Procurement and Commercial Policy

NSW Government Procurement Policy Framework

The NSW Government Procurement Policy Framework sets out the policy and operating framework for the NSW public sector procurement system. It provides a single source of guidance on the rules for procurement.

Procurement for Large, Complex Infrastructure Projects

The NSW Government is currently delivering a record infrastructure pipeline, and a Premier’s Memorandum has been issued to set out expectations for the procurement for large, complex infrastructure projects. This will enable sustainable delivery of the infrastructure pipeline as set out in the Framework for Establishing Effective Project Procurement, developed by Infrastructure NSW.

Procurement Methods Guidelines

The Construction Leadership Group (CLG) has developed Procurement Methods Guidelines in support of the NSW Government Action Plan - A ten point commitment to the construction sector. These Guidelines aim to provide guidance on commonly used contract models for infrastructure delivery, by providing a description of each type, outlining when it may be appropriate to select a particular model, the benefits and risks associated with each model, and the capability required from each of the Contractor and the Client to successfully deliver under the model.

Interactive Tendering Guidelines

The Construction Leadership Group (CLG) has developed Interactive Tendering Guidelines in support of the NSW Government Action Plan - A ten point commitment to the construction sector. The Guidelines aim to inform government and industry of best practice interactive tendering to achieve more efficient procurement processes that drive quality, innovation and value for projects. These Guidelines are the result of broad consultation with government and industry representatives.

Any enquiries regarding the Interactive Tendering Guidelines should be directed to CLG@treasury.nsw.gov.au

NSW Bid Cost Contributions Policy

The NSW Bid Cost Contributions Policy sets out the arrangements the Government has adopted to determine if, when and how it will make a financial contribution to partially offset the cost of bidding for construction and infrastructure projects in NSW.

The NSW Government has approved the release of several Commercial Guidelines for infrastructure projects. The guidelines outline the expectations for how Government agencies determine some contractual terms to optimise risk allocation to meet Government’s objectives.

NSW Government Agencies should consider applying these guidelines to procurements for all NSW Government projects and Public Private Partnerships (PPPs), with project specific amendments, where necessary.

Infrastructure NSW developed this guidance in consultation with the Construction Leadership Group agencies and industry. It includes principles on:

• escalation risk

• reliance on pre-contract information

• liability arrangements

• professional indemnity insurance

• interface risk management

• timely resolution of issues

• contracting out from being bound by legislation

View Commercial Principles on Escalation Risk (updated 1 September 2022)

View Commercial Guidelines (updated in May 2022)

For Infrastructure NSW's commercial guidance relating to the coronavirus, please refer to the COVID-19 Commercial Guidelines for Construction Procurement and Contracts.

For any queries on these guidelines, please email Infrastructure NSW at assurance@infrastructure.nsw.gov.au