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.

New Preferential Procurement Regulations 2017 for Tenders

The brand new Preferential Procurement Regulations 2017, have been finalized and gazetted on 20 January 2017. There are some interesting changes and challenges that we will discuss during the coming months. We start off with the official media release from National Treasury:

The regulations were initially promulgated in 2001 and revised in 2011 thus making this the second revision since the initial promulgation.

General Procurement Guidelines

Government issued the General Procurement Guidelines not only as a prescription of standards of behaviour, ethics and accountability which it requires of its public service, but also as a statement of Government's commitment to a procurement system which enables the emergence of sustainable small, medium and micro businesses which will add to the common wealth of South Africa and the achievement of enhanced economic and social well-being of all South Africans.

Tenders in South Africa are measured on three principles, namely Functionality, Price and Broad-Based Black Economic Empowerment (B-BBEE). An Enterprise's ability to execute a contract is measured through the Functionality Principal in the Tender Environment. If an Enterprise's tender response does not pass the Functionality test it can't be measured on Price and B-BBEE. Enterprises that respond to tenders must ensure that they will pass the Functionality test in order to advance.

Functionality in Tenders Part 1

Functionality in Tenders (1)

The Preferential Procurement Policy Framework Act 2017, establish the rules according to how Government Entities must evaluate tenders. The Preferential Procurement Regulations of 2017 takes it a step further and gives guidance on how to specifically award points according to certain criteria such as B-BBEE and Price. 

There appears to be a serious lack of knowledge regarding South African tender procedures. Here, the tender processes are ruled by various Acts, Regulation and Guidelines which are specifically designed to ensure that the tender processes are in line with the Constitution of South Africa - which dictates that the tender process should be fair, equitable, transparent, competitive and cost-effective.

It is important to know that when you respond to a tender there are certain guidelines that Government Officials need to follow in order 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.

If one looks at the General Procurement Guidelines that National Treasury issued to Government Departments, it is clear that Government wants the tender process to be fair, equitable, transparent, competitive and cost-effective exactly as Section 217 of the Constitution of South Africa requires.

Pages

Title Closing Date Tender No.
Provision of a Production Management and Track and Trace Solution for cigarettes. 2019-04-02 11:00 RFP 01- 2019
Land Port of Entry: Golela and Onverwacht: Appointment of a Service provider/s for the maitanance and repairs of Building,Civil,Mechanical,Ele ctrical Infrastructure and Installations for a period of 36 Months. 2019-03-25 11:00 H18/ 041AI
Land Port of Entry Monantsa Pass and Peka Bridge: Appointment of a service provider for the maintenance and repairs of building,civil,mechanical, electrical infrastructure and installations for a period of 36 months 2019-03-26 11:00 H18/ 040 AI
Supply, delivery, installation, commissioning and support of a computer numerical control (CNC) machines for the mechanical division at iThemba Labs for eight years 2019-03-15 11:00 NRF/ iThemba LABS/ 2018 - 19: 05
The Department of Public Enterprises Invites Services Providers to Submit a Proposal to Conduct and Impact Assessment Study of the Corporatisation of The National Ports Authority on Transnet Soc Limited and Its Operating Divisions 2019-03-15 11:00 DPE 15/ 2018- 2019
Invitation of Bids for the Appointment of an Accredited Service Provider to Offer Senior Management Leadership Programme (SLMP) Training for Senior Managers Within The Department Of Mineral Resources for a period of three (3) years 2019-03-25 11:00 DMR/ 023/ 2018/ 19
Report on the Valuation of the Estuary in the Berg River Catchment 2019-03-22 11:00 DEA&DP5/ 2018
The Appointment of a Service Provider to Undertake a Source Apportionment Study In Highveld Priority Area for a period of 24 months 2019-03-15 11:00 E1501
Rendering of an Auctioneering Service to the Department of Defence for a Period of Three (03) Years 2019-03-18 11:00 CPSC- B- PC- 020- 2018R
Disk De-duplication Backup Devices (Including trade-in) 2019-03-12 11:00 10400014
Supply, install and configure Video Conferencing for the Eastern Cape Department of Public Works with thirty-six (36) months maintenance and support 2019-03-15 11:00 RFB 1896/ 2018
The SAAO has an extensive site in Observatory, Cape Town, with a perimeter in excess of 1.2km. There is a requirement to replace a portion of this fence, measuring around 840m, due to the current fencing becoming uneconomical to repair. 2019-03-15 11:00 NRF/ SAAO/ 2018/ 013
The SAAO is looking to purchase a highly specific echelle grating which is required for integration into a high-resolution spectrograph (HRS) that SAAO is constructing for use on its new 1-metre telescope, Lesedi. 2019-03-15 11:00 NRF/ SAAO/ 2018/ 018
Appointment of a Consultant to Recruit Lawyers to Monitor 2019 National Government Elections 2019-03-25 11:00 SBD 10/ 2019
Appointment of a service provider to provide normal cleaning services in the new Forestry Management Regional Offices in the Eastern Cape for a period of three (3) years 2019-03-14 11:00 4.4.12.4/ 33/ 18
Appointment of a service provider to supply and delivery a corner load test car (also referred to as a field standard weight cart) for the testing of road vehicle scales as once off project 2019-03-18 11:00 NRCS 013- 2018/ 2019
Appointment of a service provider for the purchase, delivery and installation of analytical balances (comparators) and masspieces as once off project for the NRCS offices situated in Durban and Port Elizabeth 2019-03-18 11:00 NRCS 012- 2018/ 2019
Appointment of a service provider to provide deep cleaning services in the new Forestry Management Regional Offices in the Eastern Cape for a period of three (3) years 2019-03-14 11:00 4.4.12.4/ 32/ 18
Supply and installation of water coolers at GPAA. 2019-03-15 11:00 GPAA 02/ 2019
The Appointment of a Project Manager to Manage Land Restitution Projects Through the Kabelo Land Restitution and Development Trust 2019-03-15 11:00 4.4.12.4/ 17/ 18

Pages

5 ways to find available tenders

By W van Rooyen

www.howtotender.co.za

31 January 2019

We often get asked by business owners where can they find tenders that are currently available. Although we are not in the business of finding available tenders, our Tender Manual does have a chapter that deals with finding available tenders.

Due to the high demand for this I have decided to advise you on five different ways to find available tenders.

1. News Papers

Most of the... Read More

Free Keyword search

Search all tender notices for FREE!

No subscription or registration required!

You can also search by the reference of the the tender.

Advanced search

Search by Issuer, Region or Sector, individually, or using any combination of the three.