3 Sub-contracting rules to be aware of when responding to tenders

There seems to be a lot of confusion amongst entrepreneurs when it comes to tenders and sub-contracting, due in large part to The Preferential Procurement Regulations, 2017 that has been implemented on the 1st of April 2017. Many entrepreneurs ask us whether they should sub-contract or not, in responding to a tender and how and where do they get onto the sub-contracting lists.

There seems to be a lot of confusion amongst entrepreneurs when it comes to tenders and sub-contracting. The Draft Preferential Procurement Regulations, have been gazetted and are currently up for review. However, these Regulations are the major cause for the confusion. Many entrepreneurs ask whether they should sub-contract or not whilst responding to a tender.

Finding Sub-contractors

These categories are:

  • Black female owned EME's or QSE's;
  • Black youth owned EME's or QSE's;
  • Black owned EME's or QSE's.

After the Preferential Procurement Regulations were gazetted there is a need for businesses to find sub-contractors.

But where are businesses, which respond to tenders, going to find sub-contractors? We have thought about this and one answer is at Briefing Sessions.

Sub-contractors versus Consortiums and Joint Ventures

The Preferential Procurement Regulations, 2017 states that 30% of all Government Contracts above R30 million must be sub-contracted to specific categories of SMME's. These SMME's include, but are not limited to, black female owned and black youth owned businesses.

Tenders and Subcontracting

Tenders and subcontracting go hand in hand. In fact, subcontracting part of a tender is so commonly placed that in South Africa there are specific rules regulating subcontracting in executing tenders. This is especially true for South African Government tenders.

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Title Closing Date Tender No.
Supply debt collection services to the college for the period Jan 2020 to Dec 2020 with the option to extend for another 2 years 2019-09-27 11:00 T/ 38/ 19 DB
Training of 50 beneficiaries as-and-when needed during 2020 in Further Education + Training certificate: Information Technology Technical Support, NQF L4; SAQA ID 78964 2019-09-27 11:00 T/ 40/ 19 learn TS
Training of 50 beneficiaries as-and-when needed during 2020 in Water and Waste Water Reticulation National Certificate: Water and Wastewater Reticulation Services LEARNERSHIP NQF Level 3; SAQA: 60155 2019-09-27 11:00 T/ 54/ 19 water
Training of 50 beneficiaries as-and-when needed during 2020 in Customer Service Skills Programme: Unit Standards: 252210 and 10313 2019-09-27 11:00 T/ 46/ 19 skill CS
Training of 50 beneficiaries as-and-when needed during 2020 in National Certificate: Professional Cookery; NQF Level 4; SAQA ID 14111 2019-09-27 11:00 T/ 52/ 19 Cook
Training of 50 beneficiaries as-and-when needed during 2020 in Further Education + Training certificate: Fire and Rescue operations, NQF L4; SAQA ID 57803 2019-09-27 11:00 T/ 45/ 19 learn Fire
Training of 50 beneficiaries as-and-when needed during 2020 in National Certificate, Animal Production, NQF Level 4, SAQA ID 48979 2019-09-27 11:00 T/ 44/ 19 learn Animal
Training of 50 beneficiaries as-and-when needed during 2020 in Professional Driving Skills Programme; 2 Unit Standards (123261 & 123253), K53, Learner’s License Testing, Driving Lessons and Driver’s License Testing 2019-09-27 11:00 T/ 53/ 19 Drive
Supply industrial relation services to the college for the period Jan 2020 to Dec 2020 with the option to extend for another 2 years. 2019-09-27 11:00 T/ 32/ 19 IR
Training of 50 beneficiaries as-and-when needed during 2020 in Garment making Skills Programme: non-accredited 2019-09-27 11:00 T/ 49/ 19 skill garment
Outright purchase of high-throughput Next Generation Sequencer NICD with Service and Maintenance for a period of three (3) years. 2019-09-06 11:00 RFB073/ 19/ 20
Training of 30 beneficiaries in Apprenticeship: Occupational Certificate: Automotive Motor Mechanic SAQA ID 97990 for the period October 2019 to June 2022 2019-09-27 11:00 T/ 57/ 19 AMM
Training of 50 beneficiaries as-and-when needed during 2020 in National Certificate, Plant Production, NQF Level 4, SAQA ID 49009 2019-09-27 11:00 T/ 43/ 19 learn Plant
Renovations to the Nelson Mandela Academic Laboratory at the National Health Laboratory Services (NHLS) 2019-09-13 11:00 RFB050- 19- 20
Training of 50 beneficiaries as-and-when needed during 2020 in National Certificate, Welding Application + Practice, NQF Level 2, SAQA ID 57881 2019-09-27 11:00 T/ 42/ 19 learn Weld
Supply and delivery of electrocardiograph (ECG) paper and stress exercise (ECG) paper for Groote Schuur Hospital over a two (2) year period. 2019-09-20 11:00 GSH: PT100/ 2019
Training of 50 beneficiaries in Further Education + Training Certificate: Real Estate NQF L4; SAQA ID 59097 for the period October 2019 to June 2021 2019-09-27 11:00 T/ 56/ 19 real
Training of 88 beneficiaries in National Certificate: General Security Practices, NQF L3; SAQA ID 58577 for the period October 2019 to June 2021 2019-09-27 11:00 T/ 55/ 19 Sec
Supply and delivery of electrocardiograph (ECG) paper and stress exercise (ECG) paper for Groote Schuur Hospital over a two (2) year period. 2019-09-20 11:00 GSH: PT52/ 2018
Request for proposals: appointment of a suitable service provider to install and maintain video conference system for the NHBRC for a period of three (03) years 2019-09-13 11:00 NHBRC 07/ 2019

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The 8 steps in the Tender Adjudication process

By W van Rooyen

www.howtotender.co.za

31 January 2019

It is important to understand the Adjudication process when one responds to a Tender or Request for Proposal. If you have these 8 steps under control when responding to tenders, changes are good that you will proceed to the next round.

Here are 8 steps in the adjudication process that Organs of State will most often follow in determining which bidder will win the tender:

  1. Opening... Read More
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