest such MSE offers get this option.
Make in India. Class-I local suppliers (at least 50% local content) get purchase preference, and buyers can open a bid to Make in India products only. Class-II local suppliers have at least 20% local content.
Payment. Buyers are expected to pay within 10 days of accepting the goods, unless their organisation's own rules set another period. They record the acceptance on GeM with a Consignee Receipt and Acceptance Certificate (CRAC).

Solar and other regulated products

Some electrical products need approvals of their own, however they are bought. Solar PV modules for government, government-assisted and scheme projects, and for net-metering and open-access projects, must come from the Ministry of New and Renewable Energy's Approved List of Models and Manufacturers (ALMM). Since 1 June 2026 the solar cells in them must be on ALMM List-II as well; net-metering and open-access projects can be commissioned without List-II cells until 31 December 2026, a date that has been moved before, so check the ministry's latest notice. Other items have their own requirements, such as Indian Standards for cables and meters or type tests, so read the specification attached to the bid before you make an offer.

A checklist for your first GeM bid

Register as a seller, with your Udyam or startup number if you have one.
List your products under the right categories, with the maker's authorisation if you are a reseller.
Declare the local content of each product.
Read the bid document and the buyer's additional terms and conditions in full: they often add experience, turnover, warranty or testing conditions.
Price everything the bid asks for, such as delivery, installation and testing.
Submit before the bid end date, and watch for a reverse auction afterwards.

TenderGrid lists e-tenders from India's NIC e-procurement portals and from MSEDCL, not GeM bids: those are on GeM itself. For the e-tender side, see our guide to CPPP and the state e-procurement portals.