Seeing that the project in question is mostly aiming at NGO's and non-profits I'm assuming that 'data without borders' is not a commercial enterprise. In which case it's not uncommon to have these sorts of contests where the 'reward' is meant as a 'thank you' rather than a full compensation.
From a purely economical/business perspective you're (kinda) right, but from a human/charity perspective it seems rather harsh to consider this an 'insult'..