SMEs targeted in changes to NSW procurement policy

Small- and medium-sized enterprises are expected to gain more access to bumper New South Wales government contracts due to significant changes in the state’s procurement policy.

According to an announcement to be made today by state Finance Minister Greg Pearce, a discussion paper will be tabled that will promote decentralising decision-making on the procurement of government contracts.

The office of Mr Pearce was contacted by SmartCompany this morning comment was not available prior to publication.

However, he told The Australian that the discussion paper would be used to reduce the “unnecessary bureaucratic overlay and red tape” stopping SMEs from winning government business.

The changes will include replacing the State Contracts Board with a New South Wales Government Procurement Board, which will be chaired by finance department head Michael Coutts-Trotter.

The purpose of the panel will be to make the process more “user-friendly”, Pearce said.

“The panels will be used in the proper way to allow a vendor to be checked out only once, so that after that all government agencies can deal with it,” he told the publication.

“This is the first step in a new system that will make doing business with the NSW government simpler, easier and more attractive.

“The purchasing landscape under NSW Labor was characterised by mountains of red tape and endless bureaucracy, leaving many, including small and medium-sized enterprises, feeling excluded from government procurement processes.

“The key thing is to take a more commercial-friendly approach without taking any unnecessary risks,” he said.