State Procurement Repeal Bill

Introduction and First Reading

The Hon. R.I. LUCAS (Treasurer) (15:40): Obtained leave and introduced a bill for an act to repeal the State Procurement Act 2004. Read a first time.

Second Reading

The Hon. R.I. LUCAS (Treasurer) (15:40): I move:

That this bill be now read a second time.

The South Australian government spends over $11 billion a year on purchasing goods, services and construction projects. This spending underpins the provision of critical public services and has a significant impact on employment, business activity and investment in the state. The government is committed to enhancing the efficiency and effectiveness of our policies and practices for procurement, maximising value for money and improving local industry and social outcomes.

To this end, in late 2018, the government tasked the South Australian Productivity Commission with undertaking an inquiry into public sector procurement. One of the key recommendations made by the commission was to repeal the State Procurement Act 2004, abolish the State Procurement Board and replace the board's policies and guidelines. In parallel, the Statutory Authorities Review Committee conducted an inquiry into the State Procurement Board and made similar recommendations.

The government has accepted a majority of the recommendations made by the commission and the Statutory Authorities Review Committee, including those relating to the State Procurement Act 2004. The State Procurement Repeal Bill has been introduced to act on the government's commitment to implement these recommendations. To give effect to the government's decision, this bill repeals the State Procurement Act 2004 and the State Procurement Regulations 2005 and dissolves the State Procurement Board and its relevant policies and guidelines.

The passage of this bill through parliament is a key enabler to progress implementation of a range of other important recommendations made by the commission and the Statutory Authorities Review Committee. Pursuing this program of work will represent the most substantive reform of the state's procurement system in more than a decade. I commend the bill to members and I seek leave to have the explanation of clauses inserted in Hansard without my reading it.

Leave granted.

Explanation of Clauses

Part 1—Preliminary

1—Short title

2—Commencement

These clauses are formal.

Part 2—Repeal of State Procurement Act 2004

3—Repeal of Act

This clause repeals the State Procurement Act 2004.

4—Transitional provisions

This clause sets out transitional provisions for the purposes of the repeal of the State Procurement Act 2004.

Debate adjourned on motion of Hon. I.K. Hunter.