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.
Appointment of a Professional Engineering Service Provider to Carry out the Project Management scope for various Electricity Bulk Infrastructure Projects within KSDLM 2019-02-11 12:00 038/2018/19
Appointment for (02) Electrical Contractors for Electrification of 193 infill Connections in Maiden Farm Township with a CIDB Grading of 4 EP or Higher 2019-02-11 12:00 036/2018/19
Appointment for (02) Electrical Contractors for Electrification of 193 infill Connections in Hillcrest Township with a CIDB Grading of 4 EP or Higher 2019-02-12 12:00 037/2018/19
Bid Specification for Appointment of a Programme Support Unit (PSU) for a three (3) year period to assist the Provincial Department of Education in various aspects of the management of its infrastructure programme. 2019-02-22 11:00 SCMU6-18/19-0007
Supply and Delivery of suction pipes - Honeysucker 2019-01-18 12:00 B424/2018/19
All prospective bidders are hereby invited to submit quotations for accommodation: bed, dinner, breakfast & conference package, supply chain management as specification appear below 2019-01-22 12:00 RFQFIN/01/2018/19
Development of an Implementation Plan and Budget for a Multi-Year History Festival in Plettenberg Bay 2019-01-18 13:00 SCM/RFQ/2019/042/EDP
Provision of Competency-Based Assessment Services for Senior Managers 2019-01-18 12:00 SCM/RFQ/2019/043/CORP
Supply and Delivery of Fire Extinguishers and Raingear 2019-01-17 12:00 B422/2018/19
Supply and delivery of Building Sand 24 cubes 2019-01-17 12:00 B423/2018/19
Procurement of Pre-qualification of Construction Contract: Construction of Polihali Dam and Appurtenant Structures 2019-03-25 14:00 4020
Procurement of Pre-qualification of Construction Contract: Construction of Polihali Transfer Tunnel 2019-03-26 14:00 4021
Appointment of Professional Service Providers (Consultants) 2019-02-01 12:00 SCM 008/2018/19
Appointment of service providers for the rendering of a complete revenue enhancement service, online and real time electricity vending, revenue protection, ICT backend and matering for the period of 36 months. 2019-01-31 12:00 LTLM2018-19/ BTO01
Appointment of a Panel of Service Providers for the Construction of Internals Roads and Storm Water in Wedela Extension 3 (Phase 3) with a CIDB Grading of 5CEPE/6CE or Higher 2019-02-01 12:00 ID(R&S) 11/12/1819
Tender for the appointment professional service provider to determine the fair valuation of MEGA's Investment Property Portfolio and the revaluation of land and buildings classified as Property, Plant and Equipment (PPE) 2019-02-14 12:00 MEGA/2018/05
Request for proposals for the appointment of a Registered Construction Health and Safety Agent for the construction of the Mpumalanga International Fresh Produce Market: Ancillary Buildings and Services 2019-02-13 12:00 MEGA/2018/04
Procurement of Development Partner, Morula Mixed Housing Development in Mabopane Tshwane 2019-01-29 11:00 NWHC 09/2018 DEV –PARTNER-2018
Appointment of a panel of attorneys for a period of 36 months 2019-02-08 12:00 22-2018/19
Request for 175 Combination Infall CK5 (1000 X 365 X 180) 2019-01-17 11:00 292297

Pages

10 Features of a good Joint Venture Agreement

By W van Rooyen

www.howtotender.co.za

A Joint Ventures is a good business idea to compete for tenders if one does not have all the necessary expertise that are required from a specific tender. The thing to remember though is that you must have a solid Joint Venture Agreement in place for your Joint Venture. A good, rock solid Joint Venture Agreement will protect the participants to the Joint Venture.

 Here are 10 features that any good Joint Venture Agreement... Read More

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