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Consultation on extending the Government Procurement Rules

We are undertaking a public consultation to understand the potential benefits, opportunities, and other impacts of extending the Government Procurement Rules to more government entities in the New Zealand public sector.

This consultation will inform our policy development process and advice to Ministers.

Each year the New Zealand public sector spends around $42 billion on goods, services and works from third party suppliers. The size and nature of this spend means there is a real opportunity for government procurement to achieve better social and economic outcomes for New Zealanders, as well as meeting the public’s expectation that taxpayer money is spent appropriately and competently by government organisations.

The Government Procurement Rules provide a flexible framework that governs the way government entities procure goods, services and works in accordance with good procurement practice. Currently, it is mandatory for approximately 135 government entities to apply the Rules. However, a significant portion of the New Zealand public sector is ‘encouraged’ to apply them.

In the current policy settings, Government is limited in its ability to influence and implement system-wide improvements to procurement practices and achieve greater public good from the $42 billion that is spent each year by the government sector.

If a wider set of government entities that are currently ‘encouraged’ to apply the Rules were required to apply them, there would be a number of potential benefits and opportunities.

We have produced a short paper that outlines the reasons behind this consultation and summarises some of the potential benefits, opportunities and impacts.

Have your say - Extending the Government Procurement Rules to government entities in the New Zealand public sector - Ministry of Business, Innovation & Employment

Submissions close at 10am on Monday 23 November 2020

If you have any questions please email the Policy team

How to contribute

You can make your submission:

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