Queensland Procurement Policy 2026: How it Operates — and What It Means for Queensland Government Agencies

The Queensland Procurement Policy 2026 (QPP 2026) represents the most substantial re-design of Queensland’s procurement framework in decades. Commencing 1 January 2026 (with the incentive component of the Procurement Assurance Model commencing 1 January 2027), the new policy shifts government procurement from a process-driven function to a strategic, outcomes-focused system grounded in five core pillars. It applies to all “agencies” as defined in the policy, with government-owned corporations expected to incorporate the principles into their own procurement frameworks.

How the Policy Operates

1. A Five-Pillar Queensland Procurement Approach (Part 1)

The QPP 2026 sets out a whole-of-government vision built around five strategic pillars:

• Value for Queensland – value for money defined through economic, community and whole-of-life impacts
• Local Opportunities – prioritising Queensland SMEs, small and family businesses, regional enterprises and local content
• Easy to Do Business – simplified processes, reduced red tape, and more accessible procurement pathways
• Open to New Ideas – innovation, outcome-based specifications, trials, pilots, and flexible procurement methods
• Practical Economic, Environmental and Social Impact – sustainable procurement, diverse suppliers, emissions reduction and social outcomes
  The policy operationalises these pillars through targets, commitments, and mandatory reporting frameworks, including a new whole-of-government Procurement Spend Portal and category-level dashboards.

2. Queensland Procurement Rules (Part 2)

The Rules are now the binding operational requirements guiding how procurement must be planned, undertaken, evaluated, awarded and managed. Key features include:

• Mandatory value-for-money assessments incorporating non-cost factors, supply chain risks, capability and purposeful public procurement outcomes
• Clear ethical and probity expectations, including mandatory adherence to the Queensland Government Supplier Code of Conduct and exclusion of suspended suppliers
• Flexible, risk-proportionate procurement with exemptions for diverse suppliers, SMEs, innovation challenge winners, and emergencies
• Outcome-based specifications encouraged; brand-specific requirements limited
• Purposeful public procurement evaluation criteria required for significant procurements (10–20% weighting)
• Standardised government templates for invitations and contracts to simplify and reduce administrative burden
• Disclosure obligations for contracts over $10,000, with increasing levels of detail at higher thresholds
• Mandatory contract management plans for significant procurements.
  These rules are designed to promote consistency, transparency and capability uplift across all agencies

3. Procurement Assurance Model (Part 3)

The QPP 2026 introduces a new assurance regime that:

• monitors adherence to the Supplier Code of Conduct;
• reviews supplier behaviour and ethical performance;
• enables audits, investigations and assessments; and
• from 2027, introduces an incentive-based scheme rewarding ethical, high-performing suppliers.

This is intended to strengthen supplier accountability and give agencies confidence in market integrity.

4. Governance and Operating Model

The QPP 2026 establishes a strengthened whole-of-government governance architecture, including:

• Queensland Government Procurement Committee (whole-of-government oversight)
• Procurement Ministerial Advisory Council (industry engagement)
• Category Councils (strategic oversight across six key spend categories)
• Category lead agencies responsible for annual category strategies and market intelligence

Agencies must also maintain annual agency procurement plans, aligned with whole-of-government category strategies, and must provide procurement-related data under the new reporting framework.

What the Policy Means for Queensland Government Agencies

1. A shift toward strategic procurement

Agencies must now integrate government priorities—including local participation, sustainability, innovation and social impact—into procurement planning and decision-making, particularly for significant procurements. The “procurement function” becomes a strategic enabler rather than a transactional role.

2. Increased planning, documentation and reporting

Agencies must:

• prepare detailed planning proportional to risk and value;
• apply category strategies;
• publish forward procurement opportunities;
• document value-for-money decisions; and
• provide expansive procurement-related data into the new whole-of-government system.

3. Stronger obligations for local and diverse supplier inclusion

Routine procurements must include at least one Queensland/local/small business where practical, and significant procurements require “purposeful public procurement” evaluation criteria directed at local and community outcomes.

4. More flexible, innovative and outcome-based procurement

Agencies are encouraged to:

• engage early with the market;
• use outcome-based specifications;
• apply alternative or innovative offers;
• use limited or selective methods in defined circumstances; and
• support subcontracting participation for SMEs, regional suppliers and under-represented businesses.

5. New accountability and assurance expectations

Agencies must manage ethical supply chain risks, cyber security obligations, modern slavery considerations, environmental impacts and supplier conduct, with clearer consequences for suppliers who breach standards.

6. Procurement capability uplift

The QPP 2026 requires agencies to invest in:

• staff training;
• procurement functional maturity assessments; and
• strengthened contract and supplier relationship management.

Conclusion

The Queensland Procurement Policy 2026 modernises procurement across government, creating a more transparent, strategic, flexible and outcomes-focused system. For agencies, this means more upfront planning, greater accountability, and a clearer focus on delivering value for Queensland through local participation, innovation, sustainability and social impact. It positions procurement as a key lever for economic development and public value creation across the State.