Should you be using the eServices Register Contract?

The eServices Register Contract is used to engage suppliers of information and technology (IT) services, also referred to as 'eServices'. It is important to understand the contract's purpose and scope to determine whether your Department or agency should use it when procuring IT services.

What is the eServices Register Contract?

The eServices Register Contract is the contract used in conjunction with the Victorian Government's IT services provider list known as the eServices Register. The eServices Register provides a streamlined process for engaging suppliers of IT services. The IT providers listed have also agreed to use the eServices Register Contract as a requirement of being listed. At the time of writing there were over 1600 suppliers registered on the eServices Register. The register differs from a panel in that the suppliers on the eServices Register have not been pre-approved, they have simply completed the registration process.

What types of services are covered by the contract?

At a high level, the eServices Register covers hosting services and hosted services, including software as a service and infrastructure as a service, and their attendant professional services (including for the development of new software) and geo-spatial data services. The eServices Register Contract breaks these services down further into categories to allow for a wide variety of IT projects to be procured and completed effectively. A full description of the available services can be found here. 

The eServices Register Contract is not intended to be used:

• to employ contract workers
• to employ temporary staff
• to purchase hardware
• where there is a more specific a state purchase contract (SPC) in use (such as the SPC's with Microsoft or Oracle).

Who should use the contract?

The Victorian Government Purchasing Board (VGPB) is empowered to direct how government organisations buy goods and services under the Financial Management Act 1994. The VGPB manages the Whole of Victorian Government procurement framework, and the eServices Register Contract is designed to comply with it in an IT context.

The VGPB designates the eServices Register as being 'mandatory', and so it is expected that Departments and other listed entities will use it unless a business case justifying an exception is established. The full list of mandated entities is available here.

The list of mandated entities is set to expand significantly in 2021 in a staggered rollout. Some entities were mandated on 1 February 2021, while the remaining new entities will become mandated on 1 July 2021. The new entities are listed on the linked page set out in the above paragraph.

Seeking an exemption

If you would like to seek an exemption from using the Contract, you should contact the Department of Premier and Cabinet. An exemption must be supported by a business case. Beyond the administrative burden, it is worth considering whether using another contract will provide real benefits for your organisation. 
 
Some considerations include:

• whether an IT suppliers' own terms and conditions will be appropriate for use with a government entity, and whether the risk profile set out in them will be inappropriately tilted in favour of the supplier
• whether a general purpose services contract can be adapted to an IT context, and whether the end product can sufficiently reproduce the terms of the eServices Register Contract
• that suppliers must agree to provide their services in accordance with the head terms and conditions of the eServices Register Contract in order to be admitted onto the eServices Register. This is a valuable negotiating position that may be difficult to re-establish under a custom contract.

The eServices Register Contract and the eServices Register are undoubtedly helpful tools which assist government Departments and agencies in procuring IT services which fall within their scope. The VGSO has extensive experience in applying the eServices Register Contract in the context of government IT procurements. Please contact us before you commence your next IT procurement project.

Contact our team

For advice on technology issues in a Victorian public sector context, contact:

Bea Stathy, Managing Principal Solicitor
bea.stathy@vgso.vic.gov.au

You can also contact one of our technology team members.

The information is of a general nature only and does not convey or contain legal advice. If you would like to obtain legal advice in relation to any matter discussed on this page, please contact us.