Procurement Connected Policies


  1. Procurement by non-corporate Commonwealth entities must not be inconsistent with the policies of the Commonwealth in accordance with sections 15 and 21 of the Public Governance, Performance and Accountability Act 2013 (PGPA Act).
  2. Table 1 Procurement Connected Policies lists the policies of the Commonwealth that relate to procurement. It does not preclude officials applying any other Government policy that may relate directly to a specific project or procurement.
  3. Policy Departments (the entity originating the respective policies) are responsible for the implementation of all aspects of their policy (or policies) listed in Table 1.
  4. Officials are responsible for informing themselves of the policies that apply to a specific procurement. They should refer to their entity's Accountable Authority Instructions for guidance and, if needed, approach the relevant Policy Department for further information on a specific policy.
  5. For further information and advice on policies that interact with procurement, consult the relevant Policy Department (refer to the relevant website links in Table 1 in the first instance).
  6.  Corporate Commonwealth entities are subject to policies where applied under a Government Policy Order.
Table 1: Procurement Connected Policies
Policy / Guidance Policy Description Policy Department Contact Point Application / Threshold
Australian Industry Participation

Australian Industry Participation Plans for Government Procurement [External Link]

The Australian Industry Participation (AIP) National Framework applies to major Commonwealth Government procurements (generally above $20 million). Tenderers for certain Commonwealth procurements are required to prepare and implement an AIP Plan. Department of Industry


02 6213 6404

Applicable to large Commonwealth tenders generally above $20 million.
Workplace Relations

The National Code of Practice for the Construction Industry and Implementation Guidelines [External Link]

Applies to all Commonwealth construction projects, and indirectly funded projects where the Australian Government's contribution is:

  • at least $5 million and represents at least 50 per cent of the total construction project value; or

$10 million or more, irrespective of the proportion of Australian Government funding.

Department of Employment


1300 731 293

No minimum threshold for Commonwealth-funded construction projects.
Energy Efficiency in Government Operations [External Link] The policy aims to reduce the energy consumption of Australian Government operations with particular emphasis on building energy efficiency. It commits to a progressive improvement of overall agency energy performance through annual energy intensity reporting, the use of Green Lease Schedules, and minimum efficiency requirements. Department of Industry   No minimum threshold.
National Packaging Covenant [External Link] The Australian Government is committed to the National Packaging Covenant and is actively participating in its development and implementation. The Covenant was signed by the Australian Government in November 2005. It aims to reduce waste generation and environmental impacts of packaging. Department of the Environment productstewardship

No minimum threshold.

National Waste Policy [External Link] The National Waste Policy aims to avoid the generation of waste; reduce the amount of waste (including hazardous waste) for disposal; manage waste as a resource, ensure that waste treatment, disposal, recovery and reuse is undertaken in a safe and environmentally sound manner; and contribute to broader economic, environmental and social goals.

Department of the Environment


No minimum threshold.

Australian Government ICT Sustainability Plan 2010-2015 [External Link] The Plan requires agencies to adopt mandatory environmental standards for ICT acquisitions and to strengthen management processes for environmental risks and issues such as managing ICT energy use, carbon emissions and waste. There are also agency performance measures and targets to drive environmental performance and sustainability improvement across the Australian Government. Department of the Environment sustainableICT@

Government ICT Sustainability Team (02) 6274 1003 or (02) 6274 1799
Applicable to ICT procurements.
Financial Framework
Commonwealth Fraud Control Guidelines [External Link] The Commonwealth Fraud Control Guidelines provide national minimum standards to assist agencies in carrying out their responsibilities to combat fraud against their programs including outsourced functions and programs. Attorney General's Department

02 6141 2763

No minimum threshold.
National Public Private Partnership Policy Framework and Guidelines [External Link] Public Private Partnership principles must be considered when developing procurement proposals which scope the use of private financing and assessment, and approval processes for such proposals. Infrastructure Australia www.infrastructure.

Procurements with capital valued above $50 million.

May apply to procurements below the threshold if suitable.

Information, Communications and Technology
Limited Liability in ICT Contracts with Commonwealth  Government entities Guidance on the capping of liability when entering into Information and Communications Technology (ICT) contracts. Department of Industry No minimum threshold.
ICT SME Participation Procurement Policy[External Link] The SME Participation Procurement Policy outlines requirements for Australian Government ICT contracts valued $20 million and above to include, as a general rule, a minimum level of SME participation of 10 per cent of the contract value for ICT hardware procurements, and 20 per cent of the contract value for ICT services procurements. Department of Industry ictsmeprocurement
Applicable to ICT procurements from SMEs valued at or above $20 million.
International Obligations
Trade Sanctions [External Link] On rare occasions trade sanctions may apply to goods that an agency may wish to procure. DFAT Sanctions@dfat.
No minimum threshold.

Legal Services Directions [External Link]

Legal Services Directions (LSDs) establish the framework within which government legal services must be delivered. Paragraph 9A.1 and Appendix F of the Legal Services Directions 2005 sets out the rules and obligations Commonwealth agencies must adhere to when procuring legal services. This includes using a common form tender package (including a standard Request for Tender and Deed of Standing Offer) when tendering for legal services. AG No minimum threshold.
Intellectual Property Principles for Australian Government Agencies [External LinkPDF document] The Statement of IP Principles sets out a policy for management of intellectual property (IP) by Australian Government agencies. The IP Principles cover a full range of issues relevant to effective management of IP, including procurement, record keeping, industry development and broader innovation policy, and public access. AG


02 6141 3300

No minimum threshold.
Protective Security Policy Framework [External Link] Agency heads are responsible for ensuring official resources, especially classified information, are secured from unacceptable risk, including when services are delivered by external service providers. The Protective Security Core Policy and mandatory requirements direct agencies to ensure that contracted service providers comply with the Protective Security Policy framework. AG

No minimum threshold.
Australian Government Information, Communications and Information Systems Security Manual [External Link] ACSI 33 sets access control standard for In-Confidence information. It recommends use of Secure Socket Layer to protect transmission of information over any network, but particularly the Internet. DSD No minimum threshold.
Social Inclusion
Commonwealth Disability Strategy [External Link] The Commonwealth Disability Strategy was introduced to assist Government agencies meeting their obligations under the Disability Discrimination Act 1992. Its purpose is to make sure that people with disabilities have the same level of access to all Australian Government policies, programs and services as other members of the Australian community. Department of Social Services No minimum threshold.

Workplace Gender Equality Procurement Principles and User Guide

[External Link]


The Workplace Gender Equality Procurement Principles and User Guide (the Principles) requires Australian Government agencies to obtain a letter of compliance from certain tenderers (employers with 100 or more employees) which indicates compliance with their obligations under the Workplace Gender Equality Act 2012. The Principles provide advice to agencies, tenderers and suppliers, and procuring officials and officers on their roles and responsibilities under the policy.

Department of Social Services

Workplace Gender Equality Agency

(02) 9432 7000

Procurements that exceed the relevant procurement threshold outlined in paragraph 9.7 of the Commonwealth Procurement Rules.

Indigenous Opportunities Policy [External Link] Tenders, where the expenditure is over $5 million ($6 million for construction) in a region with a significant Indigenous population, are required to develop an Indigenous Training, Employment and Supplier Plan as part of their application. Agencies are required to consult with DEEWR when planning a procurement activity that exceeds the policy threshold. Department of Prime Minister and Cabinet Applies to procurements over $5 million ($6 million for construction).