Government procurement methods

There is a procurement process that all Northern Territory Government agencies must follow when purchasing goods and services. 

This page explains the most common procurement methods, however, an agency can use a different procurement method depending on the activity.

Procurement activities are split into tiers based on their estimated total value. This determines the appropriate procurement method.

For standard conditions of quote and tender, and the conditions of contract, read procurement conditions.

Tier 1: Less than $15,000

Agencies may approach a Territory Enterprise directly, without formal documents, to buy available goods and services. 

For procurement of more complex supplies where goods or services must be described or special terms set out, agencies will request a written quote from one or more suppliers, including a quote from at least one Territory Enterprise. 

Tier 2: $15,000 but less than $100,000

Agencies may invite three or more suppliers, including at least one Territory Enterprise, to submit a response to a simple request for a quotation.

Tier 3: $100,000 but less than $500,000

Agencies may publicly invite suppliers to submit a response to a request for quotation published on Quotations and Tenders Online.

Where there are limited suppliers, or the nature of the supply needs to be confidential, agencies may invite one or more suppliers to submit a bid to respond to a request for quotation.

Tier 4: $500,000 but less than $2 million

Where possible, future tender opportunities will be listed on Quotations and Tenders Online.

Agencies will invite all suppliers to submit a response to a request for tender.

Where there are limited suppliers, or the nature of the supply needs to be confidential, agencies may invite one or more suppliers to submit a response to a request for tender.

Tier 5: $2 million and over

Where practical, future tender opportunities will be listed on Quotations and Tenders Online (QTOL).

Agencies will invite all suppliers to submit a response to a request for tender via QTOL.

Where there are limited suppliers, or the nature of the supply needs to be confidential, agencies may invite one or more suppliers to submit a response to a request for tender.

For projects estimated to be worth over $5 million, you may be asked to give information to help agencies assess proposed industry participation commitments. An Industry Participation Plan may be entered into with the preferred tenderer. Go to the Department of Trade, Business and Innovation website to read the Industry Participation Plan policy.

The government's Local Benefit Advisory Panel will also consider the local content section of each tender response and advise the agency tender assessment team.

Last updated: 27 June 2017