Independent review supports retention of Single Seller Arrangements

The DTA has released the strategic review of the whole of Australian Government single seller arrangements which examined the single seller arrangements (SSAs) across a five-year period from 2019 to 2024. The review reaffirmed these contracting frameworks are fit for purpose and remain an effective way for government to leverage its collective buying power to provide value for money outcomes. Over this period, the SSAs secured discounts of more than $1.6 billion for the Australian Government.

The review was conducted by SolsticeIT, an information technology consultant and Small to Medium Enterprise (SME).

“Single Seller Arrangements provide agencies with flexibility and a range of benefits - such as competitive pricing, robust protections, and standardised contracting mechanisms, while securing value for money outcomes for the Australian Government,” commented Nicole Bain, Branch Head of Whole-of-Government Contracts at the DTA.  “However, it is important to reiterate that agencies remain responsible in determining their value for money outcome, in line with the Australian Government’s Commonwealth Procurement Rules, before using these contracting arrangements.”

Benefits include:

• Consistent contractual terms and conditions. With agreements featuring government-aligned terms and conditions that enhance legal compliance, operational efficiency, SSAs benefited all agencies (particularly smaller entities).  
• Enhanced growth of the Australian technology sector. SSAs encourage local employment, investment, skills development, and a range of industry participation across the broader ecosystem.
• Greater efficiency in contracting. By leveraging a single head agreement and a centralised procurement administration tool, SSAs reduced processing times as well as legal costs associated with implementing digital solutions and services for agency buyers.
• Improved ability to maintain critical technology. These arrangements provide agencies with access to critical technologies and staff training, ensuring continuity of essential services.
• Leveraging centralised digital procurement expertise and support services. Government agencies benefit from DTA’s specialist procurement capability and guidance through the centralised SSA model.

Of note, 99% of Australian public servants surveyed across multiple government agencies as part of the review, indicated they would like SSAs to be retained. International jurisdictions also either expressed interest in the model or confirmed they have similar arrangements in place.

Opportunities to strengthen SSAs  

The review highlighted five recommendations to strengthen the effectiveness of the SSAs. A summary of the recommendations is below.

Strengthening the foundations

Buyers have consistently called for simplification of pricing structures and contractual terms to improve efficiency, transparency, and ease of use. The review highlights the importance of introducing clearer cyber and sovereignty requirements to strengthen protections and maintain confidence in the SSA model.

The review also recommends refining terminology and policy settings to ensure greater consistency in their use across government.

Together, these measures would reduce administrative challenges and support better utilisation of government buying power.

Expanding the use of SSAs as a contracting framework

The review recommends publishing principles to guide the consideration and potential establishment for future SSAs, including a framework for adding or removing sellers.  

This will support the DTA in its role, ensuring the digital procurement ecosystem remains fit for purpose and continues to support the government in its digital transformation agenda.  

Proactively leveraging SSAs to support the growth of the Australian technology sector

The review pinpoints recommendations on how to leverage the SSAs to enable broader outcomes for Australian technology industry. This includes improving the use of Commonwealth Industry Participation Plans and the Skills Guarantee targets to support local capability development, skill growth and domestic investment.  

Enhancing transparency and information availability 

The review identifies opportunities for clearer communication and reporting of SSA use. Improved reporting and transparency will maximise the value of SSAs by enabling better monitoring of contract spend, utilisation, and performance.  

This information will help to clarify how the arrangements are to be used and enable agencies to use the arrangements effectively and meet their procurement responsibilities. It will also support informed decision-making, enhance accountability, and drive continuous improvement across government procurement activities.

Strengthening SSA management and strategic insight

The review recommends uplifting existing SSA management by leveraging existing DTA capability to deliver a coordinated, end-to-end approach aligned to the SSA lifecycle.

Improved visibility of products and services actively procured under SSAs, through analysis of invoicing data, will support more informed negotiations, better planning, and stronger alignment with agency needs. This will enhance strategic decision-making and ensure SSAs continue to evolve with agency needs to deliver consistent value across government.

Next steps

“We will be leveraging these insights to ensure Single Seller Arrangements evolve in line with government priorities,” Ms Bain said. “This work will help agencies continue to access value for money outcomes, stronger protections and consistent terms.”  

The findings from the report affirm the SSA’s delivery of stronger protections, better terms and significant discounts for the Australian Government. The DTA will ensure that these arrangements continue to evolve with whole-of-government priorities and meet the needs of both agencies and sellers to facilitate the continuing delivery of long-term benefits for the community.

As part of implementing the recommendations from the review, the DTA will develop of an SSA suitability assessment framework with transparent criteria to consider seller eligibility. This framework will be developed in consultation with a diversity of stakeholders, including the Australian technology sector.

DTA acknowledges and thanks the contributions of stakeholders across government, industry and other jurisdictions. Their input was critical in shaping the findings and ensuring the arrangements meet the needs of both agencies and suppliers.

Explore the full strategic review of the whole of Australian Government single seller arrangements.