Issue Date: 
Monday, May 29, 2017

Tenders, B-BBEE and the new Preferential Procurement Regulations 2017

Having a good B-BBEE status level is VERY IMPORTANT in the tender process!

All tender documents will have the NEW Standard Bidding Document 6.2, which is used to claim your Preference Points for B-BBEE. The higher your B-BBEE status level, the more points you will score on the Preference Points System. Ultimately the bidder or bidders scoring the highest points will be awarded the tender.

One of the major changes in the Preferential Procurement Regulations 2017, is the increase in the threshold value on the 80/20 and 90/10 Preference Point Systems.

The following Preference Point Systems are applicable from 1 April 2017, to all Organ of State bids:

  • the 80/20 Preference Point System for bids with a Rand value of more than R30,000-00 but not exceeding R50,000,000-00 (all applicable taxes included); and
  • the 90/10 Preference Point System for bids with a Rand value above R50,000,000-00 (all applicable taxes included).

This means that on the 80/20 system your B-BBEE status level will earn you a point out of 20, and on the 90/10 system your B-BBEE status level will earn you a point out of 10.

To earn these points a potential bidder must have a B-BBEE certificate that has been issued by a verification agency accredited by the South African Accreditation System (SANAS) or the bidder must submit an affidavit stating its B-BBEE status level.

Exempt Micro Enterprises (EME's) must acquire an affidavit regarding their B-BBEE status level - no verification is required. This is also applicable to Qualifying Small Enterprises (QSE's) with 51% or more black ownership.

The various B-BBEE status levels that an EME can achieve, through an affidavit, are:

  • EME's that are not Black-owned automatically qualifies as a Level 4 contributor to B-BBEE,
  • EME's that have 51% or more (but not 100%) black ownership qualifies as a Level 2 contributor to B-BBEE and
  • EME's that have 100% black ownership qualifies as a Level 1 contributor to B-BBEE.

A 100% Black-owned EME will therefor earn maximum points (either 20 or 10, depending on the value of the tender) on the Preference Point System.

A valid B-BBEE certificate or B-BBEE affidavit is very important in the Tender Process. Ensure your business scores the highest possible score on its B-BBEE certificate or B-BBEE affidavit.

To learn more about this and all the other new developments regarding tenders, please attend one of our How-to-Tender workshops. Tender Workshop dates are published on our website at www.how2tender.com. For more information on the tender courses please email Werner at werner@how2tender.com.

This article was written by Werner van Rooyen, Director of HowToTender (Pty) Ltd. which specializes in tender consulting and tender training.

 

Title Closing Date Tender No.
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Appointment of a service provider to provide employee wellness services to the Department of Home Affairs officials across all provinces, including Head Office for a period of two (2) years and eight (8) months 2019-06-07 11:00 DHA04- 2019
Terms of Reference for the Appointment of a Suitable Service Provider to Develop Monitoring and Evaluation Framework, and Evaluation Plan and Conduct The Mid-Term and Summative Evaluation for National Open Learning Project (Nols) by the Department of Higher Education and Training 2019-06-21 11:00 DHET124
The Appointment of a Service Provider to Provide an E-Legislation Portal on the Department’s Website for a period of 3 (three) years 2019-06-07 11:00 E 1513
Request To Bid for ANSYS Technical Support (TECS) Contract for ANSYS Commercial Software on Behalf of Department of Defence (Dod) SA Navy Engineering Services (NES) for a period of three (3) years. 2019-06-05 11:00 RFB 1939/ 2019
Request for Proposals for appointment of an service provider for short term insurance for a period of five (5) years 2019-06-10 11:00 CMS/ 022019/ 2020
Request for Proposals for appointment of an Editorial Consultant for a period of three (3) years 2019-06-18 11:00 CMS/ 032019/ 2020
Appointment of a panel of law firms to assist the Council for Geoscience with all its corporate work for a period of three (3) years. 2019-06-14 11:00 CGS- 2019- 006L
Appointment of a Professional Service Provider to Provide Facial Recognition and Queue Management System to the CIDB for a period of 36 months. 2019-06-18 11:00 RFB60058
Re-Advertisement-The Development Of Standards For The Eco Label Scheme At Agrément South Africa: Wool and Wool-Rich Pile Carpets 2019-06-12 16:00 ASA 04/ 2019
Re-Advertisement-The Development of Standards for the Eco Label Scheme at Agrément South Africa: Paints and Coatings 2019-06-12 16:00 ASA 03/ 2019
Provision of Canteen Services 2019-06-14 12:00 MTK 02/ 2019
ZNTD 03855W: WIMS 063751: Kwazulu-Natal: Department of Education: Stanger: Tshutshutshu Secondary School: Water and Sanitation: Phase 3. 2019-06-20 11:00 ZNTD 03855W
Appointment of a Cleaning Company to render cleaning, pest control and hygiene services in Block G which is situated adjacent to the dti campus for a period of 3 years 2019-06-07 11:00 dti 03/ 19- 20
Grahamstown High Court: Provision of Cleaning Services for a Period of twenty four (24) Months 2019-06-11 11:00 PEC02/ 2019
Appointment of a service provider for physical security guarding services in Northern Cape and Free State 2019-06-07 11:00 DH05- 2019
Consulting Engineering Services for Routine Road Maintenance of National Route N10 Section 3 Km 37.62 To Km 81.59 and National Route R61 Section 2 Km 17.25 To Section 3 Km 41.48 and National Route R390 Section 1 Km 0.00 to Section 2 Km 23.56. 2019-06-07 14:00 NRA X.003- 040- 2019/ 1F
Consulting Engineering Services for the Routine Road Maintenance of National Routes R56 Section 1 (Km 58.78) to Section 2 (Km 30.81) and National Routes R58 Section 1 (36.96) to Section 3 (Km 55.73) and National Route R391 Section 2 (Km 0.0) To (Km 37.09) and National Route R390 Section 2 (Km 23.56) To (Km 34.46). 2019-06-07 14:00 NRA X.003- 044- 2019/ 1F
ZNTD 03952W: WIMS 064144: Kwazulu-Natal: Department of Education: Umbumbulu: Umthente High School: Water and Sanitation: Phase 3 2019-06-21 11:00 ZNTD 03952W
Consulting Engineering Services for the Routine Road Maintenance of National Routes R56 Section 1 (Km 58.78) to Section 2 (Km 30.81) and National Routes R58 Section 1 (36.96) to Section 3 (Km 55.73) and National Route R391 Section 2 (Km 0.0) To (Km 37.09) and National Route R390 Section 2 (Km 23.56) To (Km 34.46). 2019-06-07 14:00 NRA X.003- 044- 2019/ 1F

Pages

Must my business be registered in order to tender?

By Werner van Rooyen

www.howtotender.co.za

31 January 2019

Once, a very anxious business owner phoned me and asked if I can supply him with a CK number. I was amused by this and first asked why he asked me for such a number and secondly for what did he need a CK number for? He said that because of my Tender Manual that he bought, he thought that maybe I can help him with a CK number. Also, at the briefing session of the tender that he was responding to, the person in... Read More

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