Issue Date: 
Thursday, October 31, 2019

Planning, stipulation of preference point system to be utilized and the determination of designated sectors 

By Werner van Rooyen, Director of HowToTender (Pty) Ltd which specializes in tender consulting and tender training.

It is important to know that when you respond to a tender there are certain guidelines that Government Officials need to follow to evaluate your tender.  According to the Implementation Guide – Preferential Procurement Regulations, 2017, pertaining to the Preferential Procurement Policy Framework Act, Accounting Officers and Accounting Authorities of all public entities listed in Schedules 2, 3A, 3B, 3C and 3D to the PFMA and municipal entities must comply with the rules and guidelines stipulated below.

Prior to the invitation of bids, Accounting Officers and Accounting Authorities are required to:

  • Properly plan for the provision of services, works or goods in order to ensure that the resources that are required to fulfil the needs identified in the strategic plan of the institution are delivered at the correct time, price, place and that the quantity and quality will satisfy those needs.
  • As far as possible, accurately estimate the costs for the provision of the required services, works or goods.  This is to determine and stipulate the appropriate preference point system to be utilized in the evaluation and adjudication of the bids and to ensure that the prices paid for the services, works and goods are market related.
    Estimated costs can be determined by conducting an industry and commodity analysis whereby prospective suppliers may be approached to obtain indicative market related prices that may be utilized for benchmarking purposes.  Based on the findings, the relevant preference point system (80/20 or 90/10) to be utilized for the evaluation of the bid must be stipulated in the bid documents;
  • Determine whether the services, works or goods for which an invitation is to be made have been designated for local production and content in terms of Regulation 8 of the Preferential Procurement Regulations.  This will entail the inclusion of a specific condition in the bid documents that only locally produced services, works or goods or locally manufactured goods with a stipulated minimum threshold for local production and content will be considered.  This will subsequently have a direct impact on the evaluation of the bid.

Sometimes one gets the feeling that not all Accounting Officers and Accounting Authorities necessarily follow these procedures.  But now you know, and you can hold them to these rules and regulations.

To learn more about tenders, attend our “Become a Tender Expert” 2-Day workshops presented in Johannesburg, Pretoria, Durban, Port Elizabeth, and Cape Town.  Book and pay online at https://howtotender.co.za/tender-expert-form/

Contact us at wernervr@howtotender.co.za should you require more information.

You can also purchase a Tender Manual (Handbook) on our website https://howtotender.co.za/ which is a step by step guide how to respond to a South African Tender.  It includes examples of completed SBD forms.

Title Closing Date Tender No.
Mananga Land Port of Entry: Repair and maintenance of building, civil, mechanical, electrical infrastructure and installation for period of 36 months. 2020-08-24 11:00 H 20/ 007 AI
Provision of general building & maintenance services Western Cape 2020-08-28 11:00 SAMRC/ FMPB& MS/ 2020/ 05
Request for proposal for the provision of office space for the Local Government Sector Education and Training office in Northern Cape Province for a period of Five (05) years. 2020-08-28 12:00 LGSETA/ NC/ 20/ 27
Request for proposal for the provision of office space for the Local Government Sector Education and Training office in Eastern Cape Province for a period of Five (05) years. The lettable office space must be in East London. 2020-08-28 12:00 LGSETA/ EC/ 20/ 26
Request for proposal for the provision of office space for the Local Government Sector Education and Training office in North West Province for a period of Three (03) years. The lettable office space must be in Klerksdorp town and should be between 220m2 and not more than 300m2 2020-08-28 12:00 LGSETA/ NW/ 20/ 28
KIMBERLEY SANDF 3 SAI: Completion of project. Floors Tender to be awarded to the highest scoring acceptable tender. 2020-08-21 11:00 CW10/ 2020
KIMBERLEY SANDF 3 SAI: Completion of project. Building Work Tender to be awarded to the highest scoring acceptable tender. 2020-08-21 11:00 CW09/ 2020
LOHATHLA DOD: Dolomite risk management strategy: Replacement of bulk water pipeline. Tender to be awarded to the highest scoring acceptable tender. 2020-08-21 11:00 KIM03/ 2020
Giyani Magistrate Office: Repair and renovations Bidders should have a CIDB contractor grading designation of 4 GB or higher. 2020-08-25 11:00 PLK 20/ 13
ORBIT TVET College invites capable and competent contractor for Civil Works (Sewer Reticulations and Pavement Road) at Brits Campus. 2020-08-28 11:00 B02/ 2020
RFI for SITA NGN Core Layer-2 transmission network 2020-08-21 11:00 RFI 2193/ 2020
Invitation of Service Providers for The Provision of 24 Hours Security Services Daily Including Weekends and Public Holidays at GDE Head Offices, District Offices, Teacher Centres and Selected Sites for a fixed term period of three (3) years 2020-08-14 11:00 GT/ GDE/ 024/ 2020
Invitation For Service Provider(S) to Provide 24 Hour Protection, Escorting and Monitoring of the National Senior Certificate (NSC) Examination Materials During The National Examinations Of Gauteng Department Of Education for a fixed term period of three (3) years 2020-08-14 11:00 GT/ GDE/ 027/ 2020
Appointment of a Panel of Attorneys for a period of 36 months (3 Years) 2020-08-31 11:00 02- 2020/ 2021
Upgrade of bridge no. 2221 on TR2/9 at km15.1 over the Maalgate River 2020-09-02 11:00 S003/ 20
Periodic Maintenance of TR35/1 from Beaufort West (km2.59) to Aberdeen (km58.00) 2020-09-02 11:00 S004/ 20
Western Cape Government: Electronic Traffic Data Collection for the Western Cape for a period of three (3) years 2020-08-19 11:00 T002/ 20
Request for tender for the appointment of a telecommunication service provider to design, support and maintain a self owned national wide area network 2020-08-27 11:00 SANRAL HO/ 58000/ 1013/ 2020/ WAN
Servicing of HVAC Sytem for a period of three (3) years: York Park Building; George 2020-08-19 11:00 T001/ 20
Bid For The Supply and Delivery of Catheters, Drainage Bags and Urological Incontinence Appliances. To All Hospitals/Institutions Under The Control Of The Department of Health, Western Cape Government For Three Year Period. 2020-08-14 11:00 WCGHCC023/ 1/ 2020

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