“Towards Uniform Conditions
of Contract and Specifications
in South Africa”
South African Road Pavement Forum
22 November 2005
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Construction Industry Development Board
Background
Uniformity in Construction Procurement
 1995
 1997
 1998/9
 2000
 2000
Discussion paper by the Procurement Forum entitled
Building and Engineering Contracts: the way forward
Government’s Green Paper on Public Sector
Procurement Reform in South Africa
National working group established by the Department
of Public Works
Focus Group 6 recommendations (Interministerial
Task Team for Construction Industry Development)
CIDB Act promulgated which mandates the CIDB to
promote standardisation and uniformity in procurement
documentation, practices and procedures
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Construction Industry Development Board
 From 2002
SANS standards for construction procurement
 From 2003 CIDB best practice guidelines
 2003
 2003
 2004
 2005
Code of conduct for the Parties engaged in
Construction Procurement
Regulatory Framework for Supply Chain
Management issued in terms of the PFMA
Construction Industry Regulations, CIDB
Standard for Uniformity in Construction
Procurement / Best Practice Guidelines
Supply chain management regulations
issued in terms of the Municipal Finance
Management Act
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 The Standard for Uniformity in Construction
Procurement emanates from the CIDB Act 38 of 2000
and establishes minimum requirements that are
mandatory for the public sector that:
 promote cost efficiencies through the adoption of:
 a uniform structure for procurement documents
 standard component documents including forms of
contract;
 generic and uniform tender procedures;
 enable risk, responsibilities and obligations to be clearly
identified.
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Construction Industry Development Board
The CIDB Standard for Uniformity in
Construction Procurement establishes
minimum requirements for:
1. the solicitation of tender offers;
2. the manner in which quality is to be
incorporated in procurement documents;
3. the formatting and compilation of
procurement documents; and
4. the application of the register of contracts to
public sector contracts.
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Annexures
Annex A:
Annex B:
Annex C:
Annex D:
Annex E:
Annex F:
Annex G:
Annex H:
Annex I:
Best Practice Guidelines
Standard notice and invitation to tender
Form of Offer and Acceptance
Sample preferencing schedule where
direct preferences are granted in respect
of targeted enterprise status
Sample preferencing schedule where
preferencing are granted in respect of the
direct participation of targeted enterprises
and/or labour
Standard Conditions of Tender
Form of guarantee
Standard Conditions for the calling for
Expressions of Interest
Selection of subcontractors by employers
and contractors
Identical
to that in
SANS 294
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The Standard for Uniformity in Construction
Procurement limits the range of forms of contract that
may be used:
 Works
- NEC, FIDIC, GCC 2004, JBCC Series 2000
Services - NEC Terms Service Contract
Professional Service - NEC or CIDB
Supplies - CIDB
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The projected Outcomes of Standardisation and
Uniformity in Procurement Documents
Standardisation and uniformity promotes:
a) Effective participation by new entrants or emerging
enterprises to the business environment;
b) Cost effectiveness, both in financial and human resource
terms;
c) The simplification and computerization of the
documentation process;
d) Contractors being able to more easily determine the scope
and extent of risk and price accordingly;
e) The management of a contract becoming routine and
administration procedures becoming mechanized; and
f) Savings in cost and improvement in quality.
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A first principle approach to procurement
documentation
Procurement documents are required primarily to:

Solicit tender offers;
and

Form the basis for a contract.
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Documents required for the solicitation of tender offers
Volume 1:
Tendering procedures
Part 1:
Volume 2:
Part 2:
Volume 3:
Part 1:
Part 2:
Part 3:
Part 4:
Tendering procedures
Tender Notice and Invitation to Tender
Tender Data
Returnable documents
Returnable documents
List of Returnable Documents
Form of Offer and Acceptance
Contract Data (Part 2: Data provided by the Contractor)
Activity Schedule / Bill of Quantities
Returnable Schedules
Contract (Draft contract)
Agreement and Contract Data
Contract Data (Part 1: Data provided by the Employer)
Pricing data: Pricing Instructions
Scope of Work: Scope of Work
Site information: Site Information
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Principle
In order to have a fair, transparent and equitable
solicitation process, employers should:
 provide tenderers with clear instructions as to how
they are to submit their tender offers;
and
 inform them as to how their tenders are to be
processed following their receipt.
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Implementation Schedule
Public Sector Client deadlines
Provincial Department of Public Works
15 October 2004
eThekwini Metropolitan Council
14 January 2005
National Department of Public Works in all regions
30 August 2005
Every provincial department
30 August 2005
Every national department not mentioned above
30 September 2005
Every public entity
30 November 2005
Every metropolitan council not mentioned above
15 March 2006
A municipality which is not a metropolitan council, classified as
a high capacity local authority in Government Gazette
No.733 of 1 July 2004 “Local Government: Municipal Finance
Management Act 2003 Delays and exemptions
30 April 2006
A municipality classified as a medium capacity municipality
30 July 2006
A municipality classified as a low capacity municipality
30 November 2006
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Thank You
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Construction Industry Development Board