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Page 1: Eco-Efficient Construction and Building Materials || Green public procurement (GPP) of construction and building materials

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9 Green public procurement (GPP) of construction and building materials

K. U T TA M and B. BA L F O R S , KTH Royal Institute of Technology , Sweden and C. FA I T H - E L L , KTH Royal Institute

of Technology and WSP Sweden , Sweden

Abstract: Green public procurement (GPP) involves the incorporation of environmental requirements during the procurement of services and products by public authorities. This chapter provides an overview on the growth of GPP in recent years by focusing on its expansion towards sustainable public procurement (SPP), where sustainable development considerations are integrated. Furthermore, the chapter discusses the implementation of GPP/SPP in the construction sector, and issues related to approaches in procurement procedure, GPP/SPP criteria, and the link between criteria and functional objectives of contracts. The chapter highlights that such issues need to be addressed during the progress towards SPP.

Key words : green public procurement , construction sector , sustainable public procurement.

9.1 Introduction

The construction sector is a signifi cant user of natural resources and energy. The Worldwatch Institute ’ s State of the World 2012 highlights that the construction industry consumes more than one-third of global resources (Taipale, 2012 ). The Organization for Economic Co-operation and Devel-opment (OECD) indicates that the construction sector accounts for around 25–40% of fi nal energy consumption in OECD countries. As a result of vast consumption of resources and energy, the sector has been greatly respon-sible for environmental pollution and problems related to sustainability. With increasing global concerns over sustainability issues, the construction sector is required to be proactive in improving its environmental perfor-mance. The sector is thus compelled to address many questions regarding the approaches to handle environmental problems within the overall design process, the suitable materials to be used, eco-effi cient practices, and other such issues and aspects that infl uence its contribution to the improved environment (Ball, 2002 ). Furthermore, the construction sector is pushed by government authorities to adopt several policy instruments that

DOI : 10.1533/9780857097729.1.166

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contribute to the improvement of environmental performance. One such policy instrument is green public procurement. Green public procurement (GPP) is defi ned by the European Commission (henceforth referred to as the Commission) as ‘a process whereby public authorities seek to procure goods, services and works with a reduced environmental impact throughout their life cycle when compared to goods, services and works with the same primary function that would otherwise be procured’ (CEC, 2008 ).

This chapter provides an overview on the growth of GPP in recent years, and deals with its implementation in the construction sector. The Commis-sion has identifi ed construction as one of the priority sectors for GPP. However, a statistical report published by PricewaterhouseCoopers et al . (2009) showed that the GPP levels are relatively low in the construction sector for most of the member states. The statistical report also concluded that green procurement in construction can result in negative fi nancial impact, which indicates that cost reductions can be achieved by procuring green. Similar conclusions have also been drawn in another study con-ducted by Testa et al . ( 2011 ). They surveyed 78 European fi rms operating in the construction sector, and the results indicated that there is a positive effect of GPP on private companies’ business performance, which led them to conclude that policy makers should strengthen the use and diffusion of policy instruments such as GPP. However, a Swedish study has suggested that the cost-effectiveness argument must be used carefully, primarily due to the heterogeneity in the environmental performances of potential bidders, which leads to differences in the magnitude of the investments needed to comply with environmental requirements (Lundberg and Marklund, 2012 ). Nevertheless, the OECD has considered GPP to be par-ticularly important in areas where no other policy instruments are feasible, and identifi ed its potential to improve the environmental performance of the construction sector (OECD, 2003 ). What can be interpreted from these studies is that there is a need to enhance the construction sector ’ s capacities to plan and implement GPP. At the outset, it is important to understand where GPP stands in the array of environment and sustainability-related statutes so that the construction sector is prepared for the anticipated opportunities and challenges.

Therefore, this chapter begins by introducing GPP as a policy instrument, highlighting its evolution towards sustainable public procurement (SPP), wherein social and sustainable development considerations are also inte-grated in procurement decisions, followed by an overview of the policy contexts in the European Union (EU) and certain OECD countries. The chapter subsequently discusses the implementation of GPP/SPP in the con-struction sector, and presents issues that require detailed attention. Further-more, the chapter identifi es and substantiates the need to inter-link GPP/SPP with environmental assessment instruments supporting planning and

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decision-making processes. The chapter concludes by focusing on areas for improvement to facilitate progress towards SPP.

9.2 Green public procurement (GPP) and sustainable

public procurement (SPP) as policy instruments

9.2.1 Evolution of GPP towards SPP

As a policy instrument, GPP gives public authorities such as municipalities an opportunity to procure eco-effi cient services and products from their contractors and suppliers. The more a public authority is informed and acquires competence and knowledge in developing GPP practices, the greater its willingness to experiment with such new practices and introduce GPP criteria in the tenders (Testa et al ., 2012 ). However, the challenge has been to connect GPP to the overall concept of sustainable development. In 2006, the OECD surveyed the implementation of measures related to its ‘recommendation on improving the environmental performance of public procurement’. The OECD study revealed that all but three respondents (Japan, the Netherlands and the United States) had incorporated GPP as a part of broader policy on sustainable development (Johnstone and De Tilly, 2007 ). Moreover, studies have questioned the focus on sustainability in GPP. For instance, Powell et al . ( 2006 ) indicated that green procurement in many organisations included one or two pillars of sustainability (largely focusing on the environment), with inadequate consideration of social and economic issues. The consideration of social issues might include, for instance, sourcing products/services to benefi t the economic well-being of local communities, and ethical purchasing of materials from developing countries where employees have safe and humane working conditions (Meehan and Bryde, 2011 ).

The integration of social issues in GPP is a substantive concern, and furthermore, a procedural concern has been raised elsewhere in the Nordic countries. A Nordic study argues that one of the reasons for not achieving the intended ambitions of GPP is its promotion and development as an environmental policy instrument, and thereby its isolation from most other public procurement policy making. Therefore, a strong need for mainstreaming GPP has been identifi ed (Bergman et al ., 2012 ). There are a few other procedural concerns related to procurement contracts that are discussed in the subsequent sections in this chapter. The substantive concern regarding the integration of social issues led many governments to enhance the scope of GPP and progress towards SPP. The United Nations defi nes sustainable procurement as a procurement wherein ‘an organization uses it buying power to signal preferences to the market by its choice of goods and

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services which meet sustainable development criteria’ (United Nations, 2008 ). Many countries have adopted the national action plan for SPP and set targets. For instance, Austria adopted the naBE-Action plan in the year 2010. The municipalities in the Netherlands aim towards 100% SPP in the year 2015. Poland developed a national action plan for SPP that included activities to be implemented during the years 2010–2012.

In terms of the construction sector, if GPP should contribute to ‘truly sustainable buildings’, then it needs to address ‘the multi-dimensional aspects of sustainability, from the time a building is planned and con-structed, throughout its operating lifespan, until it is demolished or reno-vated’ (Taipale 2012 ). Therefore, the transformation of GPP to SPP holds challenging promises with respect to linking construction procurements to sustainable development. For instance, a study conducted (for the Commis-sion) to assess the national building regulations shows that ethical trading throughout the supply chain is regulated only in Cyprus, Germany and the Netherlands at the national level (Vermande and van der Heijden, 2011 ). Would the implementation of SPP enable the incorporation of such social requirements during the procurement procedure? This depends on how far the issues surrounding GPP and now SPP will be addressed in the future. For instance, one of the crucial issues relates to the selection of the approach within the procurement procedure for incorporating social considerations. There are three approaches, which include technical specifi cations, award criteria and contract performance conditions. In the procurement pro-cedure, technical specifi cations indicate the prerequisites to submit a tender, and the award criteria enable the procurer to compare the relative advan-tages of different tenders by giving weights to the criteria and scoring each tender on the basis of the level of fulfi lment of each criterion. Furthermore, the contract performance conditions are those that are included in the contract to indicate how the contract work is to be performed.

An advocacy agency called ClientEarth argues that a comprehensive incorporation of sustainable development considerations is hindered by the tendency in the Commission Directive 2004/18/EC (on public procurement) to stipulate what concerns can and cannot be stated in technical specifi ca-tions and/or award criteria. In many cases, social issues have been relegated to contract performance conditions, wherein the contracting authority is not able to assess compliance with these conditions as part of its selection of eligible tenders. Such restrictions on the type of concerns to be stated in the technical specifi cations/award criteria have been suggested with the intention to maintain the relevance of the incorporated considerations to the functional objectives or use of the procured services, supplies or works (ClientEarth, 2012 ). In the light of such intriguing issues, the evolution of GPP towards SPP needs to be challenged as to whether this progress ‘is as good as things can or should get’ (Sutton and Preece, 1998 ).

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9.2.2 Innovation through GPP

GPP has also been attributed to stimulate innovation in environmental technologies, products and services (CEC, 2008 ). Innovation is not only about the implementation of a new product; it could also be the introduc-tion of a signifi cantly improved process, marketing method or organisa-tional method in business practices (Bröchner, 2010 ). According to the OECD, handling innovation systems requires the potential to manage infor-mation creatively in response to the market and societal needs. The OECD approach also insists that governments should address systemic failures that block the functioning of innovation systems and obstruct the fl ow of infor-mation. These systemic disruptions emerge from institutional rigidities that are based on asymmetric information and communication gaps and lack of networking (OECD, 1999 ). Such gaps and lack of integration are evident in the construction sector. For instance, Vermande and van der Heijden ( 2011 ) point out that the construction sector is highly fragmented with a wide range of trades and professions.

Therefore, if GPP is to stimulate innovation in the construction sector, it should also address the complexities associated with this fragmentation. The potential for eco-innovation through GPP was explored by the Nordic Council of Ministers ( 2010 ). Their recommendations for stimulating innova-tion in the construction sector through GPP are focused on identifying appropriate models for dialogue (between procurers and tenderers) in tender processes for construction work; considering a wider use of frame-work agreements with selected eco-innovative suppliers, where the pro-curer is willing to test and buy products without traditional guarantees (share risks); extensively using specifi c programmes that promote innova-tion and eco-innovation, such as the EU-funded lead market initiative; and activating instruments such as tax reductions, direct fi nancial support and regulation.

9.3 Policy context in the EU

Several policy documents in the EU have highlighted the importance of integrating environmental considerations into public procurement ever since 2001. However, this section identifi es recently introduced ‘policies’ that support the implementation of GPP in the EU. In this section, the term ‘policies’ includes Commission Communications, Directives, Green Papers, European Parliament resolutions, among others. The EU introduced a policy called the lead market initiative (LMI) in 2007. The LMI sought to address six emerging markets including renewable energies, bio-based products and sustainable construction. The aim of the LMI is to streamline legal and regulatory environments, and bring new products and services

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into the market by enabling market access and developing measures to facilitate the aggregation of demand. The LMI deployed a diversifi ed set of policy instruments, which inter alia included public procurement, and devel-oped action plans for each of the six markets (CEC, 2007 ). Furthermore, under public procurement, encouragement of GPP has been identifi ed as an action plan for certain markets (EU, 2011 ).

One of the most important policy documents concerning EU GPP in recent years is the Commission ’ s Communication entitled ‘Public procure-ment for a better environment’, published in 2008. The objective of this Communication is to ‘provide guidance on how to reduce the environmen-tal impact caused by public sector consumption and to use GPP to stimulate innovation in environmental technologies, products and services’ (CEC, 2008 ). Although the Communication objective is highly motivating from an environmental perspective, there has been a need to link green procure-ment decisions with policies concerning biodiversity.

BRE ( 2011 ) has identifi ed and described the relevance of the Birds Directive/ Commission Directive 2009/147/EC on the conservation of wild birds (adopted in 2009) to GPP. What particularly relates to GPP in this directive is the focus on the protection of habitat. The extraction of raw materials can lead to habitat destruction if activities such as mining and quar-rying are not undertaken in a controlled manner. In addition, the Birds Directive emphasises the establishment of a coherent network of special protection areas (SPAs) comprising all the suitable habitats for bird species. Furthermore, all these SPAs form an integral part of the NATURA 2000 network, which is an EU-wide network of nature protection areas that aims to protect Europe ’ s threatened species and habitats (EC, 2003 ). With regard to biodiversity concerns in GPP, it is also relevant to consider the EU biodiversity strategy to 2020 and the April 2012 resolution adopted by the European Parliament on the EU biodiversity strategy. The EU biodiversity strategy aims to halt the loss of biodiversity in the EU by 2020. The resolution urges the Commission to implement measures to reduce the negative impact of EU consumption patterns on biodiversity, and enhance the contribution of EU trade policy to conserving biodiversity (EC, 2012 ). Besides the 2020 biodiversity target, GPP has links also with the sustainable growth targets set for 2020. These targets are addressed in the Europe 2020 strategy.

In June 2010, the European Council adopted the Europe 2020 Strategy. The aim of this strategy is to recover from the economic crisis by focusing on three priorities: developing an economy based on knowledge and innovation; promoting a more resource effi cient sustainable growth; and stimulating a high-employment economy delivering social cohesion. The Commission has put forth ‘seven fl agship initiatives to catalyse progress under each priority theme’ (EC, 2010a ). According to ClientEarth ( 2011a ), three of the seven fl agship initiatives have identifi ed public procurement as

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an important instrument to contribute to achieving sustainable develop-ment in the EU. These three initiatives include ‘resource effi cient Europe’, ‘innovative union’ and ‘integrated industrial policy’.

The primary role of the fl agship initiative ‘resource effi cient Europe’ is to help decouple economic growth from resource use and its environmental impact, support the shift towards a low carbon economy, increase the use of renewable energy sources, and promote energy effi ciency. This initiative highlights GPP as one of the policies to increase resource effi ciency (EC, 2011a ). ‘Innovative union’ sets out to improve conditions and access to fi nance for research and innovation, with the aim to ensure that innovative ideas can be transformed into products and services that create growth and jobs. Innovative union identifi es GPP as an area where it will be possible to address factors that infl uence innovation via procurement. Some of these factors involve incentives that favour low-risk solutions, lack of knowledge regarding successful procurement of new technologies and others (EC, 2010b ). The fl agship initiative on ‘integrated industrial policy’ aims to stimu-late economic recovery by ensuring a thriving industrial base in the EU and, furthermore, seeks to enable the transition to a low carbon and resource effi cient economy. The integrated industrial policy endorses the wider use of GPP in order to develop the EU market for environmental goods and services (EC, 2010c ).

Within the Europe 2020 strategy, the role of public procurement (espe-cially GPP) is thus considered to be signifi cant to support the shift towards a resource effi cient and low carbon economy.

In the context of these ambitious objectives of the Europe 2020 Strategy, the Commission developed a Green Paper in 2011 to discuss the scope for the modernisation of EU public procurement policy. The Green Paper discusses some of the challenges concerning GPP. For instance, the diverg-ing approaches by member states on GPP might be an impediment for certain suppliers, who have to adapt to different frameworks in different countries, thereby hindering the development and sale of eco-effi cient products and services (EC, 2011b ).

9.4 Policy context in selected countries

9.4.1 Introduction to the countries

A recent OECD study reports that although 24 member states among the 34 OECD countries have introduced environmental requirements in the technical specifi cations and 18 countries include them in the award criteria, less than half of the OECD countries have not established a standard defi nition for green procurement. Even though green policies are at the forefront, only six countries have defi ned green procurement in law:

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Denmark, France, Italy, Japan, Luxembourg and Slovenia. Most of the other countries that have defi ned green procurement have done so in an environ-mental policy or strategy document. Furthermore, codes of practice have been adopted in only ten OECD countries: Austria, Denmark, France, Korea, the Netherlands, New Zealand, Poland, Slovenia, Spain and Sweden (OECD, 2011 ). This section provides an overview and discussion on the policy contexts in fi ve of the ten countries that have adopted the code of practice for GPP. They include Poland (Central Europe), the Netherlands (North West Europe), Sweden (Northern Europe), New Zealand and Korea. These fi ve countries have been selected so as to represent different parts of Europe and outside Europe. Moreover, this selection has been made with an intention to present different approaches involved in manag-ing and developing the policy instrument, and also to highlight some of the issues involved in these approaches. However, this is not a comparative analysis of the GPP/SPP policy contexts in these countries.

9.4.2 Policy context in Poland

During the implementation period of Poland ’ s national action plan on GPP for 2007–2009, there was an increase in the level of implementation of GPP. In 2006, the public procurement offi ce conducted an analysis of the contract documents (sample size: 400), and estimated that 4% of the contracts had included environmental criteria. Further, in 2009, another analysis of the contract documents (sample size: 600) was conducted to review the execu-tion of the action plan. This analysis revealed that 10.5% of the contracts had incorporated environmental criteria. Green procurement was evident in, among others, some of the services related to improving thermal effi ciency in buildings and modernising water/sewage systems. Despite the increase in GPP at the national level, its status in comparison with the leading member states remains low. This proved the need to continue activities undertaken within the action plan for GPP for 2007–2009. Therefore, a new action plan was developed, with a view to incorporate social considerations as well, and thus it is called the national action plan on SPP for 2010–2012. The goal of this plan is to ‘promote solutions for contract award procedures, which can positively infl uence the eco-innovations and pro-social behavior’. The general objectives are focused on increasing the implementation level of GPP (to 20%) and SPP (to 10%) at the national level, and creating demand for products that meet high environmental standards and innovative envi-ronmental technologies. The detailed objectives aim at an increase in the number of public contract awards that incorporate social considerations; awareness creation regarding GPP and SPP; increase in the number of units applying a verifi ed environmental management system (EMS) and national products certifi ed by the Polish e koznak and/or EU ecolabel (PPO, 2010 ).

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The national action plan has set targets for achievement, indicators, sched-ule, and also assigned agencies that will be responsible for the actions.

In addition, the country ’ s national environmental policy for 2009–2012 has identifi ed GPP as a direction for action in order to activate the market to protect the environment. Certain approaches to activate the market towards environment protection are evident in the objectives of the national action plan on SPP. One such objective concerns the popularisation of EMS. EMS is a management tool that facilitates a company or an organisation to identify the environmental impacts resulting from its activities and to improve its environmental performance (NCSI, 2009 ). However, in terms of EMS in the construction sector, a Spanish study shows that the EMS application at construction sites seems to be considered as a formality and a tactic to access the tender of contracting organisations, rather than as a genuine commitment towards improving the environmental performance of companies in the construction sector (Rodríguez et al ., 2011 ). Further-more, Lam et al . ( 2011 ) have suggested that the mere promotion of EMS in the construction industry may not ensure the incorporation of suffi cient environmental considerations.

It should be noted that the objectives in the national action plan have been stated separately for GPP and SPP, which, however, raises certain questions. For instance, does the segregation of SPP and GPP in the national action plan indicate the lack of recognition of the ‘interdependence of eco-logical, social and economic systems’? (Hutchins and Sutherland, 2008 ). Moreover, the SPP action plan objectives intend to create demand for certain certifi ed eco-effi cient products. However, Vermande and van der Heijden ( 2011 ) have stated that Poland ’ s national building regulations do not include any specifi c voluntary or mandatory requirements concerning the sustainability of construction products. In terms of regulations, Vermande and van der Heijden ( 2011 ) refer to all those central/state/regional regulations (laws, ordinances, decrees, standards, codes, approved documents, guidance) imposing mandatory or advisory requirements or provisions on the planning, design, execution, maintenance and use of con-struction works. Furthermore, they have pointed out that even though there are existing assessment standards for eco-effi cient construction products, such products cannot be used by the developers as a way to confi rm compli-ance. Such inconsistencies might prove to be a challenge for the implemen-tation of SPP in the construction sector, and also, may not be specifi c to Poland.

9.4.3 Policy context in the Netherlands

The Dutch national government had set an ambitious goal to achieve a target of 100% sustainable procurement by the year 2010. The

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municipalities and provinces both aim for 100% by 2015 and had their interim targets to achieve 75% and 50%, respectively, by 2010 (NL Agency, 2010a ). The standard procedure for the development of EU GPP criteria is led by the Commission through a formalised process involving data collec-tion, consultation, adoption and publication. However, the criteria develop-ment process can also be led by member states and stakeholders after obtaining Commission approval. In the Netherlands, a public agency called the NL Agency, which facilitates government authorities in various ways to achieve the SPP objectives, is primarily involved in the SPP criteria devel-opment process. This process includes fi ve phases (see Fig. 9.1 ).

In the initiation phase (see Fig. 9.1 ), the NL Agency communicates the decision to develop new criteria or to update existing criteria for a product group (for example, construction works) on its website and also to the interested parties that have registered for the particular product group. During the second phase, the NL Agency organises a public meeting. This meeting is arranged in order to discuss the process of criteria development to be followed, the assessment framework and the constellation of a work-group. Once the workgroup is formed, the NL Agency, which is the secre-tary of the workgroup, makes a proposal for the selection of a chairperson among the parties involved. The workgroup receives the commission to prepare a draft criteria document that complies with the assessment frame-work. The workgroup meets several times and discusses suggestions for the criteria, and provides a justifi ed decision on the criteria that should be and must not be included. Further on, the NL Agency prepares a draft criteria document and publishes it on the website together with the report from the initial meeting.

The third phase mainly involves the assessment of the feedback received on the draft criteria document. The workgroup decides on the modifi cations, after which the concept criteria document is prepared. The NL Agency pub-lishes a report on the website that contains a summary of the feedback received and a description on how the comments were addressed within the concept criteria document. In addition, the NL Agency sends this document to all those who had provided the feedback. In the fourth phase, the concept criteria are assessed by the Ministry of Infrastructure and Environment, which examines whether or not the criteria suffi ciently consider the aspects within

9.1 The process of criteria development under the Dutch SPP programme.

Assessmentof the

conceptcriteria

document

Decision andpublication of

the criteriadocument

InitiationDevelopment

of draftcriteria

Developmentof conceptcriteria by

publicconsultation

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the assessment framework, and whether the process has been followed in the correct manner. The assessment results are communicated to the work-group, which revises the concept criteria document. Thereafter the NL Agency describes the assessment results on the website. Ultimately, in the fi fth phase, a fi nal decision is taken on the criteria document, and subse-quently it is published (NL Agency, 2010b ; Melissen and Reinders, 2012 ).

The Dutch SPP manual, a document that serves as an aid for procurement offi cers and other concerned parties to implement SPP, indicates that adher-ence to both the manual and the criteria documents does not assure the legal and proper execution of the procurement. The contracting authorities may decide to use sustainability criteria different from those discussed in the criteria documents, in which case the contracting authority might have to conduct the legal assessment. Furthermore, it also states that ‘sustainable procurement is not always about the purchase of sustainable products’. Instead, it can also aid in deciding not to purchase. This is by providing new insights that result in limiting the purchase (NL Agency, 2010a ). However, Melissen and Reinders ( 2012 ) conclude that the ‘set up of the current Dutch SPP programme’ is in dearth of a clear vision concerning how public pro-curement can contribute to achieving long-term goals with regard to sustainable development. Furthermore, Melissen and Reinders ( 2012 ) cri-tique that the setup encompasses a rigid distinction between environmental and social criteria, and that their interrelation is not adequately addressed in the actual criteria. Nevertheless, they consider it important to note that the current programme includes a number of characteristics and procedures that would facilitate the improvement of Dutch SPP. For instance, they refer to the procedure for developing criteria, which allows for comments and feedback from the stakeholders.

Moreover, it is also worth noting the political decision (in the form of a written statement to the Parliament) taken by the Dutch government on social criteria in SPP. The ministers (vide their written statement to the Netherlands Parliament) had stated that ‘it is not socially acceptable for governmental bodies in the Netherlands to procure goods and services whose supply involves infringement of the fundamental rights of people in other countries, and that other levels of the government (municipalities, regions) will be asked to subscribe to the approach defi ned by the cabinet’ (NL Government, 2009 ).

9.4.4 Policy context in Sweden

In Sweden, the environment ministry is responsible for GPP at the governmental level. The Swedish environmental protection agency (Swedish EPA) has the responsibility to monitor and evaluate the GPP. The Swedish environment management council (SEMCo), a government-owned

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corporation, has the operational responsibility for implementing the national action plan on GPP (Bergman et al ., 2012 ). SEMCo provides expertise in the area of GPP, and also develops GPP criteria for various product groups. According to SEMCo ( 2012 ), although Sweden has been ranked high in inter-national evaluations on environmental and socially responsible procurement, there is a need for a national action plan on sustainable procurement.

Furthermore, SEMCo considers the decision to develop the national action plan on SPP as one of the priority measures for using public procure-ment as an effective environmental and political tool. In addition, SEMCo has also questioned the role and potential of GPP to actually contribute to fulfi l the Swedish national environmental quality objectives. The Swedish national environmental quality objectives have been adopted by the Swedish Parliament for 16 areas such as reduced climate impact, a non-toxic envi-ronment, sustainable forests, among others. These objectives have been embraced in order to attain the generation goal, which is to ‘hand on to the next generation a society in which the major environment problems facing Sweden have been solved’ (Regeringskansliet, 2004 ). When SEMCo inves-tigated the opportunities within public procurement to fulfi l these 16 objectives, it made certain recommendations for strengthening sustainable procurement. These recommendations include securing credibility in the concept of sustainable procurement and considering it as a target-oriented societal economic political tool; using available practical applications to increase innovative procurement; seeking information/clarifi cation about the environmental and climate performance of products; promoting dia-logue between key players (SEMCo, 2012 ).

9.4.5 Policy context in New Zealand

The Australian Procurement and Construction Council (APCC) has developed an Australian and New Zealand government framework for sustainable procurement (APCC, 2007 ). This joint framework for sustain-able procurement provides a set of principles to facilitate the public sector in Australia and New Zealand to integrate sustainability considerations into the procurement of goods, services and construction. Furthermore, APCC ’ s guiding principles are supported by best practice implementation activities (see Table 9.1 ), which agencies can adhere to when developing their sustainable procurement strategies, guidance material and training tools.

Moreover, the New Zealand government had appointed an advisory group to investigate and report on topics crucial to New Zealand ’ s success in achieving greener and faster growth (Green Growth Advisory Group Secretariat, 2011 ). In its report, the advisory group has made certain recom-mendations in the context of the construction sector. The advisory group has recommended that the government should designate construction as a

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Table 9.1 APCC ’ s four guiding principles and supporting implementation activities

Principles Certain examples of implementation activities

Avoid unnecessary consumption and manage demand

Assess the need for procurement, and whenever possible reduce consumption; consider alternatives to product procurement such as reuse, refurbish the product to extend its durability; consider incorporation of management systems to monitor and report consumption levels; consider alternatives to acquisition such as introducing service options to meet a need.

Identify products and services with lower environmental impacts across their life cycle compared with competing services and products

Verify the sustainability credentials of a supplier/contractor and product, and ensure that decisions on sustainable products and services are evidence based.

Promote a viable Australian and New Zealand market for sustainable products and services by supporting businesses that demonstrate innovation in sustainability

Establish procurement processes that promote innovation and facilitate the commercialisation of environmental initiatives created under contract; support long-term partnerships with suppliers and contractors that adopt sustainable practices.

Support suppliers to government who adopt socially responsible and ethical practices

Require suppliers and contractors to demonstrate a commitment to ethical practices, and to consider relevant government employment policy objectives that relate to particular community sectors.

green growth sector in relation to public procurement. Furthermore, it has suggested that the highest priority should be given to green procurement in the reconstruction of Christchurch (one of New Zealand ’ s largest cities, damaged by several earthquakes during 2011). The advisory group ’ s report also notes the signifi cant barriers to GPP in New Zealand, which include the tendencies of procurement decision makers and their suppliers to prioritise cost and immediate affordability above other aspects, and a lack of understanding about environmental criteria in certain areas. The report also states that the public sector agencies do not have suffi cient incentive or resources to choose eco-effi cient alternatives in their building, technol-ogy and vehicle procurement. Nonetheless, what needs to be investigated is the extent to which the APCC principles have been followed in the rebuilding of Christchurch. Furthermore, such an investigation should also provide an understanding of the practicalities and challenges involved in implementing various activities prescribed under the four principles.

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9.4.6 Policy context in Korea

The Korean government has introduced the Act on encouragement of pur-chase of green products (2004) . The purpose of this act is to prevent waste of resources and environmental pollution, and contribute to sustainable development by purchase of eco-effi cient products. In accordance with this act, the minister for the environment formulates basic plans for encouraging procurement of eco-effi cient products, following consultation with the heads of the relevant central administrative agency every fi ve years. The public institutions subject to this act include state agencies, local govern-ments, and certain designated public organisations. The heads of public institutions are required to compile procurement records of eco-effi cient products pursuant to implementation plans and submit reports to the min-ister for the environment. According to the act, the minister for the environ-ment can partially entrust the tasks under the act to relevant specialised institutions such as the Korean Environmental Industry and Technology Institute.

An OECD paper on Korea ’ s low carbon green growth strategy states that the Korean government is also operating the public procurement system for minimum green standard products called ‘Minimum Green Standard’. The Minimum Green Standard is composed of environmental standards such as energy consumption effi ciency, recycling and others. Only the prod-ucts that meet these requirements are allowed to have business transaction on the Korea online procurement system. The OECD paper highlights that this standard provides a strong incentive for the producers of eco-effi cient products. In addition, in several cases, government procurement serves as one of the direct incentives contributing to the innovator ’ s entry into the market. Once innovative products are judged to be eco-effi cient, govern-ment becomes an early adopter of the product. Thus government procure-ment enhances public confi dence in relevant business areas, and thereby stimulates the market (Kang et al ., 2012 ).

In contrast to some of the other OECD countries that have progressed to SPP, Korea is yet to take that leap. The focus of the current Act on encouragement of purchase of green products (2004) is on environmental labelling of products. However, if Korea chooses to shift to SPP in the near future, there is a need for a ‘paradigm shift’. This holds true as well for most of the other countries that have recently extended GPP to SPP.

9.5 The need for a paradigm shift

Hall and Howe ( 2010 ) highlight that a paradigm shift indicates a ‘complete revolution in the mindset of scientifi c community’, and involves the consid-eration of newly discovered realities against established views. Although

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the fi ve countries discussed in Section 9.4 have different levels of achieve-ment and varied approaches, it can be said that they are all moving in the same direction. The introduction of SPP in certain countries should have stimulated a profound change in the implementation of GPP, implying, fi rst and foremost, that the scope of GPP must have expanded. However, certain studies have shown that SPP, in practice, has not triggered the movement beyond the environmental criteria (Meehan and Bryde, 2011 ; Melissen and Reinders, 2012 ). These studies indicate that the paradigm shift can generally be discussed for all the fi ve countries and also other states that have adopted GPP and SPP. Moreover, GPP is one of the several policy instruments to have gradually become established in developing economies such as China (Geng and Doberstein, 2008 ). Though relatively late, China has adopted GPP policy and has started with its implementation (Qiao and Wang, 2010 ). Furthermore, the national policy framework for public procurement in China provides a promising basis for promoting SPP (Philipps et al ., 2011 ). In India, the draft public procurement bill states that environmental criteria of a product may be adopted as one of the criteria for evaluation of tender. Furthermore, the government has formulated a committee to develop guidelines on SPP (Kumar, 2012 ). If such growing momentum for SPP is to introduce the changes that are ‘worthy of the name paradigm shift’ (Hall and Howe, 2010 ), then several issues have to be addressed. We put forth certain issues for con-sideration, particularly within the context of GPP in the construction sector.

9.6 Implementing GPP/SPP in the

construction sector

9.6.1 GPP/SPP criteria in the construction sector

A Swedish study has identifi ed the types of environmental requirements applied in civil engineering and building projects in Sweden. Those concern-ing waste disposal during construction, environmental planning during construction, working environment and the contractor ’ s EMS had a high frequency among both civil engineering and building projects (see Figs 9.2 and 9.3 ). The study revealed that expert judgement was the frequently adopted method for formulating the environmental requirements and cri-teria. In addition, tools such as life cycle assessment (LCA) and environ-mental impact assessment (EIA) were used to formulate environmental requirements in the cases where project-specifi c requirements were applied (Varnäs et al ., 2009a ). The use of such tools to develop GPP criteria is dis-cussed later in this chapter.

The fundamental concept of GPP relies on establishing environmental criteria for products and services based on an in-depth knowledge of their life cycle impacts (Evans et al ., 2010 ). Moreover, the establishment of

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9.2 Percentage of the civil engineering projects where each of the eight most frequent environmental requirements had been applied (source: Varnäs et al ., 2009a ).

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criteria requires the identifi cation of key aspects. Ireland ’ s national action plan on GPP entitled Green Tenders (2012) describes the key aspects in the construction sector, which can include design, energy, materials, ecology and site utilities. In the design aspect, procurement procedures for consultancy and engineering design services should include assessment criteria and demonstration of consultants’ environmental design experience. Further-more, energy effi cient design strategies have been recommended to be incorporated at the early design stage. The national action plan has sug-gested that the energy aspect should aim at reducing the energy demand and maximising energy effi ciency. In addition, it should also focus on secur-ing energy supplies that are less carbon-intensive. In terms of the materials aspect, the national action plan has emphasised the assessment of all materi-als used in construction for environmental impacts over the appropriate appraisal period for the project. Moreover, procurers are required to ensure that the environmental advantages claimed by the material suppliers can be verifi ed. Aspects of ecology relevant to GPP in the construction sector include, for instance, habitat protection. Site utilities include transport, water and others. The national action plan has recommended taking the necessary steps to protect or enhance site utilities. Therefore, the plan has directed that the relevant environmental criteria should consider the appropriate management of site utilities to optimise use.

Although all these aspects play an important role in understanding how GPP can be incorporated in the construction sector, the comprehensive information on the key environmental impacts of proposed projects is also crucial in adopting the GPP approach. Such key environmental impacts can include those resulting from the consumption of energy for construction purpose and heating and others, emissions caused by the transportation of construction materials and products, as well as consumption of natural resources used in the project (EC, 2008 ). The information regarding these impacts is used in determining the environmental criteria.

In the EU, the GPP criteria are categorised as ‘core’ and ‘comprehensive’ criteria. The core criteria are designed to facilitate easy implementation of GPP, focusing on the key areas of environmental performance of a product, and are intended to be applied with low administrative costs and minimum verifi cation efforts. The comprehensive GPP criteria take into account higher levels of environmental performance and may require additional administrative costs, intended for use by contracting authorities that seek to go further in promoting environmental and innovation goals (CEC, 2008 ). Table 9.2 shows a few examples of core and comprehensive criteria in the construction sector, which are based on the recommendations pro-vided in the Commission ’ s GPP toolkit. In this GPP toolkit, environmental criteria have been proposed for the design, construction, use and disposal phase of buildings (EC, 2008 ).

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Table 9.2 Examples of core and comprehensive criteria in the construction sector

Core criteria Comprehensive criteria

Specifi cations Award Criteria (additional points for)

Specifi cations Award Criteria (additional points for)

Energy performance Overall energy demand of

the building should be [X]% lower than the maximum defi ned in [relevant legislation].

Lowest energy consumption compared with that demanded in the specifi cations.

Overall energy demand of the building should be [X]% lower than the maximum defi ned in [relevant legislation].

A minimum of [X]% of energy demand must be provided by localised renewable energy sources.

Lowest energy consumption compared with that demanded in the specifi cations.

Innovative energy effi cient building services.

Building materials Exclusion of certain

materials that contain hazardous substances.

Using timber from legal sources.

Use of construction materials/products complying with certain environmental criteria.

Exclusion of certain materials that contain hazardous substances.

Using timber from legal sources. Silicon-blasting agents not to be

used.

Use of construction materials/products complying with certain environmental criteria.

Competition around insulation properties of the proposed insulation materials.

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In certain cases, the criteria have also been developed by the member states. For instance, in the Netherlands, the criteria for SPP of construction works have been developed by the NL Agency. The construction works include civil engineering structures such as permanent bridge, weir, culvert, tunnel, etc. The NL Agency has made recommendations for the preparatory (points for consideration) and specifi cation (criteria) stages of the public procurement process. In the preparatory stage for a tender call, it recom-mends incorporating sustainability by considering whether the purchase is truly necessary and if a more sustainable alternative might be available. It also recommends that sustainability aspects of the project should be con-sidered at an early stage, prior to the commencement of the procurement phase. Furthermore, the specifi cation stage should entail the formulation of criteria for supplier qualifi cation, description of minimum requirement per-taining to supply and service, award criteria, as well as contract stipulating the contracting provisions (NL Agency, 2010c ). Ensuring sustainability by questioning the necessity of a purchase and the availability of a sustainable alternative is primarily an effort to minimise the consumption of resources. Such an effort is a signifi cant part of GPP/SPP.

However, the study conducted by Vermande and van der Heijden ( 2011 ) shows that the minimisation of using resources has received less attention in the EU construction sector. According to their study, only Italy and Slovakia have regulations for the use of recyclable materials, while Cyprus, the Netherlands, Poland, Romania and Slovenia have plans to introduce regulations. In relation to resource minimisation, Sutton and Preece ( 1998 ) have recommended procurers to apply the principle of ‘dematerialisation’, which generally refers to the ‘absolute or relative reduction in the quantity of material used and/or the quantity of waste generated in the production of a unit of economic output’ (Cleveland and Ruth, 1998 ).

Bernardini and Galli ( 1993 ) have highlighted that the environment is both a major driver and benefi ciary of dematerialisation. However, they have also discussed certain issues that require careful examination. One such issue includes the lack of clarity concerning the possibility of dematerialisation being counterbalanced by an equivalent increase in the number of products used. An example they cited was the contribution of microelectronics to the decrease in the size and material content of televi-sion sets, which, however, had led to a strong decrease in prices, thereby favouring the diffusion of multiple sets in households.

Moreover, Cleveland and Ruth ( 1998 ) have agreed with those analysts who have argued that it is necessary to question the ‘gross generalisation’ regarding material use, particularly the assurance that technical change and substitution leads to decreased material intensity and reduced environmen-tal impact. Furthermore, they have recommended that such questions need to be addressed in the ‘defi nitive movement’ towards the direction of dema-terialisation. This is an indication that the development of GPP cri teria

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including those related to resource minimisation must address the long-term implications of the criteria and also question whether they are broad enough to achieve sustainable development. For instance, in terms of the GPP cri-teria concerning energy effi ciency, it is relevant to discuss the study of Brookes ( 2000 ). He had argued that there is no appropriate reason behind preferentially choosing energy, from among all the resources available, for effi ciency maximisation. He indicated that focusing on maximisation of energy effi ciency is not a proxy for enhancing social benefi t or reducing environmental damage. Furthermore, in the context of action to address global warming, he suggested that it is the level of emission of harmful gases that needs to be abated. Hence, merely concentrating on energy effi ciency improvement will be a blunt approach that is not being aimed directly at reducing consumption of environmentally unfavourable fuels or energy sources. According to him, the least damaging course is to determine targets, enact the restrictive measures needed to curtail consumption, and then leave it to consumers (intermediate and fi nal) to optimise the allocation of all resources available to them given the constraints including the enacted ones.

Nevertheless, it must be acknowledged that the EU GPP criteria related to energy performance requirements in the construction sector are not restricted to energy effi ciency. In addition, they also highlight renewable energy sources. Under the comprehensive GPP criteria, the technical specifi cations include two options, of which the fi rst one highlights the requirement that a certain percentage of the energy demand needs to be provided by renewable energy sources. However, under the core criteria, the requirement of renewable energy sources has been included in the award criteria and not under technical specifi cations. In the context of such content-based distinction between the approaches within the procurement procedure, it is important to refer to the arguments of the advocacy group ClientEarth. According to ClientEarth, such content-based distinction is fuelled, partly, by an apprehension that the incorporation of sustainability objectives into technical specifi cations and award criteria might get out of control, and that public procurement might lead to overloading the tenderers with additional requirements that are essentially irrelevant to the pro-curement itself. They recommend that there is a need to move from a content-based to a role-based distinction between technical specifi cations, award criteria and contract performance conditions. This indicates that these three approaches in the procurement procedure need to be distin-guished on the basis of their role in the procedure and not their content. Furthermore, ClientEarth emphasises that it is necessary to remove the lists and segments of detail about the types of criteria that may or may not be technical specifi cations or award criteria. Furthermore, they highlight that the contracting authorities should have discretion to determine whether they include sustainability considerations as technical specifi cation, award criteria or contract performance conditions (ClientEarth, 2012 ).

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9.6.2 Using life cycle assessment (LCA) and environmental impact assessment (EIA) to implement GPP/SPP

In the procurement stage of the road planning process in the Netherlands, contractors are required (since April 2012) to use a particular LCA model developed by the Dutch Ministry of Infrastructure and Environment (Kluts and Miliutenko, 2012 ). This demand put forward by the planning authority to the potential contractors can be considered as an environmental require-ment. Moreover, LCA can be used to identify environmental criteria for GPP. For instance, Tarantini et al . ( 2011 ) have conducted a case study on windows to defi ne GPP criteria (see Table 9.3 ). They used LCA to identify the key environmental impacts of the building element (windows) and the key responsible processes. Their study revealed that LCA facilitates the highlighting of some considerations that can be used to develop a structured approach for GPP of construction products. They also indicated that an appropriate evaluation of the environmental impact of building materials and components must consider not only the impact of their production stage, but also how their technical characteristics contribute to the overall environmental performance of the building in its use and end-of-life phases. For instance, the improvement of the technical characteristics of the window (air tightness, thermal transmittance coeffi cient) to limit the operational energy losses is the most relevant criterion to be included in a tender.

In addition, Tarantini et al . ( 2011 ) have discussed that in a GPP procedure, specifi c criteria should be developed at the level of building element such as external walls, windows, roofs, taking into account only the technical characteristics that infl uence the environmental performance in the use phase, leaving aside the selected products and materials. Furthermore, the GPP criteria for construction materials and products that are part of this element should refer to the environmental impact of their production. In this way, it will be possible to aggregate GPP criteria at different construc-tion product scales (materials, products, components, elements) and address the environmental impact of building materials at different levels.

Furthermore, the use of EIA has also been discussed. Sadler and McCabe ( 2002 ) defi ne EIA as ‘a systematic process to identify, predict and evaluate the environmental effects of proposed actions and projects’. EIA has been identifi ed as a policy instrument that can signal to the developer a potential confl ict, and also facilitate discussions of eco-effi cient solutions that offset negative environmental impacts (Glasson et al ., 2005 ). Varnäs et al . ( 2009b ) indicate how the EIA process facilitated GPP in a construction project in Sweden. The technical specifi cations for this project were prepared simultaneously with the work on the EIA. The EIA process identifi ed and assessed the environmental impacts of the different production methods to be adopted in the project. Furthermore, the information regarding these

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impacts was used to describe the environmental requirements in the tender documents. The tender documents also described the steps that the contrac-tor should take to comply with the environmental requirements and moni-toring measures.

One of the benefi ts of using EIA to implement GPP can be related to the rule concerning the ‘link to the subject matter of the contract’. The subject matter of the contract is an important part of the procurement process as it sets out the scope of the content of the procurement contract. The European Court of Justice (ECJ) has held that award criteria stated in public procurement contracts must be linked to the subject matter of the

Table 9.3 Approach to select environmental criteria for GPP of windows (adapted from Tarantini et al ., 2011 )

Responsible process

Key environmental impacts

Selected GPP criteria

Energy losses in use phase

• Greenhouse effect • Acidifi cation • Photo-oxidant

formation • Primary energy

consumption

• Maximum value for thermal transmittance coeffi cient, air tightness

• Improvement of thermal transmittance coeffi cient (award criteria)

Double glazing production

• Use of best available techniques (BAT) for glass production

• Prolonged warranty for window (award criterion)

Frame production (Al)

Frame production (PVC)

Frame production (wood)

• Greenhouse effect • Acidifi cation • Photo-oxidant

formation • Primary energy

consumption • Waste production

(Al, PVC) • Hazardous

chemicals (PVC, wood)

• List and weight % of window materials

• Use of BAT (Al, PVC production)

Award criteria • Limit on classifi ed chemicals

(PVC) • Declaration of recycled content

(Al, PVC) • Identifi cation and marking of

plastic parts ( > 50 g) • Use of wood from legal sources

and from sustainably managed forests

• Limit on formaldehyde in wood panels

Painting process in production phase

Photo-oxidant formation

Use of low VOCs paints

Windows end-of-life

Waste production Take-back system for windows

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contract. In certain cases, the ECJ has clarifi ed that so-called ‘horizontal criteria’ (used to promote social, environmental, and other societal objec-tives) must be related to the subject matter of the contract. Furthermore, horizontal criteria that satisfy the ‘linked with the subject matter’ rule might be perceived as being located at the intersection between the functional and horizontal (societal, environmental) objectives of the contract (ClientEarth, 2011b ).

Arrowsmith and Kunzlik ( 2009 ) have illustrated the relationship between functional and horizontal objectives to argue for the equal status of the latter and other procurement policies (such as value for money). They con-sider the specifi c functions of public authorities as organised into vertical ‘silos’, and the horizontal objectives as cross-cutting policies, which are not necessarily arising from the particular function of a given body but may nonetheless be advanced through the way in which it conducts its activities. They cite the example of the construction sector, where the public authority might wish to favour bidders who can demonstrate that their overseas facility does not employ child labour.

Furthermore, ClientEarth ( 2012 ) argue that it is important to affi rm the ‘link to the subject matter’ rule in order to address the apprehension (that the incorporation of sustainability objectives into technical specifi cations might impose additional irrelevant requirements on the tenderers), which necessitates the adoption of content-based distinction for the approaches within the procurement procedure. ClientEarth identify this rule as an appropriate constraint on the scope of sustainable procurement objectives. In addition, they recommend that the rule should be interpreted broadly to include, for instance, aspects embedded in a product or service due to choices made in the production phase, but not necessarily visible in that product or service. In particular, there has been a resistance from the Commission to accept technical specifi cations that relate to production processes. Therefore, ClientEarth ( 2011c ) have debated that where a con-tracting authority sees a horizontal objective related to the production characteristic category as a pre-requisite, then they should be able to include it as a technical specifi cation. Moreover, they also emphasise that technical specifi cations must be precise. For instance, it will not be suffi cient to require ‘low environmental impact’ without defi ning what that means.

If horizontal criteria are equated to GPP/SPP criteria, then the applica-tion of an instrument such as EIA could be one approach in the construc-tion sector to strengthen the link between the GPP/SPP criteria and the subject matter of the contract. This indicates that EIA might facilitate in locating that ‘intersection’ where functional and horizontal objectives can meet. Moreover, in many cases, EIA is one of the policy instruments that aid the decision-making process. In other words, along with other documents and plans pertinent to the proposed activity, EIA report contributes to the

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approval/disapproval of the procurement of construction projects. Hence, from that point, EIA plays an important role in procurement. Therefore, there is the potential to extend the infl uence of EIA to where the actual procurement of services and products are to be made for the project, which indicates that the coordination between GPP/SPP and EIA needs to be improved. Opportunities to improve such coordination have been identifi ed (Uttam et al ., 2012 ).

9.7 Key concerns for progress towards SPP

As GPP is expanding towards SPP in several countries, it requires a para-digm shift in the way its expansion is planned. In the context of the con-struction sector, there are several issues to consider. The predominant focus in GPP on certain measures such as maximisation of energy effi ciency needs to be investigated for its future consequences. The confl icts within such employed measures need to be addressed. In terms of energy effi ciency, it can be done in the light of concerns raised in some of the previous studies (e.g., Brookes, 2000 ). However, SPP should also strive to move beyond energy effi ciency and emphasise the procurement of renewable energy.

Kunzlik ( 2009 ) draws some conclusions regarding the extent to which the public authorities in the EU are allowed to favour the procurement of renewable energy. He argues that even if the Commission accepts that the supply of renewable energy can be specifi ed in a contract, it does so whilst simultaneously maintaining its position against the permissibility of require-ments related to production processes and methods that do not affect consumption characteristics. However, at the consumption stage, electricity from renewable sources and that from fossil fuels are indistinguishable in terms of their polluting effects. It is only at the production stage that the electricity from renewable sources is less polluting. Thus Kunzlik argues that the distinction between production processes and methods affecting consumption characteristics and those which do not is obscuring the true position.

Moreover, such issues need to be addressed if SPP has to move beyond usually adopted criteria (as in GPP) and incorporate social and economic concerns into the procurement decisions. For instance, the employment conditions of those manufacturing the product do not necessarily impact on the physical characteristics or function of the end product but are important from a sustainability perspective. In addition, strengthening the coordina-tion between SPP and policy instruments such as EIA could be one approach to establish the relation between the sustainability criteria and the func-tional objectives of the procured products or services. Furthermore, if such sustainability criteria are included as technical specifi cations, the bidder is required to demonstrate, prior to the contract being awarded, the ability to

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provide goods and services compliant with the criteria stipulated. On the contrary, specifi c conditions, which may be included in the contract to specify how the contract is to be performed, are a less reliable mechanism for ensur-ing that the conditions specifi ed are actually complied with. Thus it is highly questionable whether environmental and social considerations related to the supply chain of the procured goods or services can be linked to the per-formance of a contract between the contracting authority and the product or service provider (ClientEarth, 2011c ). Therefore, achieving clarity on such procedural issues would enable better implementation of SPP.

There is a need to assess the degree of inconsistency between the con-tracting authorities’ views on environmental requirements in the fi nal selec-tion of contractors, and the perception the potential contractors have on the same (Michelsen and De Boer, 2009 ). Meehan and Bryde ( 2011 ) argue that the contractor ’ s compliance with tender requirements is not necessarily driven by the need to share ‘sustainability values’. We also underscore ‘values’, which we believe is crucial for SPP. There have been various efforts to identify values that are deemed necessary to sustainability. For instance, the Earth Charter Initiative has put forth four general-level values: respect and care for the community of life; ecological integrity; social and economic justice; and democracy, nonviolence and peace (Earth Charter International Secretariat, 2000 ). ‘Yet these different efforts are broadly consistent with the conception of values as abstract ideals that defi ne or direct us to goals and provides standards against which the behaviour of individuals and societies can be judged’ (Leiserowitz et al ., 2006 ). Furthermore, value con-cerns cannot be separated from procedural complexity; they are intertwined (Campbell, 2006 ). Therefore, if SPP is to truly embed sustainability in procurement decisions, then explicit consideration should be given to the values that stimulated its establishment.

9.8 References

Act on encouragement of purchase of green products (2004) Ministry of Govern-ment Legislation. Act No. 7296, Dec. 31, 2004 .

APCC ( 2007 ) Australian and New Zealand government framework for sustainable procurement, Deakin West Act, Australian Procurement and Construction Council.

Arrowsmith , S. and Kunzlik , P. ( 2009 ) ‘ Public procurement and horizontal policies in EC law: general principles ’, in Arrowsmith , S. and Kunzlik , P. Social and Envi-ronmental Policies in EC Procurement Law – New Directives and New Directions , New York : Cambridge University Press , 9 – 54 .

Ball , J. ( 2002 ) ‘ Can ISO 14000 and eco-labelling turn the construction industry green? ’, Build Environ , 37 ( 4 ), 421 – 428 .

Bergman , I.M. , Ståhlberg , A. , Dreyer , R. , Standley , M. and Jonsdottir , E.R. ( 2012 ) Mainstreaming GPP in the Nordic Countries – A Scoping Study , Copenhagen : Nordic Council of Ministers .

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Bernardini , O. and Galli , R. ( 1993 ) ‘ Dematerialization: long-term trends in the intensity of use of materials and energy ’, Futures , 25 ( 4 ), 431 – 448 .

BRE ( 2011 ) Green Public Procurement – Hard Floor Coverings – Technical back-ground report for the European Commission , Brussels : European Commission, DG Environment .

Bröchner , J. ( 2010 ) ‘ Construction contractors as service innovators ’, Build Res Inf , 38 ( 3 ), 235 – 246 .

Brookes , L. ( 2000 ) ‘ Energy effi ciency fallacies revisited ’, Energy Policy , 28 ( 6–7 ), 355 – 366 .

Campbell , H. ( 2006 ) ‘ Just planning: the art of situated ethical judgment ’, J Plann Educ Res , 26 ( 1 ), 92 – 106 .

CEC ( 2007 ) ‘ Communication from the Commission to the Council, the European Parliament, the European Economic and Social Committee and the Committee of the Regions, a lead market initiative for Europe ’, Commission of the European Communities COM (2007) 860.

CEC ( 2008 ) ‘ Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions – Public Procurement for a better environment ’, Commission of the European Communities COM (2008) 400.

Cleveland , C.J. and Ruth , M. ( 1998 ) ‘ Indicators of dematerialization and the materi-als intensity of use ’, J Ind Ecol , 2 ( 3 ), 15 – 50 .

ClientEarth ( 2011a ) ‘ Sustainable development as a key policy objective of the European Union ’, in ClientEarth, Identifying opportunities for sustainable public procurement briefi ng series . Available from: http://www.clientearth.org/public-procurement/public-procurement-publications/identifying-opportunities-for-sustainable-public-procurement (accessed 10 July 2012).

ClientEarth ( 2011b ) ‘ Clarifying the link to the subject matter for sustainable pro-curement criteria ’, in ClientEarth, Identifying opportunities for sustainable public procurement briefi ng series . Available from: http://www.clientearth.org/public-procurement/public-procurement-publications/identifying-opportunities-for-sustainable-public-procurement (accessed 10 July 2012).

ClientEarth ( 2011c ) ‘ Technical specifi cations ’, in ClientEarth, Identifying oppor-tunities for sustainable public procurement briefi ng series . Available from: http://www.clientearth.org/public-procurement/public-procurement-publications/identifying-opportunities-for-sustainable-public-procurement (accessed 10 July 2012).

ClientEarth ( 2012 ) ‘ Distinguishing technical specifi cations and award criteria on the basis of role, not content ’. Available from: http://www.clientearth.org/public-procurement/publications/ (accessed 10 July 2012).

Commission Directive 2004/18/EC of the European Parliament and of the Council of 31 March 2004 on the coordination of procedures for the award of public works contracts, public supply contracts and public service contracts. European Union.

Commission Directive 2009/147/EC of the European Parliament and of the Council of 30 November 2009 on the conservation of wild birds. European Union.

Earth Charter International Secretariat ( 2000 ) The Earth Charter . Available from: http://www.earthcharterinaction.org/invent/images/uploads/echarter_english.pdf . (accessed 8 November 2012).

EC ( 2003 ) ‘ MEMO on Commission strategy to protect Europe ’ s most important wildlife areas – frequently asked questions about NATURA 2000 ’. European

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