Travel

Australia-Chile Free Trade Agreement

Chapter 15

Government Procurement

Article 15.1: Definitions

For the purposes of this Chapter:

(a) build-operate-transfer contract and public works concession contract mean any contractual arrangement the primary purpose of which is to provide for the construction or rehabilitation of physical infrastructure, plant, buildings, facilities, or other government owned works and under which, as consideration for a supplier’s execution of a contractual arrangement, a procuring entity grants the supplier, for a specified period of time, temporary ownership or a right to control and operate, and demand payment for, the use of such works for the duration of the contract;

(b) covered procurement means a government procurement of goods, services including construction services, or both:

(i) by any contractual means, including purchase and rental or lease, with or without an option to buy , build-operate-transfer contracts and public works concessions contracts;

(ii) for which the value, as estimated in accordance with Article 15.5 equals or exceeds the relevant threshold specified in Annex 15-A;

(iii) that is conducted by a procuring entity;

(iv) is not excluded from coverage by this Agreement; and

(v) subject to the conditions specified in Annex 15-A;

(c) in writing or written means any expression of information in words, numbers, or other symbols, including electronic expressions, that can be read, reproduced, and stored;

(d) international standard means a standard that has been developed in conformity with the document referenced in Article 7.5 (International Standards – Technical Regulations, Standards and Conformity Assessment Procedures Chapter);

(e) limited tender procedure means a procurement method where the procuring entity contacts a supplier or suppliers of its choice in accordance with Article 15.15;

(f) multi-use list means a list of suppliers that a procuring entity has determined satisfy the conditions for participation in that list and that the procuring entity intends to use more than once;

(g) offset means any condition or undertaking that encourages local development or improves a Party’s balance of payments accounts such as the use of domestic content, the licensing of technology, investment, counter-trade and similar actions or requirements;

(h) open tender procedure means those tendering procedures in which all interested suppliers may submit a tender;

(i) procuring entity means an entity listed in Annex 15-A;

(j) publish means to disseminate information in an electronic or paper medium that is distributed widely and is readily accessible to the general public;

(k) selective tender procedure means those tendering procedures in which the procuring entity determines the suppliers that it will invite to submit tenders;

(l) supplier means a person or group of persons that provides or could provide goods or services to a procuring entity; and

(m) technical specification means a tendering requirement that:

(i) sets out the characteristics of:

(A) goods to be procured, including quality, performance, safety and dimensions, or the processes and methods for their production; or

(B) services to be procured, or the processes or methods for their provision, including any applicable administrative provisions;

(ii) addresses terminology, symbols, packaging, marking or labelling requirements, as they apply to a good or service; or

(iii) sets out conformity assessment procedures prescribed by a procuring entity.

Article 15.2: Scope and Coverage

1. This Chapter applies to any measure adopted or maintained by a Party regarding covered procurement.

2. This Chapter does not apply to:

(a) non-contractual agreements or any form of assistance provided by a Party, including grants, loans, equity infusions, fiscal incentives, subsidies, guarantees, cooperative agreements and sponsorship arrangements;

(b) procurement for the direct purpose of providing foreign assistance;

(c) procurement funded by international grants, loans or other assistance to the extent that the provision of such assistance is subject to conditions inconsistent with this Chapter;

(d) public employment contracts;

(e) procurement of a financial service as defined in Article 12.1(e) (Definitions – Financial Services Chapter).

(f) procurement of goods and services by a procuring entity from another entity of the same Party, or between a procuring entity of a Party and a regional or local government of that Party, where no other supplier has been asked to tender;

(g) procurement of goods and services outside the territory of the procuring Party, for consumption outside the territory of the procuring Party;

(h) procurement funded by grants and/or sponsorship payments received from a person other than a procuring entity of a Party;

(i) procurement of fiscal agency or depository services, liquidation and management services for regulated financial institutions, or services related to the sale, redemption and distribution of public debt, including loans and government bonds, notes, derivatives and other securities; or

(j) the procurement or rental of land, existing buildings or other immovable property or rights thereon where not part of an arrangement for procurement of construction services.

Article 15.3: General Obligations

1. Each Party shall ensure that its procuring entities comply with this Chapter in conducting covered procurements.

2. No procuring entity may prepare, design, or otherwise structure or divide, in any stage of the procurement, any procurement in order to avoid the obligations of this Chapter.

3. Each Party shall apply to covered procurements of goods the rules of origin that it applies in the normal course of trade to those goods.

Article 15.4: National Treatment and Non-Discrimination

1. Each Party shall accord to the goods, services and suppliers of the other Party treatment no less favourable than the most favourable treatment the Party accords to its own goods, services and suppliers.

2. Neither Party may:

(a) treat a locally established supplier less favourably than another locally established supplier on the basis of degree of foreign affiliation or ownership; or

(b) discriminate against a locally established supplier on the basis that the goods or services offered by that supplier for a particular procurement are goods or services of the other Party.

3. For greater clarity, all orders under contracts awarded for covered procurement, such as framework agreements or panel arrangements shall be subject to paragraphs 1 and 2.

4. The provisions of paragraphs 1 and 2 shall not apply to measures concerning customs duties and other charges of any kind imposed on, or in connection with, importation, the method of levying such duties and charges or other import regulations, including restrictions and formalities, and measures affecting trade in services other than measures governing covered procurement.

Article 15.5: Valuation of Contracts

1. In estimating the value of a procurement for the purpose of ascertaining whether it is a covered procurement, a procuring entity shall:

(a) take into account all forms of remuneration, including any premiums, fees, commissions, interest, other revenue streams that may be provided for under the contract and, where the procurement provides for the possibility of option clauses, the maximum total value of the procurement, inclusive of optional purchases; and

(b) without prejudice to paragraph 2, where the procurement is to be conducted in multiple parts, with contracts to be awarded at the same time or over a given period to one or more suppliers, base its calculation on the total maximum value of the procurement over its entire duration.

2. In the case of procurement by lease, rental, or hire purchase of goods or services, or procurement for which a total price is not specified, a procuring entity shall estimate the value on the basis of objective criteria or apply the following basis of valuation:

(a) in the case of a fixed-term contract:

(i) where the term of the contract is 12 months or less, the total estimated maximum value for its duration; or

(ii) where the term of the contract exceeds 12 months, the total estimated maximum value, including any estimated residual value;

(b) where the contract is for an indefinite period, the estimated monthly instalment multiplied by 48; and

(c) where it is not certain whether the contract is to be a fixed-term contract subparagraph (b) shall be used.

3. Where the total estimated maximum value of a procurement over its entire duration is not known the procurement shall be a covered procurement, unless otherwise excluded under this Agreement.

Article 15.6: Prohibition of Offsets

A Party shall not seek, take account of, impose, or enforce offsets at any stage of a covered procurement.

Article 15.7: Publication of Procurement Measures

Each Party shall promptly publish its procurement laws, regulations, procedures and policy guidelines of general application relating to covered procurements, and any changes or additions to this information.

Article 15.8: Publication of Notice of Intended Procurement

1. In an open tendering procedure, a procuring entity shall publish a notice inviting interested suppliers to submit tenders (“notice of intended procurement”) in such a way as to be readily accessible to any interested supplier of the other Party for the entire period established for tendering.

2. Each notice of intended procurement shall include a description of the intended procurement, any conditions that suppliers must fulfil to participate in the procurement, the name of the procuring entity, the address where suppliers may obtain all documents relating to the procurement and the time limits for submission of tenders.

3. Where, in a selective tendering procedure, a procuring entity publishes a notice inviting applications for participation in a procurement, that notice shall be published in such a way as to be readily accessible to any interested supplier of the other Party.

Article 15.9: Procurement Plans

Each Party shall encourage its procuring entities to publish, prior to, or as early as possible in, each fiscal year, a notice regarding their procurement plans for that fiscal year that includes a description of each planned procurement and indicate the expected time of commencement of the related tender process.

Article 15.10: Time Limits

1. A procuring entity shall prescribe time limits for tendering that allow sufficient time for suppliers to prepare and submit responsive tenders, taking into account the nature and complexity of the procurement and the efficient operation of the procurement process. The time allowed for the submission of tenders shall not be set with the intention of causing a competitive disadvantage for suppliers of the other Party, or suppliers offering goods or services of the other Party, in submitting tenders in accordance with the requirements set out in the tender documentation.

2. Except as provided for in paragraphs 3 and 4, a procuring entity shall provide that the final date for the submission of tenders shall not be less than 30 days:

(a) from the date on which the notice of intended procurement is published; or

(b) where the procuring entity has used selective tendering, from the date on which the entity invites suppliers to submit tenders.

3. Under the following circumstances, a procuring entity may establish a time limit for tendering that is less than 30 days, provided that such time limit is sufficiently long to enable suppliers to prepare and submit responsive tenders and is in no case less than 10 days:

(a) where the procuring entity published a separate notice, including a notice of planned procurement under Article 15.9 at least 30 days and not more than 12 months in advance, and such separate notice contains:

(i) a description of the procurement;

(ii) the time limits for the submission of tenders or, where appropriate, applications for participation in a procurement; and

(iii) the address from which documents relating to the procurement may be obtained;

(b) where the procuring entity procures commercial goods or services that are sold or offered for sale to, and customarily purchased and used by, non-governmental buyers for non-governmental purposes, including goods and services with modifications customary in the commercial marketplace, as well as minor modifications not customarily available in the commercial marketplace;

(c) in the case of second or subsequent publication of notices for procurement of a recurring nature;

(d) where a state of urgency duly substantiated by the procuring entity renders impracticable the time limits specified in paragraph 2; or

(e) when the intended procurement is for goods or services which can be easily and objectively specified and which reasonably imply less effort in the preparation and submission of responsive tenders.

4. A procuring entity may reduce the time limit for submission of a tender by up to five days when it:

(a) publishes a notice of intended procurement in an electronic medium; or

(b) in the context of a selective tendering procedure, issues an invitation to tender via an electronic medium;

and provides, to the extent practicable, the tender documentation via an electronic medium.

5. The application of paragraph 4 shall in no case result in the time limit for submissions being reduced to less than 10 days.

6. A procuring entity shall require all participating suppliers to submit tenders in accordance with a common deadline.

Article 15.11: Tender Documentation

1. A procuring entity shall provide on request to any supplier participating in a covered procurement or promptly publish, tender documentation that includes all the information necessary to permit suppliers to prepare and submit responsive tenders. The documentation shall include all criteria that the procuring entity will consider in awarding the contract.

2. Where a procuring entity, during the course of a covered procurement, modifies a notice or tender documentation provided to participating suppliers, it shall publish or transmit all such modifications in writing:

(a) to all suppliers that are participating in the procurement at the time the notice or tender documentation is modified, if the identities of such suppliers are known, and in all other cases, in the same manner as the original information was transmitted; and

(b) in adequate time to allow such suppliers to modify and re-submit their tenders, as appropriate.

3. A procuring entity shall promptly reply to any reasonable request for relevant information by a supplier participating in the procurement. A procuring entity may establish a reasonable time limit to request the relevant information.

4. Procuring entities shall not provide information with regard to a specific procurement in a manner which would have the effect of giving a potential supplier an unfair advantage over competitors.

Article 15.12: Technical Specifications

1. A procuring entity shall not prepare, adopt or apply any technical specification with the purpose or the effect of creating unnecessary obstacles to trade between the Parties.

2. In prescribing the technical specifications for the good or service being procured, a procuring entity shall:

(a) specify the technical specifications, wherever appropriate, in terms of performance and functional requirements, rather than design or descriptive characteristics; and

(b) base the technical specifications on relevant international standards, where such exist and are applicable to the procuring entity, except where the use of an international standard would fail to meet the procuring entity’s program requirements or would impose greater burdens than the use of a recognised national standard.

3. A procuring entity shall not prescribe technical specifications that require or refer to a particular trade mark or trade name, patent, copyright, design or type, specific origin or producer or supplier, unless there is no other sufficiently precise or intelligible way of otherwise describing the procurement requirements and provided that, in such cases, words such as “or equivalent” are included in the tender documentation.

4. A procuring entity shall not seek or accept, in a manner that would have the effect of precluding competition, advice that may be used in the preparation or adoption of any technical specification for a specific procurement from a person that may have a commercial interest in that procurement.

5. Notwithstanding paragraph 4, a procuring entity may:

(a) conduct market research in developing specifications for a particular procurement; or

(b) allow a supplier that has been engaged to provide design or consulting services to participate in procurements related to such services;

provided it would not give any supplier an unfair advantage over other suppliers.

6. For greater clarity, this Article is not intended to preclude a procuring entity from preparing, adopting, or applying technical specifications to promote the conservation of natural resources and the environment.

Article 15.13: Conditions for Participation

1. A Party shall limit any conditions for participation in a covered procurement to those that ensure the supplier’s capability to fulfil the requirements of the procurement.

2. In assessing whether a supplier satisfies the conditions for participation, a Party:

(a) shall evaluate the capabilities of a supplier on the basis of that supplier’s business activities both inside and outside the territory of the Party of the procuring entity;

(b) shall base its determination solely on the conditions that a procuring entity has specified in advance in notices or tender documentation;

(c) may not impose the condition that, in order for a supplier to participate in a procurement, the supplier has previously been awarded one or more contracts by a procuring entity of that Party or that the supplier has prior work experience in the territory of that Party; and

(d) may require prior experience where relevant to meet the requirements of the procurement.

3. Nothing in this Article shall preclude a Party from excluding a supplier from a procurement on grounds such as:

(a) bankruptcy;

(b) false declarations; or

(c) significant or persistent deficiencies in performance of any substantive requirement or obligation under a prior contract.

4. Where a Party requires suppliers to register or pre-qualify before being permitted to participate in a covered procurement that Party shall ensure that a notice inviting suppliers to apply for registration or pre-qualification is published sufficiently in advance of the procurement to allow for interested suppliers, including suppliers of the other Party, to initiate and, to the extent that it is compatible with the efficient operation of the procurement process, complete the registration or qualification procedures.

5. The process of, and the time required for, registering or qualifying suppliers shall not be used in order to prevent or delay the inclusion of suppliers of the other Party on a list of suppliers or prevent such suppliers from being considered for a particular procurement.

6. A Party may establish a multi-use list provided that it publishes, annually or continuously, a notice inviting interested suppliers to apply for inclusion on the list. The notice shall include:

(a) a description of the goods and services, or categories thereof, for which the list may be used;

(b) the requirements to be satisfied by suppliers;

(c) the name and address of the procuring entity or other government agency and other information necessary to contact the procuring entity and obtain all relevant documents relating to the list; and

(d) deadlines for submission of applications for inclusion on that list, where applicable.

7. A Party that maintains a multi-use list shall include on the list all suppliers that satisfy the requirements set out in the notice referred to in paragraph 6 within a reasonably short time.

Article 15.14: Tendering Procedures

1. A procuring entity shall only use open or selective tendering procedures consistent with the provisions of this Chapter, except as provided for in Article 15.15.

2. A procuring entity may use selective tendering procedures in accordance with Article 15.4 and the procurement laws, regulations, procedures and policies of its Party.

3. To ensure effective competition under selective tendering procedures, a procuring entity shall invite tenders from the largest number of domestic suppliers and suppliers of the other Party that is consistent with the efficient operation of the procurement system. It shall select the suppliers to participate in the procedure in a fair and non-discriminatory manner.

Article 15.15: Limited Tendering

1. Provided that it does not use this provision for the purpose of avoiding competition, to protect domestic suppliers or in a manner that discriminates against suppliers of the other Party, a procuring entity may use limited tendering procedures.

2. When a procuring entity applies limited tendering it may choose, according to the nature of the procurement, not to apply Articles 15.8, 15.10, 15.11, 15.12, 15.13, 15.14, 15.16.1 and 15.16.3 to 15.16.6. A procuring entity may use limited tendering only under the following circumstances:

(a) where, in response to a prior notice, invitation to participate, or invitation to tender:

(i) no tenders were submitted or no suppliers requested participation;

(ii) no tenders were submitted that conform to the essential requirements in the tender documentation; or

(iii) no suppliers satisfied the conditions for participation;

and the procuring entity does not substantially modify the essential requirements of the procurement;

(b) where, for works of art, or for reasons connected with the protection of exclusive rights, such as patents or copyrights, or proprietary information, or where there is an absence of competition for technical reasons, the goods or services can be supplied only by a particular supplier and no reasonable alternative or substitute exists;

(c) for additional deliveries by the original supplier or its authorised agent that are intended either as replacement parts, extensions, or continuing services for existing equipment, software, services or installations, where a change of supplier would compel the procuring entity to procure goods or services not meeting requirements of interchangeability with existing equipment, software, services, or installations;

(d) for goods purchased on a commodity market;

(e) where a procuring entity procures a prototype or a first good or service that is intended for limited trial or developed at its request in the course of, and for, a particular contract for research, experiment, study, or original development;

(f) where additional construction services that were not included in the initial contract but that were within the objectives of the original tender documentation have, due to unforeseen circumstances, become necessary to complete the construction services described therein. However, the total value of contracts awarded for additional construction services may not exceed 50 per cent of the amount of the initial contract;

(g) for new construction services consisting of the repetition of similar construction services that conform to a basic project for which an initial contract was awarded following use of open tendering or selective tendering in accordance with this Chapter, and for which the procuring entity has indicated in the notice of intended procurement concerning the initial construction service that limited tendering procedures might be used in awarding contracts for such new construction services;

(h) for purchases made under exceptionally advantageous conditions that only arise in the very short term, such as from unusual disposals, unsolicited innovative proposals, liquidation, bankruptcy or receivership and not for routine purchases from regular suppliers;

(i) where a contract is awarded to the winner of a design contest provided that:

(i) the contest has been organised in a manner that is consistent with this Chapter, and

(ii) the contest is judged by an independent jury with a view to a design contract being awarded to the winner; or

(j) in so far as is strictly necessary where, for reasons of extreme urgency brought about by events unforeseen by the procuring entity, the goods or services could not be obtained in time by means of an open or selective tendering procedure.

3. A procuring entity shall maintain a record or prepare a written report providing specific justification for any contract awarded by means other than open or selective tendering procedures, as provided for in this Article.

Article 15.16: Treatment of Tenders and Awarding of Contracts

1. A procuring entity shall receive and open all tenders under procedures that guarantee the fairness and impartiality of the procurement process.

2. A procuring entity shall treat all tenders in confidence to the extent permitted by its domestic law. In particular, it shall not provide information to particular suppliers that might prejudice fair competition between suppliers.

3. A procuring entity shall not penalise any supplier whose tender is received after the time specified for receiving tenders if the delay is due solely to mishandling on the part of the procuring entity.

4. A procuring entity shall require that in order to be considered for award, a tender must be submitted in writing and must, at the time it is submitted, conform to the essential requirements of the tender documentation.

5. Unless a procuring entity determines that it is not in the public interest to award a contract, it shall award the contract to the supplier that the procuring entity has determined to satisfy the conditions for participation and whose tender is determined to be the most advantageous or best value for money, in accordance with the requirements and evaluation criteria specified in the notices and tender documentation.

6. A procuring entity shall not cancel a procurement or modify awarded contracts in order to avoid the obligations of this Chapter.

Article 15.17: Information on Awards

1. A procuring entity shall promptly inform suppliers participating in a tendering procedure of its contract award decision. On request, a procuring entity shall provide a supplier whose tender was not selected for award the reasons for not selecting its tender.

2. Each Party shall require its procuring entities either to promptly publish, or to publish no later than 60 days after award of a contract, a notice that includes at least the following information about the award:

(a) the name of the procuring entity;

(b) a description of the goods or services procured;

(c) the value of the contract award; and

(d) the name of the winning supplier.

3. A procuring entity shall maintain records and reports of tendering procedures relating to covered procurements, including the reports provided for in Article15.15.3, and shall retain such records and reports for a period of at least three years.

Article 15.18: Domestic Review of Supplier Challenges

1. Each Party shall maintain at least one impartial administrative or judicial authority that is independent of its procuring entities to receive and review, in a non-discriminatory, timely, transparent and effective manner, complaints that suppliers submit, in accordance with the Party’s law, relating to a covered procurement. Where such an authority is not a court it shall either be subject to judicial review or shall have procedural guarantees similar to those of a court.

2. Each Party shall make information on complaint mechanisms generally available.

Article 15.19: Modifications and Rectifications

1. A Party may modify its coverage under this Chapter provided that it:

(a) notifies the other Party in writing and simultaneously offers acceptable compensatory adjustments to the other Party to maintain a level of coverage comparable to that existing prior to the modification, except as provided in paragraphs 2 and 3; and

(b) the other Party does not object in writing within 30 days of the notification.

2. Each Party may make rectifications of a purely formal nature to its coverage under this Chapter, or minor amendments to its Schedule in Annex 15-A provided that it notifies the other Party in writing and the other Party does not object in writing within 30 days of the notification. A Party that makes such a rectification or minor amendment need not provide compensatory adjustments.

3. A Party need not provide compensatory adjustments in those circumstances where the Parties agree that the proposed modification covers an entity over which a Party has effectively eliminated its control or influence. Where the Parties do not agree that such government control or influence has been effectively eliminated, the objecting Party may request further information or consultations with a view to clarifying the nature of any government control or influence and reaching agreement on the entity’s continued coverage under this Chapter.

4. Where appropriate, the Joint FTA Committee shall adopt the modification, rectification or minor amendment notified by the Party concerned.

Article 15.20: Confidential Information

When a person of a Party makes available confidential information to the other Party or its procuring entities, the latter Party shall ensure that such information is kept confidential and is not used for a purpose other than that for which it was made available. However, disclosure of confidential information may occur where a Party or its procuring entities are required to make disclosure under its domestic law or where disclosure is authorised by the person that furnished the information.

Article 15.21: Encouraging use of Electronic Communications

in Procurement

1. The Parties shall seek to provide opportunities for government procurement to be undertaken through the Internet or a comparable computer-based telecommunications network.

2. In order to facilitate commercial opportunities for their suppliers under this Chapter, each Party shall maintain a single electronic portal for accessing information on government procurement supply opportunities in its territory and on measures relating to government procurement.

3. The Parties shall encourage, to the extent possible, the use of electronic means for the provision of tender documents and receipt of tenders.

4. The Parties shall ensure that policies and procedures adopted for the use of electronic means in procurement:

(a) protect documentation from unauthorised and undetected alteration; and

(b) provide appropriate levels of security for data on, and passing through, the procuring entity’s network.

5. Each Party shall encourage its procuring entities to publish the notices covered by Article 15.9 on a website accessible through the electronic portal referred to in paragraph 2.

Article 15.22: Ensuring Integrity in Procurement Practices

Each Party shall ensure that criminal or administrative penalties exist to address corruption in its government procurement, and that its entities have in place policies and procedures to eliminate, to the extent possible, any potential conflict of interest on the part of those engaged in or having influence over a procurement.

Article 15.23: Exceptions

1. Provided that such measures are not applied in a manner that would constitute a means of arbitrary or unjustifiable discrimination between Parties where the same conditions prevail or a disguised restriction on trade between the Parties, nothing in this Chapter shall be construed to prevent a Party from adopting or maintaining measures:

(a) necessary to protect public morals, order or safety;

(b) necessary to protect human, animal, or plant life or health;

(c) necessary to protect intellectual property; or

(d) relating to goods or services of handicapped persons, of philanthropic or not for profit institutions, or of prison labour.

2. The Parties understand that subparagraph (b) includes environmental measures necessary to protect human, animal, or plant life or health.

3. Further to Article 22.2 (Security Exceptions – General Provisions and Exceptions Chapter), nothing in this Chapter shall be construed to prevent a Party from taking any action which it considers necessary for the protection of its essential security interests relating to government procurement indispensable for national security or for national defence purposes.

Article 15.24: Consultations on Government Procurement

1. Each Party shall use the contact point referred in Chapter 19 (Transparency). The contact point shall be included in all communications between the Parties made pursuant to this Article.

2. For the purpose of this Article each Party shall reply to any request from the other party for an explanation of any matter relating to the application of this Chapter, including matters related to its procurement laws, regulations and policy guidelines.

3. The Parties shall exchange information relating to the development and use of electronic communication in government procurement systems, shall exchange statistics and other information; and shall make efforts to increase understanding of their respective government procurement systems. The Parties shall also exchange information on their respective approaches to maximise access for small and medium enterprises to the government procurement market.

4. As provided for in Article 15.19, each Party shall inform the other Party of any developments which may modify its coverage under this Chapter.

Article 15.25: Further Negotiations

On request of either Party, the Parties shall enter into negotiations with a view to extending coverage under this Chapter on a reciprocal basis, if a Party provides, through an international agreement entered into after entry into force of this Agreement, access to its procurement market for suppliers of a non-Party beyond what it provides under this Agreement to suppliers of the other Party.

Annex 15-A

Section 1: Central Government Entities

1. This Chapter applies to central government entities listed in each Party’s Schedule to this Section where the value of the procurement is estimated, in accordance with Article 15.5, to equal or exceed the thresholds specified below:

(a)for procurement of goods and services: A$87,000 or CLP$35,911,000

(b) for procurement of construction services: A$9,570,000 or CLP$3,940,806,000

2. The monetary thresholds set out in paragraph 1 shall be adjusted in accordance with Section 8 of this Annex

Schedule of Australia1,2

1. Agriculture, Fisheries and Forestry Portfolio

Department of Agriculture, Fisheries and Forestry

Dairy Adjustment Authority

Biosecurity Australia

2. Attorney-General’s Portfolio

Attorney-General’s Department

Administrative Appeals Tribunal

Australian Crime Commission

Australian Customs Service

Australian Federal Police

AUSTRAC

CrimTrac Agency

Family Court of Australia

Federal Court of Australia

Federal Magistrates Court

Human Rights and Equal Opportunity Commission

Insolvency and Trustee Service Australia (ITSA)

National Capital Authority

National Native Title Tribunal

Office of Parliamentary Counsel

Office of the Director of Public Prosecutions

3. Broadband, Communications and the Digital Economy Portfolio

Department of Broadband, Communications and the Digital Economy

4. Defence Portfolio

Department of Defence3

Department of Veterans’ Affairs

Defence Materiel Organisation3

5. Education, Employment and Workplace Relations Portfolio

Department of Education, Employment and Workplace Relations

Australian Industrial Registry

Seafarers Safety, Rehabilitation and Compensation Authority (Seacare Authority)

Office of the Workplace Ombudsman

Workplace Authority

6. Environment, Heritage and the Arts Portfolio

Department of Environment, Water, Heritage and the Arts

Bureau of Meteorology

7. Families, Housing, Community Services and Indigenous Affairs Portfolio

Department of Families, Housing, Community Services and Indigenous Affairs

Equal Opportunity for Women in the Workplace Agency

8. Finance and Deregulation Portfolio

Department of Finance and Deregulation

Australian Electoral Commission

Australian Reward Investment Alliance4

ComSuper

9. Foreign Affairs and Trade Portfolio

Department of Foreign Affairs and Trade

AusAid

Australian Centre for International Agricultural Research

10. Health and Ageing Portfolio5

Department of Health and Ageing

Australian Radiation Protection and Nuclear Safety Agency (ARPANSA)

National Blood Authority

Professional Services Review Scheme

11. Human Services Portfolio

Department of Human Services

Centrelink

12. Infrastructure, Transport, Regional Development and Local Government Portfolio

Department of Infrastructure, Transport, Regional Development and Local Government

13. Immigration and Citizenship Portfolio

Department of Immigration and Citizenship

Migration Review Tribunal and Refugee Review Tribunal

14. Innovation, Industry, Science and Research Portfolio

Department of Innovation, Industry, Science and Research

Australian Research Council

IP Australia

15. Prime Minister and Cabinet Portfolio

Department of the Prime Minister and Cabinet

Australian National Audit Office

Australian Public Service Commission

Office of the Commonwealth Ombudsman

Office of the Inspector-General of Intelligence and Security

Office of the Official Secretary of the Governor-General

Office of the Privacy Commissioner

Office of the Renewable Energy Regulator
National Archives of Australia

16. Resources, Energy and Tourism Portfolio

Department of Resources, Energy and Tourism

Geoscience Australia

17. Treasury Portfolio

Department of the Treasury

Australian Bureau of Statistics

Australian Competition and Consumer Commission

Australian Office of Financial Management (AOFM)

Australian Taxation Office

Commonwealth Grants Commission

Inspector General of Taxation

National Competition Council

Productivity Commission
Royal Australian Mint

18. Parliamentary Departments

Department of the House of Representatives

Department of the Senate

Department of Parliamentary Services

Notes to the Schedule of Australia

1. This Chapter covers only those entities subordinate to the relevant portfolio which are listed in this Schedule.

2. This Chapter does not cover the procurement of motor vehicles by any entity listed in this Section.

3. Department of Defence and Defence Materiel Organisation

(a) This Chapter does not cover the procurement of the following goods due to Article 15.23:

Approximately equivalent to:

Weapons

FSC 10

Fire Control Equipment

FSC 12

Ammunition and Explosives

FSC 13

Guided Missiles

FSC 14

Aircraft and Airframe Structural Components

FSC 15

Aircraft Components and Accessories

FSC 16

Aircraft Launching, Landing & Ground Handling Equipment

FSC 17

Space Vehicles

FSC 18

Ships, Small Craft, Pontoons and Floating Docks

FSC 19

Ship and Marine Equipment

FSC 20

Ground Effect Vehicles, Motor Vehicles, Trailers and Cycles

FSC 23

Engines, Turbines and Components

FSC 28

Engines Accessories

FSC 29

Bearings

FSC 31

Water Purification and Sewage Treatment Equipment

FSC 46

Valves

FSC 48

Maintenance and Repair Shop Equipment

FSC 49

Prefabricated Structures and Scaffolding

FSC 54

Communication, Detection and Coherent Radiation Equipment

FSC 58

Electrical and Electronic Equipment Components

FSC 59

Fiber Optics Materials, Components, Assemblies and Accessories

FSC 60

Electric Wire, and Power and Distribution Equipment

FSC 61

Alarm, Signal and Security Detection Systems

FSC 63

Instruments and Laboratory Equipment

FSC 66

Specialty Metals

No Code

NB: Whether a good is included within the scope of this Note shall be determined solely according to the descriptions provided in the left column above. United States Federal Supply Codes (FSC) are provided for reference purposes only. (For a complete listing of the United States Federal Supply Codes, to which the Australian categories are approximately equivalent, see https://www.fbo.gov).

(b) For Australia, this Chapter does not cover the following services, as elaborated in the Common Classification System and the WTO system of classification – MTN.GNS/W/120, due to Article 15.23. (For a complete listing of Common Classification System, see: http://www.sice.oas.org/trade/nafta/chap-105.asp):

  • Design, development, integration, test, evaluation, maintenance, repair, modification, rebuilding and installation of military systems and equipment (approximately equivalent to relevant parts of U.S. Product Service Codes A & J);
  • Operation of Government-owned facilities (approximately equivalent to U.S. Product Service Code M);
  • Space services (AR, B4 & V3); and
  • Services in support of military forces overseas.

(c) This Chapter does not cover the procurement of goods and services by, or on behalf of, the Defence Intelligence Organisation, the Defence Signals Directorate or the Defence Imagery and Geospatial Organisation.

(d) In respect of Article 15.4, the Australian Government reserves the right, pursuant to Article 15.23, to maintain the Australian Industry Involvement program and its successor programs and policies.

4. Department of Finance and Deregulation

This Chapter does not cover procurement by the Australian Reward Investment Alliance of investment management, investment advisory or master custody and safekeeping services for the purposes of managing and investing the assets of Australian Government superannuation funds.

5. Health and Ageing Portfolio

This Chapter does not apply to procurement of health and welfare services.

Schedule of Chile

1. Presidencia de la República
2. Ministerio de Interior
3. Ministerio de Relaciones Exteriores
4. Ministerio de Defensa Nacional
5. Ministerio de Hacienda
6. Ministerio Secretaría General de la Presidencia
7. Ministerio Secretaría General de Gobierno
8. Ministerio de Economía, Fomento y Reconstrucción
9. Ministerio de Minería
10. Ministerio de Planificación y Cooperación
11. Ministerio de Educación
12. Ministerio de Justicia
13. Ministerio de Trabajo y Previsión Social
14. Ministerio de Obras Públicas
15. Ministerio de Transporte y Telecomunicaciones
16. Ministerio de Salud
17. Ministerio de Vivienda y Urbanismo
18. Ministerio de Bienes Nacionales
19. Ministerio de Agricultura
20. Ministerio Servicio Nacional de la Mujer

21. Ministerio de Energía

Gobiernos Regionales

Intendencia Región de Arica y Parinacota
Gobernación de Arica
Gobernación de Parinacota

Intendencia Región de Tarapacá
Gobernación de Iquique

Gobernación de Tamarugal

Intendencia Región de Antofagasta

Gobernación de Antofagasta
Gobernación de Loa
Gobernación de Tocopilla

Intendencia Región de Atacama
Gobernación de Copiapó
Gobernación de Huasco
Gobernación de Chañaral

Intendencia Región de Coquimbo
Gobernación de El Elqui
Gobernación de Limarí
Gobernación de Choapa

Intendencia Región de Valparaíso
Gobernación de Valparaíso
Gobernación de Quillota
Gobernación de San Antonio
Gobernación de San Felipe
Gobernación de Los Andes
Gobernación de Petorca
Gobernación de Isla de Pascua

Intendencia Región del Libertador Bernardo O´Higgins
Gobernación de Cachapoal
Gobernación de Colchagua
Gobernación de Cardenal Caro

Intendencia Región del Maule
Gobernación de Curicó
Gobernación de Talca
Gobernación de Linares
Gobernación de Cauquenes

Intendencia Región del Bío Bío
Gobernación de Concepción
Gobernación de Ñuble
Gobernación de Bío-Bío
Gobernación de Arauco

Intendencia Región de La Araucanía
Gobernación de Cautín

Gobernación de Malleco

Intendencia Región de Los Ríos
Gobernación de Valdivia
Gobernación de Ranco

Intendencia Región de Los Lagos
Gobernación de Llanquihue
Gobernación de Osorno
Gobernación de Chiloé
Gobernación de Palena


Intendencia Región de Aysén del General Carlos Ibañez del Campo
Gobernación de Coihaique
Gobernación de Puerto Aysén
Gobernación de General Carrera

Gobernación de Capitán Prat

Intendencia Región de Magallanes y de la Antártica Chilena

Gobernación de Magallanes
Gobernación de Última Esperanza
Gobernación de Tierra del Fuego
Gobernación de Antártica Chilena

Intendencia Región Metropolitana
Gobernación de Maipo
Gobernación de Cordillera
Gobernación de Talagante
Gobernación de Melipilla
Gobernación de Chacabuco
Gobernación de Santiago

Section 2: Sub-Central Government Entities

1. This Chapter applies to the sub-central government entities listed in each Party’s Schedule to this Section where the value of the procurement is estimated, in accordance with Article 15.5, to equal or exceed:

(a) for procurement of goods and services: A$679,000 or CLP$279,557,000

(b) for procurement of construction services: A$9,570,000 or CLP$3,940,806,000

2. The monetary thresholds set out in paragraph 1 shall be adjusted in accordance with Section 8 of this Annex.

3. This Section covers only those entities specifically listed below.

Schedule of Australia

Australian Capital Territory1 ACT Auditor-General’s Office
ACT Electoral Commission
ACT Gambling and Racing Commission
ACT Health
ACT Human Rights Commission
ACT Insurance Authority
ACT Planning and Land Authority
ACT Planning and Land Council
ACT Workcover
Chief Minister’s Department
Cultural Facilities Corporation
Department of Disability, Housing and Community Services
Department of Education and Training
Department of Justice and Community Safety
Department of Treasury
Territory and Municipal Services
Director of Public Prosecutions
Environment Commissioner
Legal Aid Commission of the ACT
National Exhibition Centre Trust
Ombudsman of the ACT
Independent Competition and Regulatory Commission

Note to the Schedule of Australia

1. For the entities listed for the Australian Capital Territory, this Chapter does not cover the procurement of health and welfare services, education services, utility services or motor vehicles.

New South Wales1, 2

Notes to the Schedule of Australia

1. For the entities listed for New South Wales, this Chapter does not cover the procurement of health and welfare services, education services or motor vehicles.

2. For the entities listed for New South Wales, this Chapter does not apply to procurements undertaken by a covered entity on behalf of a non-covered entity.

Northern Territory1

Note to the Schedule of Australia

1. For the entities listed for the Northern Territory, this Chapter does not cover set-asides on behalf of the Charles Darwin University pursuant to Partnership Agreements between the Northern Territory Government and Charles Darwin University.

Queensland1, 2

Notes to the Schedule of Australia

1. For the entities listed for Queensland, this Chapter does not apply to procurements by covered entities on behalf of non-covered entities.

2. For the entities listed for Queensland, this Chapter does not cover the procurement of health and welfare services, education services, government advertising and motor vehicles.

South Australia1

Note to the Schedule of Australia

1. For the entities listed for South Australia, this Chapter does not cover the procurement of health and welfare services, education services, advertising services or motor vehicles.

Tasmania1

Note to the Schedule of Australia

1. For the entities listed for Tasmania, this Chapter does not cover the procurement of health and welfare services, education services or advertising services.

Victoria1, 2


Notes to the Schedule of Australia

1. For the entities listed for Victoria, this Chapter does not cover the procurement of motor vehicles.

2. For the entities listed for Victoria, this Chapter does not apply to procurements by covered entities on behalf of non-covered entities.

Western Australia

Schedule of Chile

  1. Municipalidad de Arica
  2. Municipalidad de Camarones
  3. Municipalidad de Putre
  4. unicipalidad de General Lagos
  5. Municipalidad de Iquique
  6. Municipalidad de Alto Hospicio
  7. Municipalidad de Pozo Almonte
  8. Municipalidad de Camiña
  9. Municipalidad de Colchane
  10. Municipalidad de Huara
  11. Municipalidad de Pica
  12. Municipalidad de Antofagasta
  13. Municipalidad de Mejillones
  14. Municipalidad de Sierra Gorda
  15. Municipalidad de Taltal
  16. Municipalidad de Calama
  17. Municipalidad de Ollagüe
  18. Municipalidad de San Pedro de Atacama
  19. Municipalidad de Tocopilla
  20. Municipalidad de Maria Elena
  21. Municipalidad de Copiapó
  22. Municipalidad de Caldera
  23. Municipalidad de Tierra Amarilla
  24. Municipalidad de Chañaral
  25. Municipalidad de Diego de Almagro
  26. Municipalidad de Vallenar
  27. Municipalidad de Alto del Carmen
  28. Municipalidad de Freirina
  29. Municipalidad de Huasco
  30. Municipalidad de La Serena
  31. Municipalidad de Coquimbo
  32. Municipalidad de Andacollo
  33. Municipalidad de La Higuera
  34. Municipalidad de Paihuano
  35. Municipalidad de Vicuña
  36. Municipalidad de Illapel
  37. Municipalidad de Canela
  38. Municipalidad de Los Vilos
  39. Municipalidad de Salamanca
  40. Municipalidad de Ovalle
  41. Municipalidad de Combarbalá
  42. Municipalidad de Monte Patria
  43. Municipalidad de Punitaqui
  44. Municipalidad de Río Hurtado
  45. Municipalidad de Valparaíso
  46. Municipalidad de Casablanca
  47. Municipalidad de Con – Con
  48. Municipalidad de Juan Fernández
  49. Municipalidad de Puchuncaví
  50. Municipalidad de Quilpué
  51. Municipalidad de Quintero
  52. Municipalidad de Villa Alemana
  53. Municipalidad de Viña del Mar
  54. Municipalidad de Isla de Pascua
  55. Municipalidad de Los Andes
  56. Municipalidad de Calle Larga
  57. Municipalidad de Rinconada
  58. Municipalidad de San Esteban
  59. Municipalidad de La Ligua
  60. Municipalidad de Cabildo
  61. Municipalidad de Papudo
  62. Municipalidad de Petorca
  63. Municipalidad de Zapallar
  64. Municipalidad de Quillota
  65. Municipalidad de La Calera
  66. Municipalidad de Hijuelas
  67. Municipalidad de La Cruz
  68. Municipalidad de Limache
  69. Municipalidad de Nogales
  70. Municipalidad de Olmué
  71. Municipalidad de San Antonio
  72. Municipalidad de Algarrobo
  73. Municipalidad de Cartagena
  74. Municipalidad de El Quisco
  75. Municipalidad de El Tabo
  76. Municipalidad de Santo Domingo
  77. Municipalidad de San Felipe
  78. Municipalidad de Catemu
  79. Municipalidad de Llay – Llay
  80. Municipalidad de Panquehue
  81. Municipalidad de Putaendo
  82. Municipalidad de Santa María
  83. Municipalidad de Rancagua
  84. Municipalidad de Codegua
  85. Municipalidad de Coinco
  86. Municipalidad de Coltauco
  87. Municipalidad de Doñihue
  88. Municipalidad de Graneros
  89. Municipalidad de Las Cabras
  90. Municipalidad de Machalí
  91. Municipalidad de Malloa
  92. Municipalidad de Mostazal
  93. Municipalidad de Olivar
  94. Municipalidad de Peumo
  95. Municipalidad de Pichidegua
  96. Municipalidad de Quinta de Tilcoco
  97. Municipalidad de Rengo
  98. Municipalidad de Requínoa
  99. Municipalidad de San Vicente
  100. Municipalidad de Pichilemu
  101. Municipalidad de La Estrella
  102. Municipalidad de Litueche
  103. Municipalidad de Marchihue
  104. Municipalidad de Navidad
  105. Municipalidad de Paredones
  106. Municipalidad de San Fernando
  107. Municipalidad de Chépica
  108. Municipalidad de Chimbarongo
  109. Municipalidad de Lolol
  110. Municipalidad de Nancagua
  111. Municipalidad de Palmilla
  112. Municipalidad de Peralillo
  113. Municipalidad de Placilla
  114. Municipalidad de Pumanque
  115. Municipalidad de Santa Cruz
  116. Municipalidad de Talca
  117. Municipalidad de Constitución
  118. Municipalidad de Curepto
  119. Municipalidad de Empedrado
  120. Municipalidad de Maule
  121. Municipalidad de Pelarco
  122. Municipalidad de Pencahue
  123. Municipalidad de Río Claro
  124. Municipalidad de San Clemente
  125. Minicipalidad de San Rafael
  126. Municipalidad de Cauquenes
  127. Municipalidad de Chanco
  128. Municipalidad de Pelluhue
  129. Municipalidad de Curicó
  130. Municipalidad de Hualañé
  131. Municipalidad de Licantén
  132. Municipalidad de Molina
  133. Municipalidad de Rauco
  134. Municipalidad de Romeral
  135. Municipalidad de Sagrada Familia
  136. Municipalidad de Teno
  137. Municipalidad de Vichuquén
  138. Municipalidad de Linares
  139. Municipalidad de Colbún
  140. Municipalidad de Longaví
  141. Municipalidad de Parral
  142. Municipalidad de Retiro
  143. Municipalidad de San Javier
  144. Municipalidad de Villa Alegre
  145. Municipalidad de Yerbas Buenas
  146. Municipalidad de Concepción
  147. Municipalidad de Coronel
  148. Municipalidad de Chiguayante
  149. Municipalidad de Florida
  150. Municipalidad de Hualqui
  151. Municipalidad de Lota
  152. Municipalidad de Penco
  153. Municipalidad de San Pedro de La Paz
  154. Municipalidad de Santa Juana
  155. Municipalidad de Talcahuano
  156. Municipalidad de Tomé
  157. Minicipalidad de Hualpén
  158. Municipalidad de Lebu
  159. Municipalidad de Arauco
  160. Municipalidad de Cañete
  161. Municipalidad de Contulmo
  162. Municipalidad de Curanilahue
  163. Municipalidad de Los Alamos
  164. Municipalidad de Tirúa
  165. Municipalidad de Los Angeles
  166. Municipalidad de Antuco
  167. Municipalidad de Cabrero
  168. Municipalidad de Laja
  169. Municipalidad de Mulchén
  170. Municipalidad de Nacimiento
  171. Municipalidad de Negrete
  172. Municipalidad de Quilaco
  173. Municipalidad de Quilleco
  174. Municipalidad de San Rosendo
  175. Municipalidad de Santa Bárbara
  176. Municipalidad de Tucapel
  177. Municipalidad de Yumbel
  178. Municipalidad de Alto Bío Bío
  179. Municipalidad de Chillán
  180. Municipalidad de Bulnes
  181. Municipalidad de Cobquecura
  182. Municipalidad de Coelemu
  183. Municipalidad de Coihueco
  184. Municipalidad de Chillán Viejo
  185. Municipalidad de El Carmen
  186. Municipalidad de Ninhue
  187. Municipalidad de Ñiquén
  188. Municipalidad de Pemuco
  189. Municipalidad de Pinto
  190. Municipalidad de Portezuelo
  191. Municipalidad de Quillón
  192. Municipalidad de Quirihue
  193. Municipalidad de Ranquil
  194. Municipalidad de San Carlos
  195. Municipalidad de San Fabián
  196. Municipalidad de San Ignacio
  197. Municipalidad de San Nicolás
  198. Municipalidad de Trehuaco
  199. Municipalidad de Yungay
  200. Municipalidad de Temuco
  201. Municipalidad de Carahue
  202. Municipalidad de Cunco
  203. Municipalidad de Curarrehue
  204. Municipalidad de Freire
  205. Municipalidad de Galvarino
  206. Municipalidad de Gorbea
  207. Municipalidad de Lautaro
  208. Municipalidad de Loncoche
  209. Municipalidad de Melipeuco
  210. Municipalidad de Nueva Imperial
  211. Municipalidad de Padre de Las Casas
  212. Municipalidad de Perquenco
  213. Municipalidad de Pitrufquén
  214. Municipalidad de Pucón
  215. Municipalidad de Saavedra
  216. Municipalidad de Teodoro Schmidt
  217. Municipalidad de Toltén
  218. Municipalidad de Vilcún
  219. Municipalidad de Villarrica
  220. Municipalidad de Cholchol
  221. Municipalidad de Angol
  222. Municipalidad de Collipulli
  223. Municipalidad de Curacautín
  224. Municipalidad de Ercilla
  225. Municipalidad de Lonquimay
  226. Municipalidad de Los Sauces
  227. Municipalidad de Lumaco
  228. Municipalidad de Purén
  229. Municipalidad de Renaico
  230. Municipalidad de Traiguén
  231. Municipalidad de Victoria
  232. Municipalidad de Valdivia
  233. Municipalidad de Corral
  234. Municipalidad de Lanco
  235. Municipalidad de Los Lagos
  236. Municipalidad de Mafil
  237. Municipalidad de Mariquina
  238. Municipalidad de Paillaco
  239. Municipalidad de Panguipulli
  240. Municipalidad de La Unión
  241. Municipalidad de Futrono
  242. Municipalidad de Lago Ranco
  243. Municipalidad de Río Bueno
  244. Municipalidad de Puerto Montt
  245. Municipalidad de Calbuco
  246. Municipalidad de Cochamó
  247. Municipalidad de Fresia
  248. Municipalidad de Frutillar
  249. Municipalidad de Los Muermos
  250. Municipalidad de Llanquihue
  251. Municipalidad de Maullín
  252. Municipalidad de Puerto Varas
  253. Municipalidad de Castro
  254. Municipalidad de Ancud
  255. Municipalidad de Chonchi
  256. Municipalidad de Curaco de Velez
  257. Municipalidad de Dalcahue
  258. Municipalidad de Puqueldón
  259. Municipalidad de Queilén
  260. Municipalidad de Quellón
  261. Municipalidad de Quemchi
  262. Municipalidad de Quinchao
  263. Municipalidad de Osorno
  264. Municipalidad de Puerto Octay
  265. Municipalidad de Purranque
  266. Municipalidad de Puyehue
  267. Municipalidad de Río Negro
  268. Municipalidad de San Juan de La Costa
  269. Municipalidad de San Pablo
  270. Municipalidad de Chaitén
  271. Municipalidad de Futaleufú
  272. Municipalidad de Hualaihue
  273. Municipalidad de Palena
  274. Municipalidad de Coyhaique
  275. Municipalidad de Lago Verde
  276. Municipalidad de Aysén
  277. Municipalidad de Cisnes
  278. Municipalidad de Guaitecas
  279. Municipalidad de Cochrane
  280. Municipalidad de O’Higgins
  281. Municipalidad de Tortel
  282. Municipalidad de Chile Chico
  283. Municipalidad de Río Ibañez
  284. Municipalidad de Punta Arenas
  285. Municipalidad de Laguna Blanca
  286. Municipalidad de Río Verde
  287. Municipalidad de San Gregorio
  288. Municipalidad Cabo de Hornos (Ex Navarino)
  289. Municipalidad Antártica
  290. Municipalidad de Porvenir
  291. Municipalidad de Primavera
  292. Municipalidad de Timaukel
  293. Municipalidad de Natales
  294. Municipalidad de Torres del Paine
  295. Municipalidad de Santiago
  296. Municipalidad de Cerrillos
  297. Municipalidad de Cerro Navia
  298. Municipalidad de Conchalí
  299. Municipalidad de El Bosque
  300. Municipalidad de Estación Central
  301. Municipalidad de Huechuraba
  302. Municipalidad de Independencia
  303. Municipalidad de La Cisterna
  304. Municipalidad de La Florida
  305. Municipalidad de La Granja
  306. Municipalidad de La Pintana
  307. Municipalidad de La Reina
  308. Municipalidad de Las Condes
  309. Municipalidad de Lo Barnechea
  310. Municipalidad de Lo Espejo
  311. Municipalidad de Lo Prado
  312. Municipalidad de Macul
  313. Municipalidad de Maipú
  314. Municipalidad de Ñuñoa
  315. Municipalidad de Pedro Aguirre Cerda
  316. Municipalidad de Peñalolen
  317. Municipalidad de Providencia
  318. Municipalidad de Pudahuel
  319. Municipalidad de Quilicura
  320. Municipalidad de Quinta Normal
  321. Municipalidad de Recoleta
  322. Municipalidad de Renca
  323. Municipalidad de San Joaquín
  324. Municipalidad de San Miguel
  325. Municipalidad de San Ramón
  326. Municipalidad de Vitacura
  327. Municipalidad de Puente Alto
  328. Municipalidad de Pirque
  329. Municipalidad de San José de Maipo
  330. Municipalidad de Colina
  331. Municipalidad de Lampa
  332. Municipalidad de Til Til
  333. Municipalidad de San Bernardo
  334. Municipalidad de Buin
  335. Municipalidad de Calera de Tango
  336. Municipalidad de Paine
  337. Municipalidad de Melipilla
  338. Municipalidad de Alhué
  339. Municipalidad de Curacaví
  340. Municipalidad de Maria Pinto
  341. Municipalidad de San Pedro
  342. Municipalidad de Talagante
  343. Municipalidad de El Monte
  344. unicipalidad de Isla de Maipo
  345. Municipalidad de Padre Hurtado
  346. Municipalidad de Peñaflor

Section 3: Other Covered Entities

1. This Chapter applies to entities listed in each Party’s Schedule to this Section where the value of the procurement is estimated, in accordance with Article 15.5, to equal or exceed:

(a) for procurement of goods and services: A$436,000 or CLP$ 179,558,000

(b) for procurement of construction services: A$9,570,000 or CLP$ 3,940,806,000

2. The monetary thresholds set out in paragraph 1 shall be adjusted in accordance with Section 8 of this Annex.

3. This Section covers only those entities specifically listed below.

Schedule of Australia1

Notes to the Schedule of Australia

1. For the entities listed in this schedule, this Chapter does not cover the procurement of motor vehicles.

2. This Chapter does not cover procurement of telecommunications services by the Australian War Memorial.

Schedule of Chile

1. Empresa Portuaria Arica
2. Empresa Portuaria Iquique
3. Empresa Portuaria Antofagasta
4. Empresa Portuaria Coquimbo
5. Empresa Portuaria Valparaíso
6. Empresa Portuaria San Antonio
7. Empresa Portuaria San Vicente Talcahuano
8. Empresa Portuaria Puerto Montt
9. Empresa Portuaria Chacabuco
10. Empresa Portuaria Austral
11. Aeropuertos de propiedad del Estado, dependientes de la Dirección General de Aeronáutica Civil

Section 4: Goods

This Chapter applies to all goods procured by the entities listed in Sections 1 to 3, unless otherwise specified in this Chapter, including this Annex.

Section 5: Services

This Chapter applies to all services procured by the entities listed in Sections 1 to 3, unless otherwise specified in this Chapter, including this Annex.

Schedule of Australia

This Chapter does not cover the procurement of research and development services, plasma fractionation services or government advertising services.

Section 6: Construction Services

This Chapter applies to all construction services procured by the entities listed in Sections 1 to 3, unless otherwise specified in this Chapter, including this Annex.

Schedule of Australia

For the purposes of Articles 15.13.1 and 15.13.2, Australia requires, as a condition for participation in procurement of building and construction services, compliance with the National Code of Practice for the Construction Industry and related implementation guidelines at the central and sub-central government levels, and their successor policies and guidelines. In this respect Australia shall accord to the goods, services and suppliers of Chile, treatment no less favourable than the most favourable treatment it accords to its own goods, services and suppliers.

Schedule of Chile

This Chapter shall not apply to construction services intended for Easter Island (Isla de Pascua).

Note to Section 6

Buy national requirements on articles, supplies or materials acquired for use in construction services contracts covered by this Chapter shall not apply to goods of either Party.

Section 7: General Notes

Unless otherwise specified herein, the following General Notes in each Party’s Schedule apply without exception to this Chapter, including to all sections of this Annex.

Schedule of Australia

This Chapter does not apply to:

(a) any form of preference to benefit small and medium enterprises;

(b) measures to protect national treasures of artistic, historic, or archaeological

value;

(c) measures for the health and welfare of indigenous people; and

(d) measures for the economic and social advancement of indigenous people.

Section 8: Threshold Adjustment Formula

1. The thresholds in Sections 1 to 3 shall be adjusted at two-year intervals with each adjustment taking effect on January 1, beginning January 1, 2010.

2. The thresholds shall be adjusted:

(a) for Australia to align with the adjusted thresholds for equivalent categories of procurement listed in Annex 15-A, Section 1 to 3 of the Australia-United States Free Trade Agreement, expressed in its national currency according to that Agreement; and

(b) for Chile to align with the adjusted thresholds for equivalent categories of procurement listed in Annex 9.1, Section A to C of the Chile-United States Free Trade Agreement, expressed in its national currency according to that Agreement.

3. A Party may round its calculations for adjusted thresholds covered by this section according to the following:

(a) for Australia, to the nearest thousand Australian Dollars; and

(b) for Chile, to the nearest hundred thousand Chilean Pesos.

4. The Parties shall consult if a major change in a national currency vis-à-vis Special Drawing Rights or the other currency during a year were to create a significant problem with regard to the application of the Chapter.

5. In the event that:

(a) Australia withdraws from the Australia-United States Free Trade Agreement pursuant to Article 23.4 of that Agreement; or

(b) Chile withdraws from the Chile-United States Free Trade Agreement pursuant to Article 24.4 of that Agreement; or

(c) The Australia-United States Free Trade Agreement or the Chile-United States Free Trade Agreement are terminated; or

(d) An alteration to the arrangements for determining or adjusting the thresholds referred to in paragraph 2 in either the Australia-United States Free Trade Agreement or the Chile-United States Free Trade Agreement impacts on the operation of this Chapter;

The Joint FTA Committee shall agree revised arrangements for determining or adjusting thresholds with a view to maintaining the balance between the Parties in respect of the thresholds applying to one or more categories of procurement as set out in Sections 1 to 3.

6. Each Party shall notify the other Party of the value of the newly calculated thresholds in its national currency no later than one month before the thresholds take effect.

 

Back to Australia-Chile FTA Table of Contents