22 June 2026
Marcus
[FYI request #34764 email]
Ref: 026-2026EGOIA
Dear Marcus
Thank you for your email of 21 May 2026 to my office requesting, under the Official Information
Act 1982 (the Act), the fol owing information:
I would like to request a copy of the following briefings received in your capacity as
the Minister for Economic Growth:
1. BRIEFING-REQ-0028117 MBIE Artificial Intelligence Work Programme Update
2. BRIEFING-REQ-0029308 Update on Emerging Risks in Plastics Supply Chains
3.
BRIEFING-REQ-0028722 Playcentre Aotearoa's eligibility for Al of Government
Contracts
Please find attached:
•
BRIEFING-REQ-0028117 MBIE Artificial Intelligence Work Programme Update
•
BRIEFING-REQ-0028722 Playcentre Aotearoa's eligibility for Al of Government
Contracts.
Some information has been withheld under the following sections of the Act:
• 9(2)(a), to protect the privacy of natural persons, including that of deceased natural
persons, and
• 9(2)(g)(i), to maintain the effective conduct of public affairs through the free and frank
expression of opinions by or between or to Ministers of the Crown or members of an
organisation or officers and employees of any public service agency or organisation in
the course of their duty.
I am advised that
BRIEFING-REQ-0029308 Update on Emerging Risks in Plastics Supply
Chains is being proactively released by the Ministry of Business, Innovation and Employment
and wil be available
at www.mbie.govt.nz. I am therefore refusing this part of your request
under section 18(d) of the Act, as the information is or soon wil be publicly available.
Some material may be withheld from this briefing under the following grounds:
• 6(a), as the making available of that information would be likely to prejudice the security
or defence of New Zealand or the international relations of the Government of New
Zealand;
• 9(2)(a), to protect the privacy of natural persons, including that of deceased natural
persons;
• 9(2)(b)(i ), to protect information where the making available of the information would
be likely unreasonably to prejudice the commercial position of the person who supplied
or who is the subject of the information;
• 9(2)(f)(iv), to maintain the constitutional conventions for the time being which protect
the confidentiality of advice tendered by Ministers of the Crown and officials; and
• 9(2)(g)(i), to maintain the effective conduct of public affairs through the free and frank
expression of opinions by or between or to Ministers of the Crown or members of an
organisation or officers and employees of any public service agency or organisation in
the course of their duty.
I do not consider that the withholding of this information is outweighed by public interest
considerations in making the information available.
You have the right to seek an investigation and review by the Ombudsman of this decision.
Information about how to make a complaint is available at
www.ombudsman.parliament.nz or
freephone 0800 802 602.
Yours sincerely
Hon Nicola Wil is
Minister for Economic Growth
BRIEFING
Playcentre Aotearoa's eligibility for All-of-Government contracts
Date:
8 April 2026
Priority:
Medium
Security
In Confidence
Tracking
REQ-0028722
classification:
number:
Purpose
This briefing responds to a request for more information on, and provides advice about, Playcentre
Aotearoa’s application for eligibility to All-of-Government contracts.
Recommended action
The Ministry of Business, Innovation and Employment recommends that you:
a
Note Playcentre Aotearoa does not meet Cabinet’s criteria for eligibility for All-of-Government
contracts, and deeming it eligible is likely to create undue fiscal and market risks for
government
Noted
b
Agree that due to the fiscal, financial, and competition risks MBIE has identified Playcentre
Aotearoa is not given eligibility for All-of-Government contracts
Agree / Disagree
c
Note Playcentre Aotearoa
is likely to meet the criteria for the NGO Procurement Initiative,
which provides similar benefits to All-of-Government contracts, without creating fiscal risks for
government
Noted
d
Agree that MBIE work with Playcentre Aotearoa to give them access to the benefits and
savings available through the NGO Procurement Initiative
Agree / Disagree
e
Agree that MBIE will provide you with a response letter to Playcentre Aotearoa that reflects
your decisions
Agree / Disagree
Michael Alp
Hon Nicola Wil is
General Manager,
Minister for Economic Growth
New Zealand Government Procurement, MBIE
08 / 04 / 2026
..... / ...... / ......
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Background
1.
Playcentre Aotearoa provides licensed early childhood education (ECE) to around 8,400
children in its nearly 400 playcentres. In 2022 it voted to centralise the financial operations of
Playcentre Aotearoa in the governing trust, taking some of the administrative burden off
individual centres.
2.
In December 20205, following earlier engagement with MBIE, Playcentre Aotearoa wrote to
you seeking to access to All-of-Government contracts because it receives the majority of its
operational budget through government funding and wants to maximise the value of this
funding. Playcentre Aotearoa is not automatically eligible to access the All-of-Government
contracts.
The eligibility criteria for al -of-government contracts were set by Cabinet in 2013
3.
All-of-Government contracts are centralised contracts for common goods and services. They
cover a range of goods and services, such as electricity, recruitment and legal services and
motor vehicles. They are intended to save money by leveraging the collective purchasing
power of government, reduce administration and tendering costs and standardise
procurement practice across government to reduce costs for suppliers.
4.
In 2013 Cabinet agreed which entities are automatically eligible to use All-of-Government
contracts: wholly owned government entities in the public sector, for example government
departments, crown entities, state-owned enterprises, and local authorities.
5.
At that time Cabinet also agreed criteria (set out in Annex One) that the Procurement System
Leader could use to assess whether other organisations can purchase through All-of-
Government contracts [SEC Min (13) 19 refers]. If an organisation is not automatically
eligible it can apply for eligibility and MBIE will assess it against Cabinet’s criteria.
Playcentre Aotearoa’s primary revenue source is from the Ministry of Education funding
6.
Playcentre Aotearoa’s revenue is predominantly derived from government sources, with
approximately 60 percent of funding provided by the Ministry of Education. The organisation
receives additional government grants and fees, while a smaller proportion of revenue is
generated through the sale of goods and services and voluntary contributions from parents
and caregivers.
In January 2025 Playcentre Aotearoa unsuccessfully applied to become and Eligible Agency
7.
In January 2025, Playcentre Aotearoa applied to New Zealand Government Procurement
(NZGP) for eligibility to access All‑of‑Government contracts. While acknowledging it did not
meet the Cabinet‑approved eligibility criteria, Playcentre Aotearoa sought discretionary
eligibility on the basis that it is a not‑for‑profit organisation regulated and largely funded by
the Ministry of Education and provides licensed early childhood education services
nationwide.
8.
Following Playcentre Aotearoa’s application for eligibility in January 2025, in February 2025
NZGP (on behalf of MBIE) engaged directly with Playcentre Aotearoa about eligibility for
All‑of‑Government contracts. This included email correspondence and meeting to discuss the
eligibility criteria. Through this engagement, MBIE advised Playcentre Aotearoa that it could
explore whether Playcentre Aotearoa met the requirements for participation in the NGO
Procurement Initiative, subject to confirmation of relevant information.
9.
Public funding is not a criterion for eligibility, and many similarly funded education
organisations are not eligible agencies. NZGP assessed the application in line with Cabinet
direction and concluded there were no exceptional circumstances to justify eligibility. NZGP
notified Playcentre Aotearoa on 31 July 2025 that discretion would not be exercised.
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10. To date, Playcentre Aotearoa has indicated a preference to pursue eligibility for
All‑of‑Government contracts. Playcentre Aotearoa subsequently wrote to the you on 15
December 2025 seeking your support to be made an Eligible Agency by Cabinet (letter
attached as Annex Two).
Deeming Playcentre Aotearoa an Eligible Agency is likely to create
undue fiscal risks for government
11. MBIE has declined to make Playcentre an Eligible Agency because it does not meet the
Cabinet criteria to be deemed an Eligible Agency established in 2013 (Annex One refers)
and would create large uncapped fiscal risks to the Crown, undermine competition and
compromise the All-of-Government contracting framework.
It would set a precedent of much wider private sector eligibility, creating fiscal risks and distorting
markets
12. Deeming Playcentre Aotearoa to be an Eligible Agency to maximise the buying power of its
government funding would create a precedent. This decision would likely set the expectation
of extending eligibility to the large number of other private sector organisations that also
receive Government funding. These range from large budget screen productions and energy,
mineral and irrigation projects to research and development, medical providers and private
childcare. Even if the precedent is limited to other not-for profits, large entities such as
community housing providers, primary health organisations, national sporting organisations
and private schools may also seek access on this basis.
13. The precedent established by granting Playcentre Aotearoa access creates significant risks
for the government. It is not from Playcentre alone, but from the fiscal exposure from the
large number of entities that could apply for eligibility on the same basis.
Wider eligibility creates fiscal risks for the Crown
14. In June 2022 the Minister of Finance (the Minister) agreed to provide suppliers who become
parties to All-of-Government and property common capability (PCC) agreements with a 10-
year guarantee, subject to certain conditions, under section 65ZD of the Public Finance Act
1989. In September 2025 the Minister extended the duration of this guarantee to the duration
of the contract.
15. For the All-of-Government contracts that include this guarantee, suppliers may take action
against MBIE instead of taking enforcement action against the relevant Participating Agency
(e.g. for a failure by that Participating Agency to pay). This guarantee was not intended to
cover liabilities for private sector entities, and doing so exposes the Crown to a large
uncapped contingent liability. s 9(2)(g)(i)
Wider eligibility risks undermining competition and creating a perception of anticompetitive
behaviour
16. The precedent this would set for widespread private-sector eligibility creates substantial risk
of market distortion. Significantly expanding eligibility for All-of-Government contracts to the
private sector wil reduce competition and innovation by limiting economic opportunities for
suppliers that are not parties to these contracts.
17. MBIE would need to seek further advice from the Commerce Commission on the impact of
wider eligibility on competition if the contracts are seen as a misuse of market power. If they
have the effect of fixing prices for key goods and services, or allocating customers to certain
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suppliers All-of-Government contracts may be considered cartel behaviour which is
prohibited by section 30 of the Commerce Act 1986.
Playcentre Aotearoa would not need to follow the Rules that underpin the All-of-Government
contracts model
18. Private entities are not required to follow the procurement Rules, including requirements for
prompt payment, non-discrimination and specific requirements for how to conduct secondary
procurement, to ensure the process is fair and transparent for suppliers.
19. Private sector eligibility is likely to see an increase in the amount of secondary procurement
under All-of-Government contracts that does not comply with the Rules. Reduced Rule
compliance would undermine the integrity of All-of-Government contracts and suppliers may
be less willing to participate in these contracts, which would decrease cost savings and
efficiencies gained from them.
Assessing wider eligibility would result in an ongoing workload for Cabinet
20. Deeming Playcentre Aotearoa eligible would encourage more entities to seek Ministerial
intervention to make them eligible, rather than relying on the MBIE-led process set by
Cabinet. Currently, MBIE receives approximately 5-10 discretionary eligibility requests per
year. We would expect applications to increase if Playcentre Aotearoa sets a precedent that
Ministerial intervention is a viable pathway to discretionary eligibility. Assessing individual
applications for eligibility draws on Ministerial and Cabinet resources.
Wider eligibility creates financial risks to New Zealand Government Procurement
21. Many of the functions of New Zealand Government Procurement (NZGP) are funded by an
administration fee charged when agencies use All-of-Government contracts. As private
entities are not required to follow the Rules, it is not clear if they would pay the administration
fees as part of the AoG contracts. Delivering services for entities that are not contributing to
the cost of those services would put pressure on NZGP’s financial sustainability.
Playcentre Aotearoa is likely to be able to access similar benefits
through the NGO Procurement Initiative
22. The NGO Procurement Initiative enables eligible non‑government organisations to access
comparable pricing to All‑of‑Government contracts where suppliers have agreed to offer
those rates. The initiative operates outside the All‑of‑Government contracting framework and
does not include the Crown guarantees that apply to All‑of‑Government contracts.
23. Based on information provided, Playcentre Aotearoa is likely to meet the eligibility
requirements for the NGO Procurement Initiative, subject to providing the necessary
documentation.
24. Participation under the initiative depends on supplier agreement and involves contracting
directly between the organisation and the supplier. Accessing contracts through the NGO
Procurement Initiative would allow Playcentre Aotearoa to benefit from competitive pricing
while avoiding the fiscal, financial, and competition risks associated with granting eligibility to
All‑of‑Government contracts.
Next steps
25. As it does not meet the Cabinet Criteria for eligibility and is likely to create uncapped fiscal
risks, distort markets and create undue risks for Government, MBIE cannot deem Playcentre
Aotearoa to be an Eligible Agency. Any decision to deem Playcentre Aotearoa eligible would
need to be made by Cabinet.
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26. Due to the risks of deeming Playcentre Aotearoa to be an Eligible Agency, MBIE does not
recommend seeking Cabinet agreement to make it eligible. Instead, MBIE recommends that,
should Playcentre wish to do so, we work with Playcentre Aotearoa to ensure they can
access the benefits and savings available through the NGO Procurement Initiative.
27. MBIE will provide your office with a draft response letter to Playcentre Aotearoa that reflects
your decisions.
List of Annexes
Annex One: Discretionary eligibility for All-of-Government contracts
Annex Two: Correspondence from Playcentre Aotearoa
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Annex One: Discretionary eligibility for AoG contracts
Criteria for discretionary eligibility set by Cabinet
28. In 2013 Cabinet set out the expectations for how All-of-Government (AoG) contracts would
be administered [SEC Min (13) 19 refers].
29. The Eligibility Criteria for AoG contracts are that:
a.
it is 100% owned (directly or indirectly) by central or local government;
b.
central or local government has the power to appoint or remove all its directors, or such
number of directors as together hold a majority of the voting rights at meetings of the
board; and
c.
it consolidates its financial information with central or local government as a “controlled
entity” with no reportable “minority interest”.
30. Cabinet also directed that in exceptional circumstances, the Procurement System Leader
may also al ow other organisations to be deemed an Eligible Agency, provided such a
decision:
a.
supports improved state sector productivity and efficiency, increased opportunities for
New Zealand businesses to participate in government contracts and releases fiscal
savings for use in other priority areas; and
b.
is consistent with Cabinet’s expectation that AoG contracts deliver the best result for
the use of taxpayer and ratepayer dollars, but will not distort markets or create undue
risk for government
Entities granted discretionary eligibility for All-of-Government contracts
MBIE has granted three non-governmental organisations discretionary eligibility for All-of-
Government contracts. All three operate on a not-for-profit basis and have specific, unique
regulatory circumstances that justified their inclusion:
•
SPCA: The SPCA is responsible for partial administration of the Animal Welfare Act (in
conjunction with MPI); there was explicit support from the CE of MPI for the SPCA being
granted access. The SPCA fulfils a regulatory role through its inspectorate function and is
the only non-government organisation in NZ with law enforcement powers and statutory
compliance role.
•
Wellington Free Ambulance: The Wellington Free Ambulance (WFA) is part of the
Emergency Services Network with Police, Fire and Civil Defence and needed access to the
TaaS contract. TaaS suppliers are ‘lifeline utilities’’ Civil Defence Emergency Management
Act and the ambulances have to comply with the same statute. There is a critical interplay
between these organisations in the case of emergency management, under statute, and it
would have been an unnecessary risk to have the WFA on a different arrangement with
telecommunications companies, specifically, risk on the certainty of operation and
consistent standards, upgrades, and other operational functions.
•
Workforce Development Councils: Workforce Development Councils (and their
replacement Industry Skills Boards) have a public, quasi-regulatory role, similar to other
eligible agencies. They establish key education standards and the existence of Workforce
Development Councils depends on the Government – they can be established and
disestablished by a Minister.
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Cabinet has separately deemed one entity eligible
•
Not-for-profit charter Schools: Not-for-profit Charter schools did not meet the eligibility
criteria, however Cabinet specifically agreed their eligibility as part of the Government's
decision-making around charter school policy to ensure they could better compete with
state schools. At that time Cabinet limited eligibility to charter schools that were operated
on a not-for-profit basis to ensure that the contracts were not used to subsidise commercial
activities.
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Annex Two: correspondence from Playcentre Aotearoa
From: Bridget Stewart - Procurement Manager <[email address]>
Sent: Monday, 15 December 2025 11:47 AM
To: Hon Nicola Willis <[email address]>
Subject: Playcentre Aotearoa - AoG Eligibility Request
Good morning Minister Wil is,
I just want to preface this by saying I apologise that this is coming so late in the year and
understand if this doesn’t get picked up until next year.
By way of Introduction, my name is Bridget and I took up the newly established role of National
Procurement Manager at Playcentre Aotearoa in January 2025.
We have spent the best part of this year centralising our 401 Playcentres that operate
nationwide. Part of this journey is to realise savings and benefits through the new procurement
function.
I have been undertaking category analysis and already there are alignments with many of the
All of Government (AoG) Contracts – Office Supplies, Travel Management, Electricity, our vast
Property Portfolio (some owned by the Ministry of Education), ICT, Vehicles etc.
To realise incredible savings, it made sense to apply for eligibility to access AoG Contracts.
Unfortunately, we do not meet the criteria, so based on the advice on the Procurement website
I submitted a letter (attached) and had a number of meetings around why we should stil be
considered.
I understand we likely fall under the NGO initiative, however I noted there are other Charitable
Trusts listed as “other eligible agencies” who are able to access AoG contracts, Open
Syndicated contracts and Common Capability contracts.
70% of our funding comes from the Ministry of Education, so it makes sense that we should be
looking to realise cost savings of taxpayer funded money, especially in these times, and I know
AoG can help us do that.
You will see from the email below, that NZGP denied eligibility to access the All of Government
contracts.
I was trying to find some information online this morning and happened to stumble upon the
press release (also attached) that the charter schools have been given access to AoG. Based
on this I thought I would write to see if there was anything you or your team could do to help
Playcentre Aotearoa access these contracts as well. I would love the opportunity to provide
more information if required as well.
As mentioned, I appreciate this time of year isn’t ideal but hope to hear back in the New Year.
Thank you for your time, hope you have a Merry Christmas and a wonderful (and well earned)
break.
Kind Regards,
Bridget
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Bridget Stewart | National Procurement Manager
Te Whānau Tupu Ngātahi o Aotearoa | Playcentre Aotearoa
s 9(2)(a)
| Wātea Office hours Mon – Thu
www.playcentre.org.nz
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Document Outline
