PM’s dept sets indigenous procurement targets, failure not an option

Commonwealth mandarins now have their marching orders for exactly how many contracts in each portfolio must go to companies owned by Aboriginal and Torres Strait Islander people. The new indigenous procurement policy takes effect on July 1.

The Department of Defence has been asked to find 70 new contracts for indigenous-owned corporations by next year, while Education only has to find four.

The federal government has released its new Indigenous Procurement Policy, which takes effect from July 1, demanding 3% of contracts go to businesses that are majority-owned by Aboriginal and Torres Strait Islander people by 2020.

The policy document released by the Department of Prime Minister and Cabinet includes a list of the 2015-16 targets for each portfolio (see table below), and the formula for calculating them.

In total, the government wants 256 contracts going to indigenous-owned businesses in the coming financial year, 70 of those with the Department of Defence. The next highest targets are 19 contracts each for the Attorney-General’s portfolio, Treasury, and Immigration and Border Protection.

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