The McGowan Government is on target to more than quadruple the mandated Aboriginal Procurement Policy target set for the first year.
Mid-year reporting has confirmed that more than four per cent of all State Government contracts have been awarded to registered Aboriginal businesses, with 98 per cent of those based in Western Australia demonstrating the strength of the local business sector.
The Aboriginal Procurement Policy, introduced in July 2018, requires WA government agencies to award a minimum of one per cent of contracts to registered Aboriginal businesses throughout the 2018-19 financial year, increasing to two per cent in 2019-20 and three per cent in 2020-21.
A total of 74 government contracts have been awarded to 53 registered Aboriginal businesses from July 1, 2018 to December 31, 2018, representing a total value of about $25 million.
Kimberley Aboriginal Medical Services, a Broome-based Aboriginal Community Controlled Health Organisation, was awarded the largest contract so far at a total value of $4.2 million. Importantly, the contract to deliver a range of health training and education services, and programs across WA's North-West.
To ensure continued support of the Aboriginal business sector and the ongoing understanding of government procurement processes and practices, the Department of Finance has commenced further education and training on the policy which will run throughout WA until September.
Additionally, the McGowan Government will soon award contracts for capability building services to further support the development of the Aboriginal business sector, including emerging Aboriginal businesses located throughout Western Australia.
As stated by Finance and Aboriginal Affairs Minister Ben Wyatt:
"The results of the Aboriginal Procurement Policy Interim Report are extremely positive and puts the McGowan Government in a great position to exceed the first-year target.
"These results represent an enormous increase in the economic participation of Aboriginal people and also the delivery of another election commitment by the McGowan Government.
"The benefits of contracting with Aboriginal businesses extend beyond the successful delivery of contracts and offer new employment opportunities for Aboriginal people throughout the State.
"I am confident that this is only the beginning and, with continued support to the Aboriginal business sector, contracting with Aboriginal businesses will continue to increase."