Issue Date: 
Tuesday, February 7, 2017

Brand new Preferential Procurement Regulations 2017 for Tenders

The brand new Preferential Procurement Regulations 2017, has been finalized and was gazetted on 20 January 2017. There are some interesting changes and challenges that we will discuss during the coming months. This is the official media release from National Treasury:

The regulations were initially promulgated in 2001 and revised in 2011 thus making this the second revision since the initial promulgation.

The revision of the Preferential Procurement Regulations of 2011 was largely influenced by the need to provide for a mechanism to empower certain categories (Small Medium and Micro Enterprises (SMME) also classified as EMEs or QSEs, Co-operatives, Township and Rural enterprises) through procurement. This was an outcome of social dialogue on the New Growth Path (NGP) wherein government and social partners signed a Local Procurement Accord on 31 October 2011.To this end, commitment made by government was to leverage public procurement.

The revised regulations are also aligned to President Jacob Zuma’s pronouncement in his 2015 State of the Nation Address, wherein he said that government will set-aside 30% of appropriate categories of State procurement for purchasing from SMMEs, co-operatives as well as township and rural enterprises. Also, giving impetus to the NGP the highlights of the revision are: -

  • Introducing the prequalification criteria which allow the advancement of these selected categories of people by limiting competition only amongst themselves. This restricts the inclusion of well established companies unless they meet further requirements of subcontracting to these groups should they (established company) be successful. (Refer to regulation 4).
  • Acknowledging that in the main, the high value tender in the region of R30 million and above tend to be awarded to established companies due to economies of scale and affordability, leaving out categories of aspiring businesses, the revised regulations requires all those with ability to deliver the required service to demonstrate the element of subcontracting to the categorised groups at a tendering stage. (Refer to regulation 9).
  • Addressing the outcry of the categorised groups who felt that the threshold of R1 million is too insignificant for them to grow to a level of established companies. Current regulations have increased to R50 million. This now give the smaller companies greater chances to compete in the economy in a meaningful way. (Refer to 6 & 7)

Commenting on the release of the regulations, Minister Pravin Gordhan says the regulations aim to use public procurement as a lever to promote socio-economic transformation, empowerment of small enterprises, rural and township enterprises, designated groups and promotion of local industrial development. He said this is in line with the current dialogue on inclusive economic growth in South Africa.

To learn more about this and all the other new developments regarding tenders, please attend one of our How-to-Tender workshops.

Learn to earn

www.how2tender.com

Title Closing Date Tender No.
Appointment of an Event Management Service Provider for South African Tourism India 2017-09-11 12:00 SAT INDIA 002/ 17
South African Tourism is inviting proposals from reputable service providers operating in the UK, in a bid to be appointed as a preferred Social Media Marketing Agency agency to South African Tourism. 2017-09-11 12:00 SAT UK 004/ 17
The South African Social Security Agency invites expression of interest from potential service providers for the contracting of medical practitioners (individuals and/or firms) to conduct medical assessments for SASSA Mpumalanga Region for a period of three (3) years 2017-09-12 11:00 SASSA: 07/ 17/ GA/ MP
The South African Social Security Agency hereby invites proposals from Service Providers for the Provision of ICT Support, Maintenance and Service Desk Services for a Period of Three (03) Years. 2017-09-08 11:00 SASSA: 05/ 17/ ICT
The South African Social Security Agency hereby invites proposals from Service Provider to Provide the Hosted Email Filtering Services the South African Social Security Agency for a period of three years. 2017-09-12 11:00 SASSA: 06/ 17/ ICT
Supply, delivery and installation of warning lights and sirens to the South African Police Service nationally for a period of two (02) years 2017-09-15 11:00 19/ 1/ 9/ 1/ 57TV (17)
Rendering provident fund services to Robben Island Museum 2017-09-13 11:00 RIM EXE 02- 2017 / 2018
Supply, delivery, installation, maintenance and servicing of two (2) x-ray scanner machines at Robben Island Museum 2017-09-15 11:00 RIM EST 03- 2017 / 2018
Provision of Security services to RTMC Midrand Offices 2017-09-11 11:00 RTMC BID 11/ 2017/ 18
Appointment of a panel of Road Safety Researchers for period of three years 2017-09-08 11:00 RTMC BID 09/ 2017/ 18
Supply and Delivery of New Vehicles 2017-09-08 11:00 SAMRC/ HPRUVEHICLES/ 2017/ 25
Appointment of a Travel Management Company for the PSETA 2017-09-15 11:00 TRAVEL/ PSETA/ 2017- 08
Field work verification and Heritage impact assessment of the SKA1_mid Radio Telescope and Associated Infrastructure. 2017-09-08 11:00 NRF SKA PEP6 001 2017
1 units - Book shelf tier, wooden mahogany finish - With lockable caster wheels for easy mobility - and other items (see description for details) 2017-08-30 11:00 A 107/ 17- 18
The Appointment of an Independent Research Company to provide Research Services on a study on the state of transformation on behalf of the National Film and Video Foundation. 2017-09-12 14:00 RFT 01/ 2017
14 units - Four drawer Steel Steel Filling cabinet, Color Ivory. 06 units - Steel Stationery cupboard 2doors, Color Ivory. 06 units - Turn A File 4 tier, Color Ivory 2017-08-30 11:00 A 108/ 17- 18
Appointment of a Qualified ICT Service Provider to Develop an Integrated Grant & Learner Management Information System (GLMIS). 2017-09-18 11:00 Corp/ 2017/ 07
192 units - Foldable chair- (ceres folding canteen chairs durable plastic). 2017-08-30 11:00 A 111/ 17- 18
09 Units - Coffee Table - Rio Oval Shape 1400w x 450H: Mahogany Finish 2017-08-30 11:00 A 109/ 17- 18
Provision of managed ICT Services for a period of 3 years. 2017-09-07 11:00 CONHILL/ 01/ FAC/ 2017

Pages

Functionality and Tenders

In all competitive bids (tenders) you as the bidder will have to respond to Functionality. You will need to score a set minimum number of points, measured as a percentage, on Functionality of a competitive bid (tender) in order to advance to the next phase of evaluation in the tender process.

Usually Organs of State evaluate competitive bids (tenders) as follows:

  • The tender response is evaluated on Functionality where the bidder must score points out of a maximum of 100 points.
  • A threshold of between 65 to 75 out of 100 points... Read More
Free Keyword search

Search all tender notices for FREE!

No subscription or registration required!

You can also search by the reference of the the tender.

Advanced search

Search by Issuer, Region or Sector, individually, or using any combination of the three.