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HOW TO TENDER

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Gauteng Shared Service Centre

HOW TO TENDER
                   INTRODUCTION	       	         	       	          	         	      	        	        	        	
table of contents   GENERAL	
                    1. WHAT IS A TENDER?
                    2. HEAR ABOUT THE TENDER INVITATION
                    3. DECIDE IF YOU CAN DELIVER THE GOODS or SERVICES REQUIRED
                    4. TAKE NOTE OF THE CUT-OFF TIME
                    5. LATE TENDERS
                    6. SUBMIT YOUR TENDER BEFORE THE CUT-OFF TIME
                    7. WAIT FOR THE LETTER OF ACCEPTANCE
                    8 GAIN ACCESS TO FINANCE IF NECESSARY
                    9. IMPORTANT NOTES

                      N
                    TE	 DER	DOCUMENTS	 	          	        	          	      	         	       	        	
                    FORM RFP 01:   BID COVER PAGE
                    FORM RFP 02:   RFP POINT SYSTEM FORM
                    FORM RFP 03:   INSTRUCTIONS TO BIDDERS
                    FORM RFP 04:   BID COMMITMENT AND DECLARATION OF INTEREST
                    FORM RFP 04.1: COMPULSORY SITE INSPECTION - DECLARATION OF ATTENDANCE
                    FORM RFP 05:   SPECIFICATION COVER PAGE
                    FORM RFP 06:   RFP PRICE SCHEDULE
                    FORM RFP 07:   NON-FIRM PRICES
                    FORM RFP 08:   VENDOR INFORMATION
                    FORM RFP 09:   TAX CLEARANCE – APPLICATION FORM
                    FORM RFP 10:   NATIONAL INDUSTRIAL PARTICIPATION PROGRAMME FORM

                    PREFERENCE	CLAIM	DOCUMENTS	 	         	         	         	       	          	
                    FORM PREF 01: PURCHASES – PREFERENCE POINTS CLAIM FORM – EQUITY OWNERSHIP BY HISTORICALLY DISADVANTAGED
                                   INDIVIDUALS
                    FORM PREF 02: SALES – PREFERENCE POINTS CLAIM FORM – EQUITY OWNERSHIP BY HISTORICALLY DISADVANTAGED
                                   INDIVIDUALS
                    FORM PREF 03: PREFERENCE POINTS CLAIM FORM – THE PROMOTION OF SMALL BUSINESSES
                    FORM PREF 04: PREFERENCE POINTS CLAIM FORM – LOCALLY MANUFACTURED PRODUCTS
                    FORM PREF 05: PREFERENCE POINTS CLAIM FORM – THE EMPOWERMENT OF THE WORK FORCE BY STANDARDISING THE LEVEL
                                   OF SKILL AND KNOWLEDGE OF WORKERS
                    FORM PREF 06: PREFERENCE POINTS CLAIM FORM – THE DEVELOPMENT OF HUMAN RESOURCES INCLUDING BY ASSISTING IN
                                   TERTIARY AND OTHER ADVANCED TRAINING PROGRAMMES
                    FORM PREF 07: PREFERENCE POINTS CLAIM FORM – THE UPLIFTMENT OF COMMUNITIES THROUGH, BUT NOT LIMITED TO,
                                   HOUSING, TRANSPORT, SCHOOLS, INFRASTRUCTURE DONATIONS AND CHARITY ORGANISATIONS
                    FORM PREF 08: PREFERENCE POINTS CLAIM FORM – EXPORT ORIENTED PRODUCTION TO CREATE JOBS
                    FORM PREF 09: PREFERENCE POINTS CLAIM FORM – PROMOTION OF ENTERPRISES LOCATED IN A SPECIFIC PROVINCE
                    FORM PREF 10: PREFERENCE POINTS CLAIM FORM – PROMOTION OF ENTERPRISES LOCATED IN A SPECIFIC REGION
                    FORM PREF 11: PREFERENCE POINTS CLAIM FORM – PROMOTION OF ENTERPRISES LOCATED IN A SPECIFIC MUNICIPAL AREA
                    FORM PREF 12: PREFERENCE POINTS CLAIM FORM - PROMOTION OF ENTERPRISES LOCATED IN RURAL AREAS
                                                                                                                                  



As part of Government’s commitment to provide fair and equal opportunity to all its citizens to participate in the




                                                                                                                     | introduction |
economic development of the Gauteng Province, and in compliance with Section 217 of the Constitution, it is
the responsibility of Government to make available such information to the general public, so that they may be
eligible to take advantage of opportunities provided through the public procurement process.

This “How to Tender” booklet provides relevant information that will offer guidance to aspiring entrepreneurs
and existing business professionals to gain an understanding of the tender submission process and how to
comply with the requirements for submission of a bid.

It is my hope that this booklet will provide a valuable point of reference to our citizens so that they may
participate in the growth and development process of our provincial economy.


MIKE MAILE
Chief Executive Officer
Gauteng Shared Service Centre




  It is of vital importance that prospective bidders study the General Conditions of Tender, Contract and
  Orders which can be obtained free of charge from:

  Gauteng	Shared	Service	Centre
          Imbumba House
          75 Fox Street
          Marshalltown
          Ground Floor
          Vendor Assistance Desk

| general |
              1.	WHAT	IS	A	TENDER?
              A tender is put out when large-scale buyers advertise their needs and invite bids or tenders from a range of suppliers. Put simply,
              a tender /bid/request for proposal (RFP) is an offer in writing to carry out work or to supply goods/services at a certain price.


              Before entrepreneurs start looking for tenders they should make sure that their business has a proper focus i.e
                   –     Tender only for those contracts that fit your business focus or scope.
                   –     Plan to use each tender you win to build up capital in your industry – enhance your reputation with credit suppliers,
                   get extended overdraft limit at the bank, invest in equipment, skilled staff and project management skills.
                   –     Do not ever bank on winning a tender. It is said that successful business owners submit at least twelve tenders for each
                   one they win.
                   –     Know that you cannot build a business by using the tendering process alone. Though tendering can at times provide
                   a good break or move a bidder to a new level of operation, the results are too unpredictable the whole business around
                   the process. It is advisable to build up a stable non-government client base and tendering be an additional activity.


              2.	HEAR	ABOUT	THE	TENDER
              A Request for Proposal (RFP) / tender bid / invitation is issued to prospective suppliers/vendors by an organisation, such as the
              Government, when it needs to acquire specific goods or services.

              Who issues tenders / RFPs
                  –     National Government Departments
                  –     Provincial Government Departments
                  –     Local Governments and Municipalities
                  –     Parastatals such as Eskom, Transnet and Spoornet; and
                  –     Big companies in the Private Sector


              The Gauteng Provincial Government is committed to Broad Based Black Economic Empowerment (BBBEE) and all advertised
              RFPs will be subject to the Preferential Procurement Policy Framework (PPPF) Act - Act no 5 of 2000. A preference mechanism
              has been introduced for State procurement of all goods and services to target especially those individuals discriminated against
              under the previous political dispensation.


              In response to the RFP, a bidder/tenderer, being a person who offers supplies/services in writing to an organisation at a specific
              price, submits a bid/tender/proposal to the organisation.


              A bid/tender/proposal is a written offer on the official RFP documents from the bidder/tenderer to the Province and if accepted
              by the Province, a letter of acceptance is issued to the successful bidder/tenderer. A contract is a legal and binding agreement,
              which is to be entered into between the buying organisation and the successful bidder/tenderer in terms of the RFP.
                                                                                                                                            




                                                                                                                                   | general |
Where to find
    –      Major national and provincial tenders / RFPs are advertised in the Government Tender Bulletin.
    –      Major national newspapers, own local newspapers, and other sources of tender information
    –      Approximately 450 local Governments (municipality) tender authorities also put out tenders / RFPs
    –      Notice boards at Government departments, Post Offices, Police Stations, etc.


Bids invited by the Gauteng Shared Service Centre (GSSC) and Gauteng Provincial Departments are subject to the General
Conditions of Tender, Contract and Orders. It is of vital importance that prospective bidders study this document thoroughly in
order to be fully acquainted with all the terms and conditions contained therein. This document can be obtained free of charge
from the offices of the GSSC from the following address:
            75 Fox Street, Ground Flour, Tender Administration Office
            Marshalltown 2107


Request for Proposals (RFPs) / tender invitations are published in the Government Tender Bulletin and it is strongly recommended
that prospective suppliers/vendors should subscribe to this publication, which is obtainable from the following address:


THE GOVERNMENT TENDER BULLETIN
POSTAL ADDRESS:                                STREET ADDRESS
The Government Printer                         The Government Printer
Private Bag X85                                Cnr. Proes & Paul Kruger Streets
Pretoria 0002                                  Pretoria 0002
Telephone numbers: (012) 334-4735, 334-4736/334-4737


The Government Tender Bulletin is also available on the Internet on the following web sites:
     •    www.treasury.gov.za; and www.gov.za/tenders/


The Government Tender Bulletin is published on a weekly basis and the current subscription is R34.20 per annum.


This publication will contain information such as:
      •    the RFP number;
      •    closing date and time;
      •    short description of the requirements;
      •    from where the RFP documents could be obtained; and
      •    the address to which RFP documents must be submitted.

| general |
              RFP advertisements may also be placed in the following newspapers: Die Beeld, Sowetan and The Star and any other publications
              when the need arises. All Provincial Government tenders do, however, appear in the Government Tender Bulletin.


              The purpose of advertising a Request for Proposal (RFP) / tender invitation is:
                   •    firstly to obtain as wide an exposure as possible for the requirements; and
                   •    secondly to offer an equal opportunity to as many prospective suppliers/vendors as possible to submit offers, thereby
                   promoting competition.


              Queries may be addressed to the GSSC Contact Centre at (+27 11) 355-2222. The GSSC Contact Centre will be able to
              inform prospective bidders of all advertised RFPs for GPG for which bids may be submitted, together with the closing date of
              each of these RFPs.


              3.	DECIDE	IF	YOU	CAN	DELIVER	THE	GOODS	OR	SERVICES	REQUIRED
              Initially you should evaluate your situation and decide on the following:
                      •    whether or not you can handle the required workload;
                      •    whether or not you will be able to deliver the right quality of goods or services; and
                      •    whether or not you are in a position to deliver the goods or services within the specified time period.

              NB: Register your business with the Registrar of Companies at the Department of Trade and Industry.


              4.	TAKE	NOTE	OF	THE	CUT-OFF	TIME
              The Government Tender Bulletin gives addresses of where RFP documents can be collected and submitted after completion. The
              closing time on the due date is strictly 11:00am and no bids/tenders/proposals are accepted thereafter. It is the responsibility
              of the bidder/tenderer to ensure that the bid/tender/proposal is submitted on time to the correct address.


              5.	LATE	TENDERS
              Bids/tenders/proposals are late if deposited in the tender box indicated in the RFP documents after the stipulated closing time.
              Bids/tenders/proposals mailed to the address indicated in the RFP documents shall on receipt be deposited in the tender box.
              The responsibility will, however, remain with the bidder/tenderer to ensure that his bid/ tender/proposal is received at the
              relevant address in good time to be deposited in the tender box before closing time. A late bid/tender/proposal shall not be
              admitted for consideration.


              6.	SUBMIT	YOUR	TENDER	BEFORE	THE	CUT-OFF	TIME
              The Government Tender Bulletin gives addresses for the submission of completed bids/tenders/proposals. If you are unable to
              submit your bid/tender/proposal yourself at the specified address, you should ensure that you post it well in advance to reach
              the specified destination before closing time and due date.
                                                                                                                                                  




                                                                                                                                         | general |
7.	WAIT	FOR	THE	LETTER	OF	ACCEPTANCE
Once a decision to award the RFP has been taken, a Letter of Acceptance is sent to the successful bidder/tenderer. It is then
imperative on the successful bidder/tenderer to start planning in order to ensure that delivery is efficient and within the required
time period and quality.


The Letter of Acceptance may be followed up with either a purchase order or a formal contract too.


8.	GAIN	ACCESS	TO	FINANCE	IF	NECESSARY
Financial support should be arranged before the bidder/tenderer receives an order.


9.	IMPORTANT	NOTES
It is the responsibility of bidders/tenderers to ensure that their bids/tenders/proposals are submitted before the closing time to
the correct address. Bids/tenders/proposals received after the closing date and time are late and shall NOT be accepted for
consideration.


NORMALLY ALL PROVINCIAL TENDERS CLOSE AT 11:00 ON THE CLOSING DATE, AS INDICATED IN THE RFP DOCUMENT
– REFER TO RFP 01 AND RFP 02.

All RFP documents (refer to part II) as well as the relevant Preference Points Claim Forms (refer to part III), must be signed in INK.
Failure to sign the forms in ink may invalidate the bid/tender/proposal.


A definite price must be indicated in the RFP document (refer specifically to RFP 06 and RFP 07, as detailed in PART II) and
statements such as “to be negotiated” or “to be advised” are not acceptable and will be disregarded.


Bids/tenders/proposals submitted by facsimile or telegram will NOT be considered.


It should be noted that bids/tenders/proposals are valid for a certain period (normally 90 days – refer specifically to RFP 02, as
detailed in PART II), during which period the Province will evaluate and consider the bids/tenders/proposals received. Awards
will normally be made within the 90 day period.


Queries may be addressed to the Gauteng Shared Service Centre (GSSC) Contact Centre at (+27 11) 355-2222. Please
remember to state the relevant RFP number in order to find out if the specific tender has been awarded yet.


The GSSC Contact Centre will also be able to inform prospective bidders of all advertised RFPs for which bids may be submitted,
together with the closing date of each of these RFPs.

| tender documents |
                       BID/RFP	DOCUMENTS
                       GSSC is acting as the Common Service Provider or buying organisation on behalf of Gauteng Provincial Government
                       Departments/Institutions.


                       A Request for Proposal (RFP)/bid invitation is issued to prospective suppliers/vendors by an organisation, such as the Government,
                       when its needs to acquire (buy) or sell specific goods or services.


                       GSSC and GPG Departments use standard forms to put together a RFP/tender document pack, consisting of the following forms:
                       RFP 01: Bid Cover Page
                       RFP 02: RFP Point System Form
                       RFP 03: Instructions to Bidders
                       RFP 04: Bid Commitment and Declaration of Interest
                       RFP 04.1 Compulsory Site Inspection – Declaration of Attendance
                                (only part of the RFP Pack, when a compulsory site inspection is applicable)
                       RFP 05: Specification Cover Page
                       RFP 06: RFP Price Schedule
                       RFP 07: Non-firm Prices
                       RFP 08: Vendor Information
                       RFP 09: Tax Clearance – Application Form
                       RFP 10: National Industrial Participation Programme form
                                (Only part of the RFP Pack, when an imported component in excess of US $ 10 million is expected)


                            •     Form RFP 01: Bid Cover Page
                            This form serves as a cover page to the RFP document, containing the following information for quick reference purposes:
                                  − The RFP number;
                                  − A description of the goods/services required;
                                  − The name of the GPG Department and/or Institution(s) which requires the said goods/services;
                                  − The address where the required goods/services must be delivered
                                  − The required date of delivery of these required goods/services;
                                  − Whether a term agreement is called for, as well as the period of such an intended contract;
                                  − Whether an RFP issue meeting will be held and if so, the venue, date and time thereof;
                                  − The closing date and time of the RFP;
                                  − The location of the GSSC tender box.


                             This form will also contain complete particulars of the address where bids/tenders/proposals should be submitted or
                             delivered to.
                                                                                                                                                     




                                                                                                                                     | tender documents |
     •     Form RFP 02: RFP Point System Form
           These forms are used to indicate the Preference Point System applicable to the particular RFP, namely the 90:10
           system, as stipulated in the Preferential Procurement Policy Framework Act (Act No. 5 of 2000).


      For identification purposes the RFP number, the closing date and time as well as the standard validity period of ninety (90)
      days are indicated at the top of the page.


      This form also contains information on whether Functionality Points will be applicable and if so, the detail thereof will be
      contained in the specification, linked to form RFP 05.


      Adjudication of bids will be done in terms of the Preferential Procurement Policy Framework (PPPF) Act (Act no. 5 of 2000),
      on the basis of the indicated 90:10 point system, as stipulated on this form.


      This form should be read in conjunction with the various Preference Points Claim Forms in the RFP pack, as detailed in
      PART III.


     •     Form RFP 03: Instructions to Bidders
           As the name indicates, this form contains instructions to bidders, which must be scrutinised thoroughly.


     •     Form RFP 04: Bid Commitment and Declaration of Interes
           This form must be studied and completed carefully, as it contains several important conditions:
           −          Part A focuses on Bid Commitment; while
           −          Part B contains the Declaration of Interest required from every bidder/tenderer.


     This form must be signed in INK by the bidder/tenderer. Failure to sign this form may invalidate the bid/tender/
     proposal.


By signing Part A of the Bid Commitment form the bidder/tenderer confirms that he/she is familiar with the following:
      •    the content of the GPG General Conditions of Tender, Contract and Orders (form VEND 02) and all the terms and
           conditions contained therein; and
      •    the various undertakings that forms the basis of a valid offer which, if accepted by the Province, will result in a
           binding State contract.


     The bidder/tenderer must also indicate a domicilium citandi et executandi, being the actual premises (street address) where
     the business is located. In the event of any legal action, the summons will be served at this address.
0
| tender documents |
                       Part B of the Bid Commitment form is used to indicate interest arising from having connections with persons employed by the
                       GPG. In order to ensure that all bidders/tenderers receive fair and equal treatment, it is necessary that Part B be completed
                       in full. All bids/tenders/proposals received must be evaluated and adjudicated objectively without favouritism, prejudice and
                       detrimental effect towards any person.


                            • Form RFP 04.1: Compulsory Site Inspection - Declaration of Attendance (only when a compulsory site inspection is
                            applicable)


                            If compulsory attendance of a site inspection/issue meeting/explanatory meeting is set as a special condition, then
                            bidders will be requested in the RFP documents to complete this additional form, namely RFP 04.1, by certifying that the
                            said inspection/meeting was attended and that the bidder/tenderer is fully aware of the extent of the task.


                            The name of the person who represented the company/firm, particulars of the company/firm, date and place of the
                            inspection/meeting, as well as any other information that is required by the relevant Department, must also be stated.


                            This form must be signed in INK by the bidder/tenderer. Failure by the bidder/tenderer to sign this form may invalidate
                            the bid/tender/proposal.

                            The RFP 04.1 form must also be countersigned by an official of the relevant GPG Procurement Unit to certify that the
                            bidder/tenderer did indeed attend the compulsory site inspection/meeting.


                            • Form RFP 05: Specification Cover Page
                            This form serves as the cover page to the specifications, containing information and requirements to which the goods/
                            services must comply. Should samples and/or SABS certificates be required, this is also indicated on this form.


                            The specifications must be studied carefully against each requirement and it must be indicated whether the goods/service
                            being offered comply with the specified requirements by inserting “YES” or “Comply”. Any deviation from the specification
                            must be clearly indicated. Incorrect or misleading information furnished by a bidder/tenderer may invalidate the bid/
                            tender/proposal. All offers are evaluated for compliance against the information furnished against the specifications.


                            Should a RFP document make reference to a specification, bidders/tenderers must ensure that the relevant specification
                            is attached to the RFP document. However, if the requirement is subject to a SABS specification, such must be obtained
                            directly from:
                            The SA Bureau of Standards                       Tel:       (+27 12) 428-7911
                            Private Bag X7911                                Fax:       (+27 12) 428-6825
                            Pretoria 0001
                                                                                                                                               




                                                                                                                                  | tender documents |
Together with the specification itself, RFP 05 may also contain some special conditions. These conditions are supplementary
to conditions contained in the GPG General Conditions of Contract and have important information, which must be
scrutinised thoroughly. Any deviation from these conditions may invalidate the bid/tender/proposal.


Special conditions will, inter alia, be applicable on requirements such as perishable provisions, fresh and processed meat,
kitchen refuse, lead and tin products, copper products, electric and telephone cables, building and auctioning services,
etc.


Special conditions must be studied with care, as any deviation there from may result in the disqualification of a bid/tender/
proposal. Should any of the special conditions be in conflict with the conditions contained in the GPG General Conditions
of Contract the special condition will take precedence.


• Form RFP 06: RFP Price Schedule
Particulars of the quantity of goods/services required, the description of the requirements, the unit of measure, are furnished
on page 1 of this form.


On   this form provision is made for the bidder/tenderer to insert the following information:
•      Locally produced product (yes or no)
•      Delivery period or lead time
•      The price per unit of measure
•      The price basis (firm or non-firm/variable)

GREAT CARE MUST BE TAKEN WITH THE CALCULATION OF BID PRICES, AS AMENDMENTS TO THE BID PRICE AFTER
THE CLOSING DATE OF AN RFP WILL RESULT IN THE BID/TENDER/PROPOSAL BEING DISQUALIFIED.


The price quoted by the bidder/tenderer must be inclusive of Value Added Tax (VAT). When calculating the bid price, the
bidder/tenderer must ensure that all overhead costs are taken into account and that the actual price quoted will provide
for a reasonable profit. When requested to do so, bidders/tenderers must be able to furnish a complete breakdown of
the price.


Please note that bids/tenders/proposals are in competition with each other and although price is not the only criterion
taken into consideration, it is the policy of the Gauteng Provincial Government to act in the best interest of the Province
and to accept the best product at the most favourable total cost of ownership, with due consideration of the interests of the
local communities.

| tender documents |
                       Bid prices could be indicated as “firm” or “non-firm”:
                            •     Firm prices are deemed to be fixed prices, which are not subject to any adjustments, except for statutory
                                  changes in VAT and any levy related to customs and excise duties.
                            •     A price is non-firm when it is, for example, subject to rate of exchange claims and/or published indices. The
                                  appropriate escalation formula must then be indicated. In case of bidding non-firm prices, please also complete
                                  RFP 07: Non-firm Prices.


                       It should be noted that for evaluation purposes, all non-firm bid prices are weighed by adding a factor representing implied
                       price adjustments.


                       Form RFP   06 also makes provision for the bidder/tenderer to insert the following additional information, if applicable:
                            •      Model, specification and guarantee offered;
                            •      Manufacturing information;
                            •      Information pertaining to equipment or machinery;
                            •      Importation information;
                            •      Delivery basis.


                       The bidder/tenderer must always indicate whether the goods/services offered is strictly to specifications and if not, to
                       furnish details of the deviations. This is necessary in order for the Province to make a fair assessment of the goods/services
                       offered.


                       This form also contains a summary of the specifications, which is contained in full together with form RFP 05. The
                       specifications must be studied carefully against each requirement and it must be indicated whether it complies with the
                       specified requirements by inserting “Yes” or “Comply”. Any deviation from the specification must be clearly indicated.


                       Incorrect or misleading information furnished by a bidder/tenderer may invalidate the bid/tender/proposal.


                       • Form RFP 07: Non-firm Prices
                       This form must be completed for each item where a bid for non-firm prices is made. Bidders/tenderers are urged to
                       familiarise themselves with the conditions applicable to non-firm prices and prices subject to Rate of Exchange fluctuations,
                       as set out in this form RFP 07.


                       • Form RFP 08: Vendor Information
                       Bidders/tenderers are urged to complete this document accurately, as the information in this form will serve the following
                       purposes:
                                                                                                                                               




                                                                                                                                  | tender documents |
     −     Background information in the evaluation and adjudication process;
     −     Enabling the GPG to compile a database of vendors/suppliers;
     −     Supporting the GPG in the implementation of a system of preferences as required by the Preferential Procurement
           Policy Framework (PPPF) Act.


Failure to complete the form in full may result in the bidder/tenderer not being considered for that bid/tender/RFP.
This document also requests pertinent information regarding the bidder/tenderer’s enterprise. It is therefore incumbent on
all bidders/tenderers to complete this form.


• Form RFP 09: Tax Clearance – Application Form
The taxes of the successful bidder must be in order, or satisfactory arrangements must have been made with the Receiver
of Revenue to meet his/her tax obligations.


The form “Application for Tax Clearance Certificate (in respect of bidders)” must be completed in all respects and submitted
to the Receiver of Revenue where the bidder is registered for tax purposes.
The Receiver of Revenue will then furnish the bidder with a Tax Clearance Certificate that will be valid for a period of twelve
(12) months from date of issue. This Tax Clearance Certificate must be submitted in the original together with the bid.


Failure to submit the original and valid Tax Clearance Certificate may invalidate the bid.


• Form RFP 10: National Industrial Participation Programme Form
(only part of the RFP Pack, when an imported component in excess of US $ 10 million is expected)


This form must be completed for each item where a bid for items is entered with an imported component equal to or exceeding
US$ 10 million or other currency equivalent to US$ 10 million. Such contracts are subject to an Industrial Participation (IP)
obligation and bidders/tenderers are urged to familiarise themselves with the National Industrial Participation Programme.
IP is obligatory and therefore must be addressed by the completion of form RFP 10.


The principle of IP became obligatory with effect from 1 September 1996. The IP policy and guidelines was fully endorsed
by Cabinet on 30 April 1997. In essence this means that all state and parastatal purchases/lease contracts (goods, works
and services) entered into after this date are subject to an IP obligation.


Pillars of the National Industrial Participation Programme
The IP obligation is benchmarked on the imported content of an intended contract. Any contract having an imported content
equal to or exceeding US$ 10 million or other currency equivalent to US$ 10 million will have an IP obligation. This

| tender documents |
                            threshold can be reached as follows:
                                  i.   Any single contract exceeding US $10 million; or
                                  ii. Multiple contracts for the same products or services each exceeding US$3 million awarded to one seller over
                                       a two (2) year period, which in total exceeds US $10 million; or
                                  iii. A contract with a renewable option clause, where should the option be exercised the total value will exceed
                                       US $10 million.


                            The obligation will amount to thirty percent (30%) of the imported content. That is, if the imported content is $10 million,
                            the obligation will amount to $3 million. IP arrangements to satisfy the obligation include investments, joint ventures,
                            sub-contracting, licensee production, export promotion, sourcing arrangements and Research and Development (R&D)
                            collaboration, which can be negotiated with partners or suppliers.


                            Where this IP obligation is applicable, failure to submit this form may invalidate the bid.


                       The Gauteng Provincial Government is committed to Broad Based Black Economic Empowerment and all advertised RFPs will be
                       subject to the Preferential Procurement Policy Framework (PPPF) Act (Act no 5 of 2000).


                       The GSSC and GPG Departments use standard Preference Points Claim Forms to request prospective bidders to claim preferences
                       in terms of the PPPF Act.


                       Preferences are awarded in order to further the Government’s economic and empowerment policies. The PPPFA Regulations
                       identified specific government objectives for the promotion of the Government’s Reconstruction and Development Programmes.


                            • The utilisation of the HDI Preference (the so-called primary objective) is mandatory – i.e. this must be included in all RFP
                            documents (see forms PREF 01 or 02), which includes the definitions of the PPPFA and preferences for:
                            - Race;
                            - Gender; and
                            - Disability.


                            The utilisation of any of the other objectives (the so-called secondary objectives) is optional - i.e. these may be included in
                            RFP documents (see forms PREF 03 – 12), but are not mandatory.


                            Depending on the specific primary and secondary objectives of the PPPF Act applicable to an RFP, the under-noted
                            preference forms may be added to the RFP document:
                                                  


    RFP documents must be delivered before
4
    11:00am on the closing date to the correct

    address



    RFP documents submitted by fax or telegram
4
    will NOT be considered



    During the 90-day evaluation period,
4
    enquiries regarding bids/tenders/proposals

    should not be made



    The RFP documents must contain a definite
4
    price for the services/goods to be supplied

| preference claim documnets |
                                 Primary	preferences	claim	forms:
                                 PREF 01: Purchases – Ownership and Management of Organisations by Historically Disadvantaged Individuals (HDIs)
                                 PREF 02: Sales – Ownership and Management of Organisations by HDIs


                                 Secondary	preferences	claim	forms:
                                 PREF   03:   The Promotion of Small Businesses
                                 PREF   04:   Locally Manufactured Products
                                 PREF   05:   The Empowerment of the Work Force by Standardising the Level of Skill and Knowledge of Workers
                                 PREF   06:   The Development of Human Resources including by assisting in Tertiary and Other Advanced Training Programmes
                                              in line with Key Indicators such as the Percentage of Wage Bill spent on Education and Training and Improvement
                                              of Management Skills
                                 PREF 07:     The Upliftment of Communities through, but not limited to Housing, Transport, Schools, Infrastructure Donations and
                                              Charity Organisations
                                 PREF   08:   Export Oriented Production to Create Jobs
                                 PREF   09:   Promotion of Enterprises located in a specific Province
                                 PREF   10:   Promotion of Enterprises located in a specific Region
                                 PREF   11:   Promotion of Enterprises located in a specific Municipal Area
                                 PREF   12:   Promotion of Enterprises located in Rural Areas


                                 These forms are used for claiming of preferences for the promotion of the objectives of the Reconstruction and Development
                                 Programmes.


                                 Primary preferences claim forms:
                                      • Form PREF 01: Purchases – Preference Points Claim Form – Equity Ownership by Historically Disadvantaged
                                      Individuals
                                      This form provides definition to general conditions in respect of the preference point system applicable to all advertised RFPs
                                      in terms of the Preferential Procurement Policy Framework Act, 2000 (Act No. 5 of 2000) or PPPF-Act.
                                      This form is used to indicate the preference points which can be claimed when Government wants to purchase of goods
                                      and services – bidders can claim preference points in respect of equity ownership by historically disadvantaged individuals
                                      in terms of the Preferential Procurement Policy Framework Act, 2000 (Act No. 5 of 2000).


                                        • Form PREF 02: Sales – Preference Points Claim Form – Equity Ownership by Historically Disadvantaged Individuals.
                                        This form provides definition to general conditions in respect of the preference point system applicable to all advertised RFPs
                                        in terms of the Preferential Procurement Policy Framework Act, 2000 (Act No. 5 of 2000) or PPPF-Act.
                                        This form is used to indicate the preference points claimed when Government wants to sell goods and services – bidders
                                                                                                                                                      




                                                                                                                                   | preference claim documnets |
can claim preference points in respect of equity ownership by historically disadvantaged individuals in terms of the
Preferential Procurement Policy Framework Act, 2000 (Act No. 5 of 2000).


• Form PREF 03: Preference Points Claim Form – The Promotion of Small Businesses
This form is used to indicate Preference Points claimed in respect of promotion of small businesses in terms of the Preferential
Procurement Policy Framework Act, 2000 (Act no 5 of 2000).


• Form PREF 04: Preference Points Claim Form – Locally Manufactured Products
This form is used to indicate Preference Points claimed in respect of Procuring Locally Manufactured Products in items of the
Preferential Procurement Policy Framework Act, 2000 (Act no 5 of 2000).


• Form PREF 05: Preference Points Claim Form – The Empowerment of the Work Force by Standardising the Level of Skill
and Knowledge of Workers
This form is used to indicate Preference Points claimed in respect of the empowerment of the work force by standardising
the level of skill and knowledge of workers in terms of the Preferential Procurement Policy Framework Act, 2000 (Act no
5 of 2000).


• Form PREF 06: Preference Points Claim Form – The Development of Human Resources including by assisting in Tertiary
and Other Advanced Training Programmes
This form is used to indicate Preference Points claimed in respect of the development of Human Resources including by
assisting in tertiary and other advanced training programmes in line with key indicators such as the percentage of wage
bill spent on education and training and improvement of management skills in terms of the Preferential Procurement Policy
Framework Act (Act no 5 of 2000).


• Form PREF 07: Preference Points Claim Form – The Upliftment of Communities through, but not limited to, Housing,
Transport, Schools, Infrastructure Donations and Charity Organisations
This form is used to indicate Preference Points claimed in respect of the upliftment of communities through, but not limited to
housing, transport, schools, infrastructure donations and charity organisations in terms of the Preferential Procurement Policy
Framework Act (Act no 5 of 2000).


• Form PREF 08: Preference Points Claim Form – Export Oriented Production to Create Jobs
This form is used to indicate preference points claimed in respect of the promotion of export orientated production to create
jobs in terms of the Preferential Procurement Policy Framework Act, 2000 (Act No. 5 of 2000).


• Form PREF 09: Preference Points Claim Form – Promotion of Enterprises located in a specific Province

| preference claim documnets |
                                 This form is used to indicate preference points claimed in respect of the promotion of enterprises located in a specific
                                 province in terms of the Preferential Procurement Policy Framework Act, 2000 (Act No. 5 of 2000).


                                 • Form PREF 10: Preference Points Claim Form – Promotion of Enterprises located in a specific Region
                                 This form is used to indicate preference points claimed in respect of the promotion of enterprises located in a specific region
                                 in terms of the Preferential Procurement Policy Framework Act, 2000 (Act No. 5 of 2000).


                                 • Form PREF 11: Preference Points Claim Form – Promotion of Enterprises located in a specific Municipal Area
                                 This form is used to indicate preference points claimed in respect of the promotion of enterprises located in a specific
                                 municipal area in terms of the Preferential Procurement Policy Framework Act, 2000 (Act No. 5 of 2000).


                                 • Form PREF 12: Preference Points Claim Form - Promotion of Enterprises located in Rural Areas
                                 This form is used to indicate preference points claimed in respect of the promotion of enterprises located in rural areas in
                                 terms of the Preferential Procurement Policy Framework Act, 2000 (Act No. 5 of 2000).
                                                                                                                                    




                                                                                                                       | tender workshops |
TENDERING	WORKSHOPS	-	HOW	TO	TENDER	FOR	GOVERNMENT

Objective
To ensure that prospective bidders are knowledgeable and familiar with tendering procedures in order to participate
competitively in the economy mainstream of the GPG and contribute to GDP.


Condition
No criteria or special conditions is applicable the workshop organized for individuals and all business enterprises.


Procedures
The programme is open to all citizens of the Republic of South African citizens and all business enterprises.


Department
         •            Gauteng Shared Service Centre - BEE Help Desk             Telephone: (011) 689 – 6217/6776
         •            Public Transport Roads and Works                          Telephone: (011) 355 9291
         •            GEP Offices


n GEP Head Office
Telephone: 011 634 2600
Fax: 011 634 2601
Physical Address:   1 Central Place
                    Cnr Henry Nxumalo & Jeppe Streets
                    Newtown,Johannesburg
Email: info@gep.co.za


n Johannesburg Office
Telephone:011 833 2542
Fax: 011 834 6702
Physical Address:   6th Floor
                    29 Rissik Street
                    Marshalltown
Email: infojhb@gep.co.za
0
| tender workshops |
                       n Sedibeng Office
                       Telephone: 016 910 1200
                       Fax: 016 910 1216
                       Physical Address:   1st Floor
                                           Azania House
                                           22 Hertz Boulevard
                                           Vanderbijlpark
                       Email: infosedibeng@gep.co.za


                       n Ekurhuleni Office
                       Telephone: 011 821 2870
                       Fax: 011 821 2886
                       Physical Address:  Ground Floor
                                          188 Victoria Street
                                          Germiston
                       Email: infoekurhuleni@gep.co.za

                       n West Rand Office
                       Telephone: 011 950 9870
                       Fax: 011 950 9886
                       Physical Address: 23 Eloff Street
                                         Krugersdorp
                       Email: infowestrand@gep.co.za




                                               GAUTENG	SHARED	SERVICE	CENTRE
                                                            Imbumba House, 75 Fox Street
                                                            Private Bag X112
                                                            Marshalltown
                                                            Johannesburg, 2107


                                               	       	        Call	Centre:	(011)	255	–	2222





     notes
        
notes
                                            




  Help government root out
fraud and corruption. Report:
                    • Theft
                   • Bribes
  • An unlawful acts involving government
       • Abuse of government property




         Call the hotline
         at 0800 701 701

IT’S A FREE CALL! MAKE IT





                Together, creating jobs
                   fighting poverty




     www.gautengonline.gov.za or call 0860 GAUTENG
                   (0860 42 88 364)

				
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