Saving money through all-of-government purchasing

The first two of a series of all-of-government contracts have been awarded for stationery and office supplies. We are harnessing the collective buying power of the whole state sector for the first time, and the benefit to government and taxpayers will be significant.

Other all-of-government contracts will be awarded shortly to suppliers of vehicles and some IT hardware. Once contracts are in place, we expect to save more than $115 million of taxpayer money over the next five years.

The Government spends about $30 billion a year on goods and services. All-of-government purchasing means we can get better results for taxpayers, reduce the cost of doing business for companies providing goods and services to government, and reduce the tendering costs of both government agencies and suppliers.

Developing all-of-government contracts is one initiative of a wide-ranging, four-year Government Procurement Reform Programme being led by the Ministry of Economic Development. Additional measures to cut red tape will be announced shortly.