The National Prequalification System considers financial and technical capacity separately as these components represent different types of risks.
Contractors are approved for prequalification based on an assessment of their capacity to undertake contracts of varying risk and technical and financial complexity in accordance with these categories and levels.
In December 2015 the descriptions of the categories were updated and expanded. The revised descriptions detail how categories are assessed and provide improved guidance for contractors.
Road categories relating to the construction of general roadworks are identified by the letter ‘R’ (R1, R2, R3, R4 and R5). Works include earthworks, pavement and drainage works that could reasonably be expected to be satisfactorily constructed by a general civil engineering contractor with the relevant experience and background.
Bridge categories relate to contracts for works involving structures that could reasonably be expected to be satisfactorily completed by a civil engineering contractor with the relevant experience and background. Bridge categories identified by the letter ‘B’ (B1, B2, B3 and B4).
Prequalification financial levels refers to a contractor’s financial stability, solvency, and capacity to manage cash flow requirements throughout a nominal contract period of 12 months assuming a relatively even spread of cash flow over that period. Financial levels are identified by the letter ‘F’ (F0.25, F1, F2, F5, F10, F15, F20, F25, F50, F75, F100, F150 and F150 PLUS).