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.

Pages

Title Closing Date Tender No.
Polygraph test for one person 2019-07-26 14:00 10302834
Advertising agent for a period of 36 months 2019-08-05 12:00 BID13/2019/20
Supply, Configuration, Support and Maintenance of desktop and network multifunction printer and copies machines for a period of 36 months 2019-08-13 12:00 FTM/T36/18/19
Appointment of Service Provider for waste collection services at Praktiseer and Orighstad township for the period of 12 months (01 year) 2019-08-13 12:00 FTM/T35/18/19
Appointment of Service Provider for waste Collection services at Steelpoort, and Mapodile township for the period of 12 months (01 year) 2019-08-13 12:00 FTM/T34/18/19
Appointment of Service Provider for waste Collection services at Burgersfort town for the period of 12 months (01 year) 2019-08-13 12:00 FTM/T33/18/19
Appointment of an experienced professional to develop a precinct plan for Wonderboom Airport Area 2019-08-02 11:00 TEDA: BID PPM 05/07/19
Appointment of an experienced professional to develop a precinct plan for pyramid south development area 2019-08-02 11:00 TEDA PPM: BID 04/07/19
Routine maintenance of the municipal ICT infrastructure & support provision as and when required for a period of 36 months (3 years). 2019-08-19 11:00 No reference number
Appointment of a panel of maximum 8 contractors for civil engineering works for a period of 36 months, on as and when required basis 2019-08-21 11:00 No reference number
Appointment of a panel of maximum 8 contractors for civil engineering works for a period of 36 months, on as and when required basis. 2019-08-22 11:00 No reference number
Consultancy Services On Integrated Monitoring And Evaluation Of Implementation Of Sharm El-Sheikh Commitments And Africa Water Vision 2025 Based On The Integrated Water Resources Management (IWRM) 2019-08-01 15:00 AUC/DREAC/066
Consultancy services for SAP bank communication management 2019-08-02 15:00 No reference number
Provision of Software Application for a Land Use Management System (Property Register, Valuations and Zoning Register) And Support Services 2019-07-26 12:00 114-18/19
Hire of Portable Chemical Flush Toilets 2019-08-02 12:00 121-18/19
Managing and Demolishing of informal Settlements within the Mossel Bay area 2019-08-02 12:00 123-18/19
Supply, delivery, fitment and balancing of tyres 2019-08-08 12:00 TDR-5/2019
Removal Of Sewer Sludge 2019-08-08 12:00 TDR-6/2019
Lease of Steel Containers For Beehive Purposes 2019-08-16 12:00 122-18/19
Sale, collect and remove of scrap metal at Wellington Waste Water Treatment. 2019-08-01 10:00 WEB 15: 2019/2020

Pages

Tender Training

By Werner van Rooyen

www.howtotender.co.za

31 January 2019

People often ask me how I know so much about tenders and the completing of tender documents. The answer is easy; training. I believe that we must always try to train as much as possible. The more training you will do the better you will get at responding to a tender. Gary Player, one of South Africa’s best golfers of all time, used to say: “The more I practice, the luckier I get.”

That is the whole point of training. The... Read More

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