Discounts permitted for regional price preferences
24D Discounts permitted for regional price preferences
A preference may be given to a regional tenderer by assessing the tender from that regional tenderer as if the price bids were reduced by —
up to 10% — where the contract is for goods or services, up to a maximum price reduction of $50 000; or
up to 5% — where the contract is for construction (building) services, up to a maximum price reduction of $50 000; or
up to 10% — where the contract is for goods or services (including construction (building) services), up to a maximum price reduction of $500 000, if the local government is seeking tenders for the provision of those goods or services for the first time, due to those goods or services having been, until then, undertaken by the local government.
Although goods or services that form a part of a tender submitted by a tenderer (who is a regional tenderer by virtue of regulation 24B(2)(b)) may be —
wholly supplied from regional sources; or
partly supplied from regional sources, and partly supplied from non‑regional sources,
only those goods or services identified in the tender as being from regional sources may be included in the discounted calculations that form a part of the assessments of a tender when a regional price preference policy is in operation.
Despite subregulation (1), price is only one of the factors to be assessed when the local government is to decide which of the tenders it thinks would be most advantageous to that local government to accept under regulation 18(4).
[Regulation 24D inserted: Gazette 25 Feb 2000 p. 972.]
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