What the Upcoming Queensland Procurement Policy Means for Local Government

As always, the draft Queensland Procurement Policy (QPP) 2026 does not apply to local governments, including councils. For many councils, this may suggest that the policy is largely irrelevant to their day-to-day procurement operations under the Local Government Act 2009 and Local Government Regulation 2012. However, while the QPP does not impose any direct obligations on councils, it still has practical influence, strategic relevance, and offers several opportunities for councils to leverage.

Why the QPP doesn’t directly apply to Councils

Councils remain governed by their own legislative procurement framework, which requires councils to:

• ensure value for money;
• promote open and effective competition;
• act ethically and fairly;
• manage risks; and
• consider the local government principles.

The QPP is developed for Queensland Government departments and statutory bodies, not councils. This separation preserves the independence of councils to set procurement policies suited to their scale, markets and regional priorities.

Why the QPP still matters to Councils

Even though the QPP doesn’t apply directly, State Government policies often set directional expectations for the public sector. Councils interact with these expectations whenever:

• industry compares council procurement approaches to State Government standards;
• joint or collaborative procurement activity involves both State agencies and councils;
• suppliers expect a degree of alignment across government tiers; or
• funding programs expect alignment with State policy objectives.

For these reasons, the QPP can influence how stakeholders view the maturity of a council’s procurement framework.

Key impacts on councils

Supplier and industry behaviour

Contractors operating across Queensland increasingly benchmark public buyers against QPP-style requirements, particularly around sustainability, social outcomes, and ethical supply chains. Councils may face pressure to respond to similar expectations.

Funding and grant alignment
State-funded infrastructure and community programs may reference QPP-style standards, meaning councils that mirror or partially adopt QPP principles may find compliance simpler.

Procurement modernisation
The QPP’s emphasis on early market engagement, capability uplift, digital procurement tools and social impact procurement can serve as a useful benchmark for councils seeking to update procurement policies or systems.

Opportunities for councils

Voluntary alignment where it adds value
Councils can selectively adopt QPP principles, such as supplier transparency, sustainability criteria or enhanced probity, without being bound by the full obligations.

Stronger collaborative procurement
Alignment with QPP methodologies can make it easier for councils to partner with State agencies or neighbouring councils on shared infrastructure, sustainability initiatives, or strategic procurement pipelines.

Supplier attraction and market confidence
Where councils adopt (or adapt) QPP-aligned practices, suppliers receive consistent signals across State and local government, reducing bid costs and increasing participation, particularly for major capital projects.

Demonstrating procurement maturity
Referencing QPP-style objectives in local procurement policies can help councils showcase robust governance and industry-best practice without adopting rigid State-based rules.

How Muscat Tanzer can assist Councils

We help councils translate QPP developments into practical, council–specific solutions, including:

• reviewing and updating council procurement policies to align (where useful) with key QPP principles;
• designing procurement strategies that leverage early market engagement and supply chain improvements;
• advising on joint procurement or State-local government collaborations;
• providing probity, evaluation and documentation support for major procurements.