What are participation plans?
Participation plans are written statements that prospective suppliers use to outline their commitments to employing or involving local businesses in supply opportunities.
Prospective suppliers will need to complete and submit a participation plan as part of their tender bid for State Government contracts that are above relevant monetary thresholds.
Participation plan templates are currently being developed and will be available to view by 1 October 2018.
Types of participation plans
Depending on the value of the contract, prospective suppliers may need to prepare either a “core” or “full” participation plan.
A core participation plan is a simple written plan that requires prospective suppliers to outline local economic benefits should they be awarded the contract.
A full participation plan is a more detailed written plan that requires prospective suppliers to demonstrate they will generate local economic benefits and provide full, fair and reasonable opportunity to local industry, should they be awarded the contract. The type of participation plan required will depend on the value and type of supply contract.
The table below demonstrates the participation plan required for a contract. The monetary values are for the total life of the contract including GST.
Participation plans will be used as part of the tender bid evaluation process. Prospective suppliers’ participation plans will be assessed by the State Government agency that issued the tender. The participation plan will be assessed on:
- The likelihood of a prospective supplier achieving their planned local participation commitments.
- If applicable, how a prospective supplier will offer full, fair and reasonable opportunity to local businesses.
- A prospective supplier’s willingness to work with the Government to improve supply chain capability and develop import replacement opportunities.
Both core and full participation plans will be weighted at either 10 or 20% of the evaluation of a tender bid.
Why do we need participation plans?
Participation plans will help to establish a prospective supplier’s commitment to involve local businesses if awarded a State Government contract. The likelihood of these commitments being fulfilled will play a significant role in the evaluation of tender bids, helping to ensure State Government spending creates more opportunities for local businesses and more jobs for Western Australians.