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.
Request for Internal Audit and Risk Management Services at the National Department of Health (Ndoh) Inclunding It’s Trading Entity (Compensation Commissioner for Occupational Diseases (Ccod)/ Medical Bureau for Occupational Diseases (Mbod) with Suitable Auditing and Accounting Service Provider 2019-05-27 11:00 NDOH 02/ 2019- 2020
Tenders are hereby invited for the supply & delivery pipe fitter hand tools. 2019-06-03 11:00 WCC- PIPE FIT HAND TOOLS- 2019
ZNTD 03944W: WIMS 063518: Kwazulu-Natal: Department of Education: Tongaat: Qhubakahle Primary School: Water and Sanitation: Phase 3 2019-06-20 11:00 ZNTD 03944W
ZNTD 03884W: WIMS 063945: Kwazulu-Natal: Department of Education: Kwamashu: Sakhisizwe High School: Water and Sanitation: Phase 3. 2019-06-20 11:00 ZNTD 03884W
ZNTD 03871W: WIMS 063903: Kwazulu-Natal: Department of Education: Ndwedwe: Sukhumuzi Primary School: Water and Sanitation: Phase 3 2019-06-20 11:00 ZNTD 03871W
ZNTD 03858W: WIMS 063917: Kwazulu-Natal: Department of Education: Stanger: Nsongansonga Primary School: Water and Sanitation: Phase 3 2019-06-20 11:00 ZNTD 03858W
ZNTD 03894W: WIMS 063663: Kwazulu-Natal: Department of Education: Ndwedwe: Ntathakusa Primary School: Water and Sanitation: Phase 3 2019-06-21 11:00 ZNTD 03894W
Appointment of a Service Provide to Provide Additional Licenses for Addm Discovery Application, Maintenance and Support with Professional Services for a Period of Three (3) years 2019-06-07 11:00 RFB 1944/ 2019
Supply of hardware support and license renewals for the F5 Load Balancers used at the Government Pensions Administration Agency for a period of thirty-six (36) months 2019-06-07 11:00 RFB 1927/ 2019
Renewal of OpenText Content Server (EDMS) software, Contract Management, Electronic Signature, OpenText Everywhere, Tempo Social and Tempo Box licenses including maintenance and support for a period of three (3) years 2019-06-07 11:00 RFB 1932/ 2019
Appointment of a service provider for the Supply, Installation and Configuration of an Enterprise AV (anti-virus) Solution for the Gauteng Department of Education (GDE) schools with maintenance and support for a period of three (3) years” 2019-06-07 11:00 RFB 1931/ 2019
SANParks invite prospective bidders to submit offers for Black Rhino 2019-06-06 11:00 BRS- 001- 2019
Procurement of an Asset Management Company from date of appointment until 31 March 2020. 2019-06-07 11:00 RFP/ SASSETA/ 201819134/ 1
Appointment of experienced Service Providers with a verifiable track record and accredited for the delivery of a range of skills programmes, across the Northern Cape province in various localities 2019-06-06 11:00 NCEDA19/ 01
ZNTD 03940W: WIMS 063515: Kwazulu-Natal: Department of Education: Tongaat: Nondabula Primary School: Water and Sanitation: Phase 3. 2019-06-20 11:00 ZNTD 03940W
Appointment of a Bidder to Provide Hygiene Care Services in Order to Maintain Hygiene in all of the Restroom Facilities, Watercoolers, and Satellite Kitchens In The Building For Five Years 2019-06-07 11:00 NRF/ RISA B&M/ 001/ 2019- 20
ZNTD 03842W: WIMS 063613: Kwazulu-Natal: Department of Education: Umlazi: Intinyane Primary School: Water and Sanitation: Phase 3 2019-06-21 11:00 ZNTD 03842W
Request for Proposal: Appointment of Suitable Service Provider to Implement The Women Empowerment Programme for a period of two (02) years 2019-06-07 11:00 NHBRC 01/ 2019
ZNTD 04074W: WIMS 065113: Kwazulu-Natal: Department of Education: Stanger: Mvumase Primary School: Water and Sanitation: Phase 3 2019-06-21 11:00 ZNTD 04074W
ZNTD 04019W: WIMS 064695: Kwazulu-Natal: Department of Education: Phoenix: Skylark Primary School: Eradication of woodborer and lice 2019-06-24 11:00 ZNTD 04019W

Pages

10 things to remember when you tender

By Werner van Rooyen

31 January 2019

There are many things that you as a small business owner must remember when you respond to a tender and sometimes responding to a tender can be overwhelming. Experience has taught me that there are some important things to remember when responding to a Tender and there are some less important things to remember when responding to a Tender.

Here are ten of the important things to remember when responding to a Tender. Please remember that all ten of these items mention here are equal... 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.