UNPACKING PUBLIC SECTOR FRAMEWORK AGREEMENTS IN SOUTH AFRICA

Abstract

Various forms or variants of framework agreements have evolved in South Africa following the promulgation of National Treasury’s Supply Chain Management Regulations in 2005. There are currently very different understandings and interpretations amongst those responsible for procurement as to what is permitted under these agreements. This uncertainty has resulted in a hesitancy to implement these efficient and effective tools, which have the potential to significantly improve service delivery in South Africa. This contribution, firstly, identifies the international concepts, principles and approaches associated with framework agreements. We, thereafter, unpack the framework agreement variants which have evolved in South Africa within two distinctly different procurement system paradigms, and we outline the soft law approach which has developed in South Africa within the paradigm associated with the procurement of infrastructure, and which is now incorporated into ISO 10845-1:2020. The contribution finally explores the underlying reasons for the confusion surrounding framework agreements and proposes an approach to promote such agreements in a manner which ensures that best value is achieved.