Aboriginal Procurement Policy
The Aboriginal Procurement Policy aims to maximise opportunities for Aboriginal businesses on State Government projects. To support the State Government’s Aboriginal Procurement Policy, in non-residential building projects we:
- may, subject to value-for money, directly engage a registered Aboriginal business to any value
- apply an Aboriginal Business and Employment Tendering Preference (ABETP) to a maximum of $250,000. Further information on the ABETP is below
- look for opportunities for registered Aboriginal businesses and joint ventures to join our panels
- have a process in place for Aboriginal building contractors to apply to upgrade their prequalification status for a particular project. This allows registered Aboriginal businesses to apply for a Level 1 prequalification status, or upgrade their current prequalification status to tender for a specific project. Refer to the Qualify to build or consult on non-residential building projects page for information on the Builders Prequalification Scheme and the upgrade program.
To view this policy, go to the Aboriginal Procurement Policy page.
Aboriginal Business and Employment Tendering Preference (ABETP)
Registered Aboriginal businesses, and businesses that employ Aboriginal people or contract with registered Aboriginal businesses, can have their tenders (or offers) evaluated as though their tender price was reduced by 10% (up to a maximum of $250,000 - including GST). The ABETP has separate preferences for:
- Aboriginal businesses
- Aboriginal subcontractors, subconsultants or suppliers
- direct employment of Aboriginal persons
All three preferences may be claimed within one tender (or offer), up to a maximum of $250,000.
This preference is only for works-related procurement managed by the Department of Finance.
- Aboriginal Businesses (including subcontractors, subconsultants and suppliers) registered on the Aboriginal Business Directory WA or Supply Nation and may be:
- a sole trader where the person is Aboriginal
- a partnership or firm where at least 50% of the partners are Aboriginal
- a corporation where Aboriginal persons own at least 50% of the legal entity submitting the tender.
- Joint ventures with Aboriginal participation between any registered Aboriginal Business and a non-Aboriginal business where at least 50% of equity in the joint venture is owned by the registered Aboriginal Business (see definition of Aboriginal Business above)
- Aboriginal employer – a legal entity that employs Aboriginal persons (defined as a person of Aboriginal descent who lives as such and is accepted by the community they live or lived in). This includes apprentices, trainees, subcontractors and suppliers
Submitting a claim commits you to using the declared subcontractors, subconsultants and suppliers. Where you claim this preference, and the contract price is over $6 million (including GST), you must submit a monthly report showing you have met the claims made in your tender. Consultancy contracts and construction contracts valued under $6 million may also be required to report at times.
Avoiding common mistakes
Submitting a claim commits you to using these Aboriginal businesses. You may need to submit a monthly report showing you have met the claims made in your tender.
You are not restricted to just one preference. A registered Aboriginal business that employs Aboriginal persons and engages registered Aboriginal businesses as suppliers or subcontractors can apply for all three preferences.