<!--The Official Report of Parliamentary Debates (Hansard) of the Legislative Council and the House of Assembly of the Parliament of South Australia are covered by parliamentary privilege. Republication by others is not afforded the same protection and may result in exposure to legal liability if the material is defamatory. You may copy and make use of excerpts of proceedings where (1) you attribute the Parliament as the source, (2) you assume the risk of liability if the manner of your use is defamatory, (3) you do not use the material for the purpose of advertising, satire or ridicule, or to misrepresent members of Parliament, and (4) your use of the extracts is fair, accurate and not misleading. Copyright in the Official Report of Parliamentary Debates is held by the Attorney-General of South Australia.-->
<hansard id="" tocId="" xml:lang="EN-AU" schemaVersion="4.0" xsi:noNamespaceSchemaLocation="hansard_1_0.xsd" xmlns:xlink="http://www.w3.org/1999/xlink" xmlns:xsi="http://www.w3.org/2007/XMLSchema-instance" xmlns:mml="http://www.w3.org/1998/Math/MathML">
  <name>Legislative Council</name>
  <date date="2023-08-29T14:15:00+09:30" />
  <sessionName>Fifty-Fifth Parliament, First Session (55-1)</sessionName>
  <parliamentNum>55</parliamentNum>
  <sessionNum>1</sessionNum>
  <parliamentName>Parliament of South Australia</parliamentName>
  <house>Legislative Council</house>
  <venue></venue>
  <reviewStage>published</reviewStage>
  <startPage num="3363" />
  <endPage num="3428" />
  <dateModified time="2023-08-31T07:12:19+09:30" />
  <proceeding continued="true">
    <name>Answers to Questions</name>
    <subject>
      <name>Government Procurement</name>
      <text id="202308294da224da07a14c13b0001000">
        <inserted>
          <heading>Government Procurement</heading>
        </inserted>
      </text>
      <talker role="member" id="5419" referenceid="10d60568293c40059d4659591683f18e" kind="question">
        <name>The Hon. F. PANGALLO</name>
        <house>Legislative Council</house>
        <questions>
          <question date="2023-08-29T04:45:00+09:30">
            <name>Government Procurement</name>
          </question>
        </questions>
        <text id="202308294da224da07a14c13b0001001">
          <inserted>In reply to <by role="member" id="5419" referenceid="10d60568293c40059d4659591683f18e">the Hon. F. PANGALLO </by>().18 May 2023).  </inserted>
        </text>
      </talker>
      <talker role="member" id="4697" referenceid="c1607c57d2294390bdc2b07c15f35010" kind="answer">
        <name>The Hon. K.J. MAHER</name>
        <house>Legislative Council</house>
        <portfolios>
          <portfolio id="">
            <name>Minister for Aboriginal Affairs</name>
          </portfolio>
          <portfolio id="">
            <name>Attorney-General</name>
          </portfolio>
          <portfolio id="">
            <name>Minister for Industrial Relations and Public Sector</name>
          </portfolio>
        </portfolios>
        <questions>
          <question date="2023-08-29T04:45:00+09:30">
            <name>Government Procurement</name>
          </question>
        </questions>
        <text id="202308294da224da07a14c13b0001002">
          <inserted>
            <by role="member" id="4697" referenceid="c1607c57d2294390bdc2b07c15f35010">The Hon. K.J. MAHER (Minister for Aboriginal Affairs, Attorney-General, Minister for Industrial Relations and Public Sector):</by>  The Treasurer has advised:</inserted>
        </text>
        <page num="3417" />
        <text id="202308294da224da07a14c13b0001003">
          <inserted>1.&amp;#x9;30 public authorities have reported approximately 282 contracts were executed by the South Australian government with PwC since 2016. These reported contracts have a total estimated value of $57.56 million. The total value of invoices issued by PwC across all public authorities were worth $56.94 million. </inserted>
        </text>
        <text id="202308294da224da07a14c13b0001004">
          <inserted>2.&amp;#x9;There are currently 32 contracts in place across government with PwC. These contracts when established had an estimated total value of up to $20 million.</inserted>
        </text>
        <text id="202308294da224da07a14c13b0001005">
          <inserted>3.&amp;#x9;In response to the recent findings by the Tax Practitioners Board regarding PwC's use of confidential government information obtained through government contracts, the Department of Treasury and Finance is taking a range of measures to ensure there are sufficient safeguards in place to prevent similar events occurring in the future. </inserted>
        </text>
        <text id="202308294da224da07a14c13b0001006">
          <inserted>The Under Treasurer has written to the managing director of PwC SA twice to understand how PwC intend to address these concerns as it relates to contracts with the South Australian government, and to receive assurance that safeguards are in place to prevent similar events occurring in future and ensure any personnel currently being investigated are removed from all government work. </inserted>
        </text>
        <text id="202308294da224da07a14c13b0001007">
          <inserted>In their initial response, PwC gave assurance that the highest possible standards of integrity and confidentiality are maintained through each engagement, panel agreement and associated contract in respect of their work with the South Australian government. </inserted>
        </text>
        <text id="202308294da224da07a14c13b0001008">
          <inserted>In a subsequent letter to PwC, the Under Treasurer requested that all PwC personnel, no matter their location, that are currently being investigated be excluded from all existing and future work with the South Australian government. </inserted>
        </text>
        <text id="202308294da224da07a14c13b0001009">
          <inserted>The Procurement Review Committee provides strategic oversight and review of procurements that are high risk, high value or of public interest. The committee will continue to be briefed on the situation by the Department of Treasury and Finance and will provide advice to public authorities and the Treasurer as appropriate. </inserted>
        </text>
        <text id="202308294da224da07a14c13b0001010">
          <inserted>4.&amp;#x9;A letter has been issued to all other suppliers on the across-government Audit and Financial Advisory Services panel, seeking a similar assurance and commitment. </inserted>
        </text>
        <text id="202308294da224da07a14c13b0001011">
          <inserted>The Department of Treasury and Finance will continue to monitor the situation with PwC following the sale of its government consulting business to Allegro Funds. </inserted>
        </text>
        <text id="202308294da224da07a14c13b0001012">
          <inserted>The Crown Solicitor's Office is reviewing existing contract clauses to ensure there is sufficient security and safeguards in place for the use of confidential information obtained through government contracts, and disclosure of any breaches. This review is considering existing whole of government panel arrangements and standard contract templates. </inserted>
        </text>
        <text id="202308294da224da07a14c13b0001013">
          <inserted>The South Australian government may seek to vary existing arrangements if it considers it necessary to impose further measures.</inserted>
        </text>
        <text id="202308294da224da07a14c13b0001014">
          <inserted>Chief executives are responsible for ensuring that appropriate risks are considered when evaluating offers from all suppliers and contract management of suppliers. All public authorities have been encouraged to have ongoing discussions with contractors about their obligations relating to probity and confidentiality in respect to the provision of services to the South Australian government. </inserted>
        </text>
        <text id="202308294da224da07a14c13b0001015">
          <inserted>The Department of Treasury and Finance will continue to provide advice to public authorities as more information is known.</inserted>
        </text>
      </talker>
    </subject>
  </proceeding>
</hansard>