The McGowan Labor Government’s Aboriginal Procurement Policy will continue for a further three years after a review found the policy has been a success in increasing government departments contracting with Aboriginal businesses.
The review found the policy has had a positive impact in supporting growth in the Aboriginal business sector by awarding more than 413 contracts worth more than $339 million to Aboriginal businesses.
It has also successfully driven behavioural change in government contracting with 142 different Aboriginal businesses across the State securing contracts since the policy was introduced in July 2018.
Based on capability and experience, Aboriginal businesses have been particularly successful at winning works contracts and have also been awarded contracts in the human resources, management advisory, cleaning and community services sectors.
Since the policy was introduced, 61 per cent of all Aboriginal business contracts were awarded to regional Aboriginal businesses across Western Australia.
Based on that success, targets will be increased over the next three years, enabling Aboriginal businesses that have not yet contracted with the Government the time to continue to increase tendering and business capacity.
The targets for the next three years will move progressively from three per cent in year four, to 3.5 per cent in year five, and four per cent by the end of year six.
The Department of Finance is also exploring additional ways to support the Aboriginal business sector and WA Government to further improve on the positive results realised by the Aboriginal Procurement Policy.
The updated policy will be released in July 2021 after the current policy expires.
For more information, visit https://www.wa.gov.au
As stated by Finance Minister Ben Wyatt:
“I am extremely proud of the success to date of the McGowan Government’s Aboriginal Procurement Policy.
“Every year we have exceeded our targets, demonstrating the local Aboriginal business sector’s breadth and capacity.
“It has also improved the economic prosperity of Aboriginal businesses and the broader Aboriginal community by supporting local jobs – many in regional areas.
“We want to build on the success of the initial term of this policy and increase targets to ensure continued support for the Aboriginal business sector.
“I encourage Aboriginal businesses who have not yet engaged with this policy to get involved to potentially benefit from future government procurement opportunities.”
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