Centrelink to consolidate telco contracts

Centrelink has issued a massive telecommunications consolidation tender with a potential value in excess of $500 million over the full life of the contract.

Slated for commencement in 2013, the tender aims to bring together voice, data, mobile and video-conferencing services as well as the provision of contact centre services under a vendor panel arrangement.

The tender, issued yesterday, is set to encompass Centrelink, the Child Support Agency and Medicare Australia, all under the umbrella of the Department of Human Services. The tender will see over 20 different telecommunication arrangements rolled into one.

Centrelink told ZDNet Australia today that the Australian Government Information Management Office (AGIMO) would establish a panel of vendors in line with the multi-million dollar contract for the supply of data and mobile services.

"It is anticipated that the total life value of the contracts, for this RFT phase and the later phase using the AGIMO arrangements will exceed $500 million," Centrelink said in a statement.

The new one-stop telecommunications strategy was flagged in late 2009 by then Human Services Minister, Chris Bowen, in a move towards reforming service delivery within government departments under recommendations stemming from Sir Peter Gershon's review into consolidated governmental IT procurement.

Tender documents indicate that the contract is a five-year agreement with the option of a two-year contract extension attached.