Issue Date: 
Tuesday, August 23, 2016

Tender Preparation Time

It is often asked if there is mention in the Preferential Procurement Policy Framework Act that specifies how much lead time there should be for responding to tenders. The answer is, the Preferential Procurement Policy Framework Act does not make provision for any time period.

In the SUPPLY CHAIN MANAGEMENT: A GUIDE FOR ACCOUNTING OFFICERS OF MUNICIPALITIES AND MUNICIPAL ENTITIES there is a paragraph that guides municipalities on the timeframes for responding to tenders.

In paragraph 4.5.2.5 it states:

  • The time allowed for the preparation and submission of bids should be determined with due consideration of the particular circumstances of the project and the magnitude and complexity of the contract.
  • Generally, not less than 14 days from the date of the invitation to bid or the date of availability of bidding documents, whichever is later, should be allowed for competitive bidding.
  • For contracts above the value of R10 million (VAT included), such period may not be less than 30 days. In such cases, the municipality / municipal entity is encouraged to convene pre-bid conferences and arrange site visits.

In justifiable circumstances accounting officers may allow shortening of the closing date. Cognisance should also be taken of the fact that the shortening of the closing date should not disadvantage any potential suppliers from bidding for the requirements.

Other Organs of State also follow these guidelines so it is advisable to prepare your response as quickly as possible to meet the deadline.

Learn to earn

www.how2tender.com

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

We have previously asked: How important is a good B-BBEE status level of contributor in the tender process?

The answer is still the same: VERY IMPORTANT!

In all tender documents, you will find 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 of contributor, 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.

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