EXEMPTIONS FROM DIVISION TWO

Principles

1. A procurement valued above the relevant threshold must be conducted in accordance with Division 2 of the Commonwealth Procurement Rules (CPRs) unless an exemption applies from Appendix A

2. Exempt procurements remain subject to other requirements of Division 1 of the CPRs, especially the core principle of value for money.

3. Use of an exemption should be clearly documented by the decision maker, including for subsequent audit scrutiny.

4. The standard reporting requirements apply to all such procurements.

5. The CPRs and exemptions reflect Australia’s obligations under free trade agreements.

6. Where, under Paragraph 2.6 of the CPRs, relevant entities don’t comply with the CPRs because of measures for the maintenance or restoration of international peace and security; to protect human health; for the protection of essential security interests; or to protect national treasures of artistic, historic or archaeological value , relevant entities will need to:

  • identify the particular measures relating to the procurement which requires departure from the CPRs;
  • determine the extent of the departure from specific requirements of the CPRs to address the measure; and
  • document and obtain approval by the Accountable Authority on such measures.

Last updated: 03 January 2019