Status of Sustainable Procurement Implementation

Abstract

AbstractThe world is witnessing a gradual shift from traditional procurement frameworks focusing just on economic value to frameworks that assign equal emphasis on environmental sustainability and social value besides economic value while achieving “value for money.” As a result, more than ever, public procurement is considered as an important tool to help achieve strategic goals.The concept of SPP has firmly taken roots in Europe and other developed countries and has become a vital procurement reform agenda in developing economies. However, the European experiences show that countries began their journey at different points, adopted different approaches, set different priorities, and attained varying maturity levels in green procurement implementation guided by their national context. International organizations such as UNEP, European Union, SPLC, ICLEI, and IGPN have played a crucial role in developing and spreading the SPP concept to different corners of the world. In addition, the World Bank Groups have created a supportive policy framework for integrating sustainability in project procurement and can influence countries to truly embrace SPP principles in their sphere of governance and move from the agenda-setting stage to action on the ground.Notwithstanding the progress, by far, the two most significant challenges remain—(a) the inclusion of non-price factors focusing on environmental and social value metrics in evaluation criteria; and (b) effectively measuring and communicating sustainability benefits to stakeholders. To address these, procurement leaders and policymakers need to highlight benefits to the environment and society and not limit themselves to economic ones to win the support of stakeholders (including political leaders).KeywordsGlobal footprints of sustainable procurementSustainable procurement in EuropeSustainable procurement in ChinaRole of UNEP in sustainable procurementMeasuring & communicating benefits of sustainable procurement