As the largest procurer of goods and services in South Africa, procurement is meant to be Government’s transformation driver. Government wants suppliers to obtain B-BBEE certificates and the transformation requirements of the B-BBEE codes to come into force.

The first Procurement Regulations split procurement into the following:

  • 80 points for price, 20 points for B-BBEE contribution
  • value between R30 000 and R1 million (including all applicable taxes)
  • can also apply if value is less than R30 000 where applicable.
  • points scored for price and BEE contribution added together to get score
  • 90 points for price and 10 points for B-BBEE contribution
  • value in excess of R1 million (including all applicable taxes)
In July 2015 new draft codes were issued for comment giving the following bands for tender purposes.
  • 80 points for price, 20 points for B-BBEE contribution
  • value between R10 million and R50 million (including all applicable taxes)
  • points scored for price and BEE contribution added together to get score
  • 90 points for price and 10 points for B-BBEE contribution
  • value in excess of R50 million (including all applicable taxes)
  • points scored for price and BEE contribution added together to get score
  • 50 points for price and 50 points for specific goals
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