Tender processes require fairness and transparency. In order to ensure fairness and transparency, an organ of state must adopt a proper evaluation process when considering and awarding tenders. An organ of state cannot rely on its selection of a preferred bidder in circumstances where the process for a preferred bid is not followed. When the
Tenders
Failure to disclose business rescue results in setting aside of tender
If tender documents impose an obligation on a bidding party to disclose that it has the necessary financial resources to execute a project, the failure by the bidder to disclose that it was placed under business rescue after the bid was submitted but before the contract was awarded, resulted in the successful award of the…
Cancellation of tender is not administrative action
A municipal tender provided that the municipality did not have to accept the lowest tender and was entitled to cancel the tender or reject all tender offers at any time before formation of a contract. It was held in City of Tshwane v Nambiti Technologies (Pty) Ltd that this was not administrative action and could…
Suppliers to government must register on its central supplier database
Government has launched an e-Tender Publication portal and the central supplier database (CSD) that provides for electronic platforms to centralise its procurement process. The portal and the CSD were set up by the Office of the Chief Procurement Officer (OCPO) on 1 April 2015 and went online on 1 September 2015.
All suppliers to any…
Public procurement: e-tender portal a welcome announcement in the Budget Speech
On 25 February the Minister of Finance, Mr Nhlanhla Nene, announced in his National Budget Speech that all government tender documents will be published on an e-tender portal from April 2015, and advertisements in newspapers will be phased out.
The publishing of all government tender documents on a central e-tender portal, and the phasing out…
Courts continue deferent approach to tenders and administrative powers and functions
An October 2014 supreme court of appeal decision has confirmed two well established principles of public procurement and administrative law review:
- There is limited scope for not awarding a tender to a bidder that has scored the highest number of points; and
- A court is not likely to substitute its decision for a decision made
…