Five HSV health purchasing policies

HSV has a legislated power under subsection 134(1) of the Health Services Act 1988 (Vic) to make, amend and revoke purchasing policies relating to the supply of goods and services to Victorian health services. These policies may also cover the management and disposal of goods.

This power supports HSV’s function under the Act to develop, implement and review policies and practices to promote best value and probity. The five HSV Health Purchasing Policies (HPPs) were introduced in 2014 to meet this function.

The HPPs guide health services on best-practice procurement, offering a principles based approach to implementing probity strategy in to internal procurement practices.

Compliance is mandatory for all public hospitals and health services listed in Schedule 1 and 5 of the Act. These health services are commonly referred to as mandated health services.

Non-mandated health services (or ‘eligible services’) are also required to comply with the terms of the agreements to which they have been granted access, including all requirements of Health Purchasing Policy 5: Collective Purchasing. 

Individual health purchasing policies

Combined documents

Key terms and definitions


The May 2017 amendments were approved by the HPV Board and published on Thursday 25 May 2017.

The CPU Purchasing Policy

The CPU Purchasing Policy, initiated by the Department of Health and Human Services (DHHS) and administered by HSV, requires each of the health services named in the policy to purchase its pre-prepared patient food from one of two Central Production Units (CPUs) at Austin Health and Monash Health.