About the VIPP
VIPP Objectives
The Victorian Industry Participation Policy (VIPP) was introduced in April 2001 with the objectives of:
- boosting employment and business growth in Victoria by expanding market opportunities for local SMEs and supply chain partners
- providing the main contractors for major projects with increased access to a wider range of companies that can deliver the best value for money
- promoting a cultural change in local business, raising awareness of the world class capabilities of local SMEs
- exposing Victorian companies to world-best practice in workplace innovation, e-commerce and use of new technologies and materials
- developing the international competitiveness and flexibility of local SMEs in responding to changing global markets, by ensuring Victorian SMEs have a fair opportunity to compete against overseas suppliers
VIPP Achievements
Since its establishment in 2001, VIPP has driven average local content levels of 84 per cent in over 1400 projects, worth over 27 billion to the Victorian economy. This represents more than $23.1 billion in local content including more than $615 million in import replacement orders facilitated directly by ICN.
A review of the VIPP in 2008 led to the Government committing to a number of changes which were announced in the Victorian Industry & Manufacturing Strategy, Building Our Industries for the Future, in November 2008.
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Advantages of the VIPP
The intent of the VIPP is that it will foster industry development by encouraging bidders to genuinely and systematically consider local (Australian and New Zealand) SME suppliers when preparing their tenders.
Fair Trading
The VIPP aims to give local companies a fair opportunity to participate in major Victorian Government procurements and projects, it is not protectionist and does not involve price preferencing. The primary factor in determining the successful bidder is value for money. It is therefore fully consistent with the Australian Industry Participation Framework and with our international obligations.
Industry Capability Network Victoria (ICN Victoria)
A major partner in the effective implementation of VIPP is the ICN.
ICN is an independent, non-profit organisation funded by the State Government to support local industry. ICN matches the capability of local suppliers and service providers with the requirements of purchasers and project / procurement managers.
By matching buyers with local suppliers, ICN Victoria encourages local sourcing, and assists Australian companies access export opportunities. This promotes the growth and diversification of local businesses.
Over $2 billion in orders has been secured for Victorian industry that may otherwise have been placed off-shore, retaining jobs and investment in Australia.
ICN Victoria provides confidential, unbiased technical service free of charge.
How can ICN Victoria assist?
ICN Victoria works with businesses of all sizes across all industry sectors
- ICN Victoria advises businesses of local and international opportunities that match their capabilities
- Using its comprehensive, national database ICN Victoria can assist purchasers and project managers locate commercially viable local suppliers of products and services
- ICN Victoria facilitates the Victorian Industry Participation Policy (VIPP) on behalf of Government; providing advice, certifying and evaluating bidders’ VIPP plans
- ICN Victoria can also offer advice on the Enhanced Project By-Law Scheme (EPBS) and Tariff Concession Order (TCO) applications for Australian Customs Services
- register your business capability and access project opportunities and suppliers
- find out how to fulfil your VIPP requirements