The McGowan Government has delivered a record spend on contracts awarded to Aboriginal businesses, eclipsing Aboriginal Procurement Policy (APP) targets for the fourth year in a row.
Nearly $254 million worth of contracts were awarded in 2021-22 – comprised of 262 contracts to 119 Aboriginal businesses – compared to $136 million the previous year.
The overall number of contracts awarded to Aboriginal businesses represented 5.6 per cent of all Government contracts, easily exceeding the target of 3 per cent.
More than half of the contracts in 2021-22 were awarded to Aboriginal businesses for projects in regional Western Australia.
The APP was introduced in 2018 for a three-year term, and was subsequently extended for a second term in 2021 due to its success.
The policy has continued to have a positive impact on the Aboriginal business sector, with incrementally increasing targets on the proportion of contracts awarded to Aboriginal businesses.
Since the policy was implemented four years ago, Aboriginal businesses have been awarded $821 million worth of Government contracts.
The State Government agencies performing the highest against the policy this year included:
- Main Roads;
- the Department of Communities;
- the Department of Education; and
- the WA Country Health Service.
The 2021-22 APP Performance Report and summary of the first four years of the policy are available at https://www.wa.gov.au/organisation/department-of-finance.
As stated by Finance and Aboriginal Affairs Minister Tony Buti:
“I’m proud of the progress made so far through the McGowan Government’s Aboriginal Procurement Policy, and I hope this is just the start.
“The Aboriginal business sector continues to strengthen, and through their growth we are seeing more significant Government contracts awarded.
“The results from the projects speak for themselves, and frequently contracts are given to businesses with far superior connections to the communities they are working in.
“The past four years have seen impressive results for Aboriginal businesses being awarded $821 million worth of contracts – a large chunk of which are regionally based.
“Year on year we have seen an increase in the number of businesses engaging in this policy, and agencies committing to significant tender appointments.
“I hope to see more growth and engagement in this sector as we aim to meet the progressive targets in the coming years.
“This year we have awarded contracts for a range of goods and services in the building and construction industry, creative industries, environmental management – and importantly for culturally safe consultation services to support Government agency service delivery.”
