About the Social Procurement Framework in 2023-24

Review the key highlights that shaped our year.

Victorian Government procurement is one of the largest drivers of the Victorian economy. Value for money is the key consideration underpinning all Victorian Government procurement decisions. The Social Procurement Framework (the Framework) ensures value-for-money considerations are not solely focused on price but encompass opportunities to deliver social and sustainable outcomes that benefit the entire Victorian community. In this way, the Framework helps government create economic benefit and jobs for all Victorians.

Social procurement objectives and summary of priorities

The Framework is used by more than 260 government departments and agencies1 to identify their social and sustainable procurement goals. These goals are detailed in the agency’s Social Procurement Strategy or Plan and will often align with other government strategies, priorities and initiatives. Departments and agencies report on progress towards their social and sustainable procurement goals in their respective annual reports and contribute to the whole-of-government report.

[1] This refers to government departments and agencies subject to the Standing Directions 2018 under the Financial Management Act 1994 as at January 2023.

Highlight achievements

Achievements since the launch of the Framework in 2018

Since 2018, Victorian Government departments and major agencies2 have continued to directly invest in Victoria’s social benefit suppliers spending a total of:

  • $148.2 million with certified Victorian Aboriginal businesses3
  • $115.6 million with certified Victorian social enterprises4

Achievements in this reporting period (1 July 2023–30 June 2024)

Victorian Government departments and major agencies directly spent:

  • $51.36 million with 113 certified Victorian Aboriginal businesses
  • $47.29 million with 96 certified Victorian social enterprises
    • of which, $1.17 million was spent with 7 certified Victorian social enterprises led by a mission for job readiness and employment of Victorian priority jobseekers
  • $16.24 million with 39 Australian Disability Enterprises or social enterprises led by a mission for people with disability

[2]Departments and agencies included are Department of Energy, Environment and Climate Action (DEECA), Department of Education (DE), Department of Families, Fairness and Housing (DFFH), Department of Health (DH), Department of Justice and Community Safety (DJCS), Department of Jobs, Skills, Industry and Regions (DJSIR), Department of Transport and Planning (DTP), Department of Premier and Cabinet (DPC), Department of Treasury and Finance (DTF), Department of Government Services (DGS), Victoria Police, Major Transport Infrastructure Authority (MTIA) and CenITex.

[3]Certified Aboriginal businesses refer to Victorian Aboriginal businesses that are certified by Kinaway Chamber of Commerce (Kinaway) or Supply Nation. For the 2023-24 reporting period, only spend with Victorian Aboriginal businesses certified by Kinaway or Supply Nation has been reported to ensure alignment with the Framework definitions which does not include spend with Traditional Owner Corporations and/or Aboriginal Community Controlled Organisations that are not certified by Kinaway or Supply Nation.

[4] Certified Victorian Social Enterprises refer to organisations that are certified by Social Traders and operate and have business premises in Victoria. There was a policy change to discontinue use of the Map for Impact database as a source to identify and verify social enterprises. The Map for Impact will no longer be included under the operational definition of ‘social enterprise’ for Framework purposes.

Updated

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