Image: Thomas Hawk
The Victorian government has made an ambitious move to reformat its procurement policy in purchasing voice, data, mobile and internet services from telco providers.
It comes in the form of a new Telecommunications Purchasing and Management Strategy, called TPAMS2025, which the government says will introduce “market contestability and will provide a boost to Victoria’s growing telecommunications industries”.
In kicking off the new strategy, the government has refreshed its contracts with telecommunications providers, which combine the input of big market players, Telstra and Optus, with smaller niche services offered by NEC, Vocus, MyNetFone, Mitel and R-Group.
The spend on these contracts is a major component that the government wants to highlight, as the five additional TPAMS2025 State Purchase Contracts are expected to cost $126 million per year. A significant drop from the existing Telecommunications Carriage Services contracts at $160 million per year, which was established in 2004. The government expects that the total savings will amount to $129 million.
There’s a lot more in these changes. The government is moving towards a new ‘unified communications’ approach for a range of services. These include audio, web and video conferencing to make it cheaper and easier for public servants working in regional and rural Victoria stay connected.
Special Minister of State Gavin Jennings said the Victorian government is one of the largest users of telecommunications services in Victoria and like any other consumer “we know it’s smart to shop around to get the best value for money”.
“The market for mobile services, data and internet services is dynamic and competitive, and we’re proud to have been able to take advantage of that competition to save Victorians $34 million per year.”
“Today’s announcement is great news for Victorian taxpayers and great news for the newer, smaller players in the market who can now grow their businesses and create new jobs.”
The new contracts come in to effect on 1 February 2017.
