The Northern Territory news Wed 2 Sep 2015
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Community newspapers -- Northern Territory -- Darwin; Australian newspapers -- Northern Territory -- Darwin
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20 BUSINESS WEDNESDAY SEPTEMBER 2 2015 NTNE01Z01MA - V1 lobby on its behalf. Since then weve grown to around 80 members and another 10 associate members, he said. Associate members dont necessarily need to be an Indigenous business. The organisation registers Aboriginal enterprises and checks that they meet the criteria for employing a significant number of Aboriginal Territorians. The enterprise must be engaged in commercial activity and be at least 50 per cent Aboriginal owned and operated. An organisation employing a significant numbers of Aboriginal Territorians is one with more than 30 per cent of its employees being Aboriginal Territorians. The organisation must have legal standing such as a business, joint venture or partnership and may be for profit or not for profit. Partnerships and joint ventures with NTIBN registered organisations are an important aspect of the remote contracting policy and can significantly increase the opportunities for unregistered organisations to participate in government contracts. I would encourage procurement managers looking to meet contract requirements for indigenous employment content to join as an associate and then we can facilitate engagement with our members, Mr Elsegood said. We do not charge for the facilitation and we hold regular networking events. The growth has extended further with funding for an executive officer and space within Development House on the Esplanade joining other key industry groups. We have formalised MOUs with the Chamber of Commerce NT and the Industry Capability Network, Mr Elsegood said. For information about registration requirements and how to register please contact 1800 256 923. THE government sources $3 billion in goods, services and infrastructure each year. Almost $1 billion is spent on infrastructure with the balance being general goods and services. The Northern Territory Governments procurement framework has been in place since 1995. The Executive Director Procurement, Jason Bingham, said the government was committed to improving the way it buys goods and services. We have already worked on reducing red tape to make procurement simpler, easier and more transparent, he said. Raising the procurement thresholds has allowed more government contracts to be awarded under easier processes. For example, the upper limit of Tier 2 increased from $50,000 to $100,000 and the upper limit of Tier 3 increased from $200,000 to $500,000. Mr Bingham said: As a result, in 2014/15, there were 267 contracts worth approximately $91m managed as Tier 3 procurements rather than Tier 4 procurements and 535 contracts worth approximately $39m managed as Tier 2 procurements rather than Tier 3 procurements. Other changes included allowing tenders to be released and closed on any day of the week; improving the application of the local development and value adding assessment criteria and updating the conditions of contract to address unlimited liability indemnity, intellectual property and dispute resolution. Mr Bingham said that in addition, chief procurement officers had been established in larger agencies and a centralised procurement function to support smaller agencies had been established within the Department of Business. The Chief Executives of the government agencies have taken on increasing accountability and the role of governance boards have also changed to better support the reforms, he said. Mr Bingham said further improvements were on the way. The government has heard from Territory businesses that work is needed to strengthen Local Development and Value Adding (LDVA) criteria. There will be further work on this over the coming months as we consult with industry and business, he said. A survey to gather input into possible future changes has been distributed to Territory businesses and is also available online at business.nt.gov.au The further changes being looked at for feedback and discussion include: Maximising local business participation in government procurement; Better forward planning including greater visibility of demand across agencies and a five year planning horizon; The procurement capability strategy underpinning a skilled NT Public Sector procurement workforce; Better integrated complaints management practises with continuous learning; and Transitioning to a more principles-based approach to procurement that is less prescriptive and more outcomes focused. Tender threshold doubled The way government buys has been broadened to make it easier for local business to win Northern Territory Government work following changes to the system. Door opens for NT Indigenous business THE new remote contracting policy allows government to preference NTIBN registered organisations undertaking remote work in some instances. Organisations that are not registered with the NTIBN will still be able to compete through open tender processes. The formal changes to the remote contracting policy of government and indigenous content in those contracts is good for Indigenous business, Mr Elsegood, who operates two Indigenous businesses said. This is a unique time and the govern ment door is open. The NTIBN was estab lished in 2008 following an Indigenous economic forum in Alice Springs. Mr Elsegood said Indigenous enterprise wanted a representative group to The door of opportunity for Indigenous business has opened according to the President of the NT Indigenous Business Network (NTIBN) Jason Elsegood. Local opportunity $3 billion spend, over 75% awarded to Territory contractors and suppliers Reducing red tape 180 more contracts worth $62M awarded through simplified quotations Infrastructure 45% Government spend Goods 24% Services 31%
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