Michael McGrath (Cork South Central, Fianna Fail)
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Public Procurement is governed by EU legislation and National rules and guidelines to ensure compliance with the principles of transparency, non-discrimination and equal treatment which are key to demonstrating the State’s attainment of maximum value for money through competitive procedures. To create a level playing field for all businesses across the Single European Market, EU law sets out minimum harmonised procurement rules for all Member States.

The Government recognises the importance of the SME sector and continues to enhance the already substantial measures to support SMEs in accessing the public procurement market. The Office of Government Procurement (OGP), an office within my Department, has developed a suite of policy measures aimed at assisting SMEs to access public procurement opportunities (implemented through Circular 10/2014). These include:

- Proportionate financial capacity;

- Division of public contracts into lots;

- Provision for “consortia bidding” to assist SMEs where they would not have the relevant capability or scale;

- Proportionate insurance levels; and

- All contracts for goods and services valued above €25,000 must be advertised on eTenders.

This ensures that as many businesses and SMEs are aware of tendering opportunities as possible. The latest analysis carried out by the OGP indicates that 53% of the €4.8 billion procurement addressable expenditure analysed is with the SME sector.

The Programme for Government sets out a number of commitments including training for Irish indigenous SMEs so that they can compete for public procurement contracts in Ireland and abroad. The OGP will support the work of the Department of Enterprise, Trade and Employment in this regard.

My colleague, Minister of State, Ossian Smyth TD, who has responsibility for public procurement, chairs quarterly meetings of the SME Advisory Group with industry representative bodies Irish SME Association (ISME), Irish Business and Employers Confederation (IBEC), Small Firms Association (SFA), Chambers Ireland, and Construction Industry Federation (CIF). The Tender Advisory Service, which was re-launched in 2018 following consultation with the SME Advisory Group, is available to assist SMEs with public procurement issues.

My Department will continue to proactively engage with business to enhance the significant measures and strategies already in place to support SME access to public procurement opportunities building on the progress to date.