Relevant policies for suppliers of goods and services

The various implications the procurement policies might have for you as a supplier.

Government agencies are required to comply with various whole-of-government policy requirements. Some of these requirements may influence the tender process or the way your offer is evaluated.

Value for money

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Government must use a value for money approach to purchase goods and services.

This means assessing both cost and non-cost factors in each supplier bid or offer. Examples of each are listed below:

Cost factors

  • Initial purchase costs
  • Maintenance costs
  • Usage costs

Non-cost factors

  • Fit for purpose
  • Technical and financial issues
  • Supplier capability
  • Sustainability
  • Availability of maintenance, service and support
  • Compliance with specifications
  • Ease of inspection, communication and delivery
  • Past performance

Behaving ethically

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The policies in place to ensure ethical conduct by Government during the procurement process.

​It sets out basic rules including the requirement for adequate and consistent information to be provided to all potential suppliers, and that specifications must be free from bias.

Probity means that all procurement processes undertaken by government must be conducted fairly, ethically and honestly. See the Probity and Accountability Policy for further information.

Accountability means that government agencies must be able to account for their buying decisions, and take responsibility for outcomes.

Members of a tender evaluation panel must understand and meet the expected behaviours and skills required in a tender process. The chair of the panel must ensure that communication with all potential suppliers is consistent and that appropriate checks and balances are in place at various stages of the process.

Adequate records must be kept and a robust feedback mechanism must be in place for all bidders. This system helps you, as a potential supplier, to improve your future offers.​

Policies supporting local business

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Western Australian Jobs Act 2017 (WA Jobs Act) & WA Industry Participation Strategy (WAIPS) initiatives improve social and economic outcomes for small and local businesses

​For goods and services procurements, WAIPS applies:

  • when the contract has a regional delivery point and is valued at $500,000 (including GST) or greater
  • when the contract has a metropolitan delivery point and is valued at $1,000,000 (including GST) or greater

Under the WAIPS you may be eligible for a tendering preference, including:

  • creation and/or retention of local jobs
  • local skills development initiatives
  • growth of the local economy by targeting supply opportunities for local industry
  • provision of local industry capability development opportunities
  • encouragement of local industry to adopt best practice in workplace innovation and new technologies and materials
  • promotion of opportunities for local industry in particular small or medium enterprises
  • full, fair and reasonable opportunities to compete against foreign suppliers of goods and services

The Buy Local Policy aims to maximise opportunities for local Western Australian businesses when bidding for State Government contracts.

Under the Buy Local Policy, you may be eligible for a price preference. Your offer may be evaluated based on:

  • the degree to which local suppliers and subcontractors are used in the delivery of the contract outcomes
  • whether you are a business that manufactures or assembles products in regional Western Australia rather than simply distributing products made elsewhere (for regional contacts)
  • industry development initiatives
  • skills development initiatives
  • innovation and research
  • benefits to the State, including maintaining an ongoing, innovative and competitive local business environment

Free Trade Agreements

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Government procurement activities are often governed by Free Trade Agreement requirements.

​The Commonwealth Government is a signatory to a number of Free Trade Agreements (FTAs), including:

  • Australia-United States Free Trade Agreement (AUSFTA)
  • Australia-Chile Free Trade Agreement (ACI-FTA)
  • Korea-Australia Free Trade Agreement (KAFTA)
  • Japan-Australia Economic Partnership Agreement (JAEPA
  • Singapore-Australia Free Trade Agreement (SAFTA)

The Western Australian Government is also a signatory to the Australia New Zealand Government Procurement Agreement (ANZGPA).

These FTAs and agreements set out requirements for how a procurement process must be conducted. If the FTAs apply, then this will be indicated in the Request.

Page reviewed 3 September 2019