City supports transformation through procurement
15 August 2018
The City of Cape Town is committed to redressing past injustices and to facilitate economic transformation. For the past financial year ending 30 June 2018, the City is pleased to report that approximately 95,76% – that is 204 507 out of 213 554 purchase orders – were placed with B-BBEE-compliant vendors. This is up from 92,7% for the 2016/17 financial year.
The total value of purchase orders for the 2017/18 financial year was R12 260 005 036 of which R11 248 300 552 was awarded to B-BBEE-compliant suppliers.
The number of B-BBEE service providers who conducted business with the City over the same period was 2 807 out of 3 167 in total. This equates to 88,63% of the service providers used.
‘B-BBEE verification in its current form considers factors such as ownership of the company, employment of historically disadvantaged individuals, the business’ efforts to develop historically disadvantaged employees, and whether the company makes use of previously disadvantaged suppliers in their operation,’ said the City’s Mayoral Committee Member for Finance, Councillor Johan van der Merwe.
‘This process helps ensure that economic development is not concentrated among one group, and that newer entrants to the market are not excluded by the established players. This is important if we are going to sustainably transform our local and national economy. As an opportunity city, which focuses on economic inclusion, we will maintain a strong focus on transformation in our supply chain,’ said Councillor Van der Merwe.
This commitment to empowering all residents is in line with the City’s Organisational Development and Transformation Plan which seeks to doing business with the City even easier.
Residents who would like to explore business opportunities with the City should please visit our tender portal which is accessible from the home page of our website: www.capetown.gov.za.
Businesses can also bid on contracts for up to a maximum of R200 000 through the new eProcurement portal. All interested suppliers should visit https://eservices.capetown.gov.za/irj/portal/ to register, and follow the prompts.
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