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 / GuidancePolicy DescriptionPolicy DepartmentContact
Social Inclusion

Indigenous Procurement Policy [External Link]

The Indigenous Procurement Policy will take effect from 1 July 2015. It will require Commonwealth entities to award three per cent of Commonwealth contracts to Indigenous businesses by 2020, with interim targets applying each year from 2015-16. 

In addition, the Indigenous Procurement Policy requires that certain contracts be set aside for Indigenous businesses and that some other contracts include mandatory minimum Indigenous employment or supplier use requirements.

Department of the Prime Minister and Cabinet

National Disability Strategy 2010-2020 [External Link]

The Strategy seeks to drive improved performance of mainstream services in delivering outcomes for people with disability. 

It provides a framework for policy makers, service providers, community groups, businesses and families to engage with people with disability.

The policy seeks to ensure that universal design options are considered in procurement in the building sector and across all areas of design and manufacture.

Department of Social Services

Disability and Carers Policy Branch
1300 653 227

Workplace Gender Equality Procurement Principles and User Guide [External Link]

The Workplace Gender Equality Procurement Principles and User Guide (the Principles) require 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 entities, tenderers and suppliers, and procuring officials and officers on their roles and responsibilities under the policy.

Department of Employment

Workplace Gender Equality Agency
(02) 9432 7000

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

Australian Industry Participation Policy Section
02 6213 6000


Building Code 2013 incorporating the Supporting Guidelines for Commonwealth Funding Entities [External Link]

Relevant Commonwealth entities are required to apply the Code when managing construction contracts.  The Guidelines assist officials with implementation.
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


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

Manager, Commercial Buildings
(02) 6243 7699

National Packaging Covenant [External Link]

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

Waste Policy Branch
(02) 6274 1400

National Waste Policy [External Link]

The Sustainable Procurement Guide (part of the policy) provides best practice sustainability considerations when assessing value for money in procurement.

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

Waste Policy Branch
(02) 6274 1400

Australian Government ICT Sustainability Plan 2010-2015 [External Link]

The Plan requires officials to adopt 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.

Department of the Environment

Chief Information Officer
Department of the Environment
(02) 6274 1198

Financial Framework

Commonwealth Fraud Control Guidelines [External Link]

The Guidelines provide considerations for officials when appointing external fraud control service providers. 
The Guidelines are best practice advice for fraud control.

Attorney‑General's Department

Criminal Justice Division
(02) 6141 2763

National Public Private Partnership Policy Framework and Guidelines [External Link]

Requires officials to consider Public Private Partnership principles when developing procurement proposals which scope the use of private financing and assessment, and approval processes.

Department of Infrastructure and Regional Development

Infrastructure Australia
(02) 8114 1900

Information, Communications and Technology

Limited Liability in ICT Contracts [External Link] with Commonwealth  Government entities

Provides guidance on the capping of liability when entering into Information and Communications Technology (ICT) contracts.

Department of Industry

Business Competitiveness & Trade Division
(02) 6213 6000

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

Business Competitiveness & Trade Division
(02) 6213 6000

International Obligations

Trade Sanctions [External Link]

On rare occasions trade sanctions may apply to goods that an entity may wish to procure. 

Department of Foreign Affairs and Trade

Sanctions Section
(02) 6261 1111


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.

Attorney-General’s Department

Office of Legal Services Coordination
(02) 6141 3642

Intellectual Property Principles for Australian Government Agencies [External Link]

The Statement of IP Principles within the Australian Government Intellectual Property Manual sets out a policy for management of intellectual property (IP) by Australian Government entities.

The IP Principles cover a range of issues relevant to the effective management of IP, including procurement, record keeping, industry development and broader innovation policy, and public access.

Attorney-General’s Department

Commercial and Administrative Law Branch
02 6141 3300


Protective Security Policy Framework [External Link]

Provides officials with guidance on how to identify and manage their protective security risks using a risk-based approach. 

The Framework features controls for the Australian Government to protect people, information and assets, at home and overseas and has the objective of facilitating the secure conduct of Government business.

Attorney-General’s Department

National Security Resilience Policy Division
02 6141 6666

Australian Government Information Security Manual [External Link]

Requires officials to consider and apply general administrative requirements to govern the security of government ICT systems. 


Australian Signals Directorate
Department of Defence
1300 333 362 [External Link]

Last updated: 27 May 2015