HIGHREGULATIONGPWCKZNECLPMPNWFSNC National Treasury OCPO Instruction Notes
National Treasury has published a second amendment to the 2021/22 PFMA SCM Instruction governing procurement thresholds and processes. The revision adjusts the monetary values that determine whether a procurement follows quotation, three-quote, or competitive bidding routes, and updates associated delegation and approval requirements. All national and provincial departments and listed public entities must align their SCM policies and bid committees immediately.
Thresholds dictate the procurement method, competition intensity, evaluation criteria, and award authority. Any change reshapes the addressable market for suppliers and the compliance burden for organs of state.
Procurement threshold values and associated SCM processes under PFMA Instruction No. 02 have been amended for the second time since 2021/22.
This amendment ripples across the entire public procurement ecosystem — every tender advertisement, evaluation, and award from national to provincial level must now reference the revised thresholds. It also signals National Treasury's ongoing recalibration of the PFMA SCM framework ahead of the Public Procurement Bill's full implementation.
Suppliers must verify the new threshold bands to confirm which tenders they are eligible for and whether quotation-based opportunities have expanded or contracted. SMMEs should monitor if the R30k–R1M quotation window has shifted, as this directly affects set-aside and subcontracting prospects.
Organs of state that fail to update SCM policies, bid committee delegations, and e-procurement system rules face irregular expenditure findings. Bidders relying on outdated thresholds risk non-responsive bids or challenges.
Stay ahead of procurement changes