The SA Government Procurement Strategy ensures that public money is spent in a way that maximizes benefits for the local community, drives economic growth and increases local jobs

Increased support for local businesses

We have updated the definition of a South Australian business with an aim to create local jobs, promote innovation, and stimulate new local supply chains and local investment.

This change supports small businesses that already employ South Australians to compete for government work, and allow other businesses to put in a competitive quote.

We have put initiatives in place that encourage government agencies to buy local. They include:

  • mandating the use of locally manufactured products and local services
  • requiring agencies seek bids from a SA Business for every procurement valued between $55,000 and $550,000 and, if they don’t know of a SA Business to ask to bid, they must let all businesses know of the opportunity, by publishing it on SA Tenders and Contracts
  • increasing opportunities for South Australian workers, apprentices and trainees particularly through major project
  • paying invoices promptly, and having a similar expectation of our head contractors when paying their subcontractors

Advanced notice so businesses can better prepare

Our policies aim to support working with a more diverse range of businesses,  and provide greater public value through government spending. We have put initiatives in place to help businesses better prepare by

  • publishing a pipeline of upcoming opportunities to supply to government on the Forward Procurement Plan
  • ensuring local businesses have sufficient time to prepare for upcoming procurement opportunities

Targeted spending for local growth

On average $8.5 billion is spent each year on goods and services by the South Australian Government in areas such as hospitals, schools, and government agencies.

We have set an initial target to increase the amount spent on local businesses instead of interstate and overseas suppliers by five per cent - which would inject an extra $425m into the local economy.

Achieving environmental & social change in a meaningful way

We are committed to using procurement to drive social and broader economic outcomes.

We aim to ensure that considerations are not solely focused on price but encompass opportunities to deliver improved environmental, social and governance (ESG) outcomes that benefit the wider South Australian community.

For example, to help build a strong, climate smart economy and support South Australia to adapt to a changing environment, we promote and encourages businesses to improve practices and minimise environmental impacts.