A WA parliamentary question scrutinizes the direct sourcing of a $1.4 million contract for upgrades to the Geraldton Health Campus's BMS and BACS, raising concerns about competitive tendering, local content, cost justification, and potential conflicts of interest. The Minister's response defends the decision based on value for money and proprietary systems.

AnsweredQoN 277Legislative Assembly
Asked
12 August 2025
Portfolio
Health Infrastructure

QuestionView source ↗

I refer to Tender reference number WACHSMW202311905 for the provision of upgrade of Geraldton Health Campus Building Management System (BMS) and Building Access Control System (BACS) worth an estimated $1.4 million, which was awarded via direct sourcing without a public procurement process, and I ask : (a) Why was this contract awarded via direct sourcing without a public or competitive tender process; (b) What justification supports the claim that there was “no suitable alternative”; (c) Why was local content not prioritised or considered for this contract, noting there are several providers within Western Australia, including the Mid-West, who would be willing to bid for this tender; (d) How was the estimated cost of $1.4 million determined, and is this in line with previous BMS and BACS costs at other regional hospitals; (e) Has the decision to exempt this tender from public tender been recorded in the Exemption Register and if so, please table; (f) What consultation was undertaken by WACHS or the Department of Finance to determine no local supplier could be found for this tender; (g) Noting the WA Health Department primarily uses the Gallagher BACS, which can be supplied and installed by as many as 18 WA-based companies, why was a decision made to use the foreign owned Schneider BACS; (h) Since 1 January 2023, what is the total value of contracts awarded by the State Government to Schneider Electric for direct sourcing or limited sourcing procurement; (i) Is the Minister aware that including this contract, more than $5.6 million in State Government contracts have been awarded to Schneider Electric since 1 January 2023 without any competitive procurement process; (j) Can the Minister confirm each of the contracts identified in (h) have been recorded in the Exemption Register; and (k) Is the Minister aware if Schneider Electric has donated any funds to the WA Labor Party or attended any WA Labor Party fundraising events?

AnswerView source ↗

Answered
17 September 2025
Responded by
Minister for Health Infrastructure
Response time
10 days
(a - j)
To deliver the greatest value for money to the taxpayer, WA procurement rules allow direct sourcing and integrating procurements to optimise efficiency and avoid duplicative processes.
Geraldton Health Campus (GHC) required upgrades to its existing Building Management System (BMS) and the Building Access Control System (BACS), which are separate systems. WA Country Health Service (WACHS) advises that due to the proprietary nature of the BMS, no alternative supplier is able to upgrade the existing system.
An assessment of other comparable procurement processes at other WA Health facilities was undertaken to inform the pre-tender estimate and the decision to integrate procurements and direct source, delivering greatest value for money to the taxpayer.
Procurement data is available publicly via TendersWA. Tender reference number WACHSMW202311905 award information was publicly published on Tenders WA and recorded in WA Health’s Procurement Development and Management System as an exempted procurement process, as are all WA Health procurement exemptions.
(k)
This question should be addressed to the WA Labor Party directly.

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