Changes a concern, say chambers

THE Victorian Regional Chambers Alliance has expressed “grave concerns” with changes made by the Department of Treasury and Finance to the State Government’s purchasing board contracts policy.

In a joint statement released last week, Commerce Ballarat and the Bannockburn & District Chamber of Commerce, along with nearly 15 others from across regional Victoria said new rules in regards to procurement policy changes to the state purchasing contracts mean regional suppliers will lose out on business if the reforms are implemented from 1 July.

“This will impact 35 Government departments and 125 Victorian Government agencies who will now be mandated to use the SPC list of suppliers,” the statement said.

“This will mean that regional businesses that are current suppliers will not be eligible until they go through a lengthy process to be included on the supplier list, it has been suggested that this could take up to 18 months.

“The impact of this new policy change completely contradicts this Victorian Governments previous commitment to support local and regional businesses.

“It also contradicts the Government’s own programs such as GROW that were instigated to support and increase local procurement and jobs.

“Currently there are no regional and or rural businesses included on this list.”

A government spokesperson said the changes were made for the benefit of all involved in procurement processes but did not address the timeframe claimed by the VRCA.

“There are many benefits to this reform including greater consistency in procurement policies, practices and oversight making Government procurement easier and more simple for both buyers and suppliers,” the spokesperson said.

“State purchasing contracts currently include regional suppliers and regional suppliers have the opportunity to bid for these contracts through the tender process.

“Regional suppliers are encouraged to register on the Buying for Victoria supplier portal to view and respond to procurement opportunities.”