Issue Date: 
Monday, March 2, 2015

Tenders and Black Ownership

By Werner van Rooyen

2 March 2015

www.how2tender.com

This article is about the fine print in tenders or request for proposals that one tends to overlook when confronted with a tender document and deadlines.

The specific fine print that we want to address is where the Organ of State make use of section 2(1) (f) of the Preferential Procurement Policy Framework Act (PPPFA). This sections states: “the contract must be awarded to the tenderer who scores the highest points, unless objective criteria in addition to those contemplated in paragraphs (d) and (e) justify the award to another tenderer; and”.

One specific Organ of State that utilizes this section of the PPPFA is ESKOM. At Eskom it is very important to promote and encourage Supplier Development and Localisation. In a recent tender that was published by ESKOM, it was made clear that the specific tender will not be awarded to the highest point scorer but rather to businesses that fall into the following criteria:

  • Preference will be given to Black Owned companies; or
  • Joint Ventures where the lead firm or company is more than 50% Black Owned.

During the briefing session for this specific tender ESKOM officials made it clear that they will adhere to these conditions. If you are a Black Owned business it will be no problem adhering to these conditions but if your business has less than 50% Black Ownership you are going to struggle to be awarded this specific tender. The thing is: this is not the exception to the rule but it is the rule!

Remember to check for specific conditions in all tender documents, whether it is for black ownership or anything else. Be sure not to get caught out by specific conditions.

To learn more about this and many other tender conditions please attend one of our tender workshops. Tender Workshop dates are published on our website at www.how2tender.com.

Happy tendering.

Title Closing Date Tender No.
After service repairs to Infra Red Scanning and Distribution board as per report. 2018-05-02 11:00 ZNQ 20/ 18
The Provision of Local Radiation Protection Monitors to support Outages, Projects and on an as and when required basis. 2018-05-22 10:00 KBG1845
Supply, Install, Commissioning of Tools, Equipments and Machinery for the Plumbing Workshop. 2018-05-23 11:00 EEC/ T05/ 2018
Remove damaged theatre light head and replace with new theatre light head of the same specification x 01 unit 2018-05-01 11:00 ZNQ 04/ 04/ 2018
Rendering of a Cleaning Service at Swellendam District Hospital Which Includes Swellendam Clinic, Otto Du Plessis District Hospital and Bredasdorp Clinics, Department of Health, Western Cape Government for a three (3) year period 2018-05-18 11:00 WCGHSC0149/ 2018
Supply and Delivery of Bogies at Transnet Engineering in Koedoespoort at Coaches Business. 2018-05-22 10:00 TE18-KDS-18Z-02865
Rendering of a Telephonic Interpretation Service for the Department Of Health, Western Cape Government for a two (2)year period 2018-05-22 11:00 WCGHSC0146/ 2018
Supply and Delivery of Drawbar for Transnet Engineering Koedoespoort in Coaches Business. 2018-05-22 10:00 TE18-KDS-18Z-02866
Annual service to domestic hot water supply as per attached specification 2018-04-27 11:00 ZNQ 06 / 18 / 19
Major Service to Medical Gas Plant as per attahed specification 2018-04-27 11:00 ZNQ 17 / 18 / 19
Major service to air-conditions for all clinic under Bethesda Hospital as per attached specification 2018-04-27 11:00 ZNQ 24 / 18 / 19
Design, develop and implement the Data Platform together with Transnet Engineering R&D. 2018-05-22 10:00 TE18-KDS-8DV-02926
Annual Service to Fire Equipment for all Clinics Under Bethesda Hospital as per attahed specification 2018-04-27 11:00 ZNQ 10 / 18 / 19
Service of UPS for hospital as per attached specification 2018-04-27 11:00 ZNQ 12 / 18 / 19
Annual service to Lillipud Plant at Ophansi Clinics under Bethesda Hospital as per attached specification 2018-04-27 11:00 ZNQ 15 / 18 / 19
Annual service to ventilation as per attached specification 2018-04-27 11:00 ZNQ 22 / 18 / 19
Annual service to swimming pool as per attached specification 2018-04-27 11:00 ZNQ 05 / 18 / 19
For the design, fabrication, supply, delivery, installation, testing and commissioning of tapping points on the Boiler and Turbine Plant of Unit 4 and 6 at Duvha Power Station. 2018-05-23 10:00 MPPPSC001078R
Service of UPS for all Clinics Under Bethesda Hospital as per attahed specification 2018-04-27 11:00 ZNQ 11 / 18 / 19
Major service to refrigeration for all clinics under Bethesda Hospital as per attached specification 2018-04-27 11:00 ZNQ 26 / 18 / 19

Pages

Tender adjudication process

The SBD/WCBD6.1 document must form part of all bids invited.  It contains general information and serves as a claim form for preference points for Broad -Based Black Economic Empowerment (B -BBEE) Status Level of Contribution, and explains how tenders or bids are decided.

The document says:

  • The bidder obtaining the highest number of points will be awarded the contract.
  • Preference points shall be calculated after prices have been brought to a comparative basis.
  • Points scored will be rounded off to two decimal places... Read More
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