Roads Australia Procurement Reform Report Update
Momentum for a sustainable transport sector
Government clients are increasingly using procurement to achieve important social outcomes including, to benefit Indigenous and local employment, increased workforce diversity and the building of local capacity in supply chains.
Clients are prioritising the increased use of recycled materials and the priority to achieve a reduction in the carbon footprint of infrastructure both in its construction and in its use.
Without improvement in procurement there are major risks for the whole industry, specifically:
- Government clients will not be able to deliver the planned transport infrastructure for the community, with increased uncertainty around real project costs, timeframes and a loss of confidence from the community in project planning and delivery;
- Industry experiencing inflexible contract arrangements with unrealistic risk allocation, unsustainable cost pressures, leading to increased risk of business failure, reduced investment in resources and career opportunities, withdrawal of some industry players from the sector and negative impacts on the well-being of employees; and
- The community not receiving the full value of the transport infrastructure investment through sub-optimal planning and delivery.
It is incumbent on the whole sector to ensure that businesses are successful and do not fail due to the failings or inadequacy of settings in the procurement process, particularly with the new challenges being faced.
This Updated Report provides examples of good practice from across states and territories to promote sharing of innovation and improvements in procurement. It also draws on
national and international reform initiatives in procurement reform.
The Updated Report identifies recommendations that will drive real changes and improvements in the procurement of transport infrastructure. When government and
industry work together real and meaningful outcomes can be achieved for the benefit of all.