Finance Minister Colm Imbert said the Bill would create an open and transparent system to reduce costs, disputes and corruption by public officials.
He explained the long process of mediation and conciliation before a matter goes to litigation.
"They go first to the Procurement Regulator who says your complaint is not justified and then secondly through the office of the Review Board who would say again that your complaint is not justified. We felt that the vast majority of complainants would stop at that point in time."
The Opposition was in support of most aspects of the Bill, except the prior approval of the Minister regarding appointments.
UNC Senator Wade Mark said: "We are proposing an amendment to allow the Office of Procurement Regulation to be in charge of the appointment of staff."