SUSTAINABLE PROCUREMENT
All Departments through their procurement activities have a major influence on the
range of products purchased and should be promoting where possible product
ranges which are manufactured from recycled or sustainable sources. Procurement
has a significant impact on the environment through production, storage, distribution
and the eventual disposal.
The Council has a commitment to improving the environment. This is reflected in
policies throughout the Authority. All officers involved in the purchase of products and
services on behalf of the Council have a responsibility for what they buy. The Council
is greatly concerned about the environmental impact of materials bought for use by
Departments. Staff should specify products which have the least environmental
impact wherever possible and use the Council’s approved suppliers for stationery,
printing, furniture, etc. When making any purchase an environmental assessment of
the product should be undertaken. Part of the process will also be the need to
evaluate the potential whole life costs for products. The whole life cost is based on
the total cost from initial concept through to end of useful life of an asset through to
disposal and will includes all related running costs.
The quality of products manufactured from recycled materials is now often extremely
high.
One possible definition of sustainability in relation to procurement might be:
A sustainable environment aims to meet the needs of the present without
compromising the needs of the future. Sustainability is a method of
harvesting or using a resource so that the resources are not depleted or
permanently damaged.
If you are not convinced of the environmental benefits of a product or service ask for
further details from the supplier or seek an alternative which does meet your criteria.
Climate Change
Climate change is seen as a great threat to our future. Unless society begins to
take into account the impact our day-to-day activities have on the environment
there may be a long-term severe affect on our climate. These changes are
caused primarily by greenhouse emissions which are released into the
atmosphere from burning fossil fuels. We need to ensure that we consider
more efficient systems which reduce these emissions. One of the key areas of
procurement to consider will be greater use of energy efficiency tools.
Wood
When purchasing products manufactured from wood it is important to ensure
that the product is from a sustainable source. The Forestry Stewardship
Council (FSC) is an internationally accepted scheme to promote the
responsible management of forests. Products which are FSC certified benefit
from an independent assurance the forests of origin are managed to the
highest social and environmental standards. The number of products carrying
the FSC Certification is increasing year on year.
The Councils policy is to avoid purchasing equipment and furniture containing
tropical hardwoods, including veneers. The use of tropical hardwoods from
certified sustainable sources is permitted subject to Member approval
Details of the Forestry Stewardship Council timber labelling scheme: www.fscuk.info
Product Promotion
The promotion and marketing of any products and services which promote
sustainability is encouraged. Promotion is two fold:
 Firstly there are the products and services which we use in the Borough on a
day-to-day basis, i.e. stationery, where staff need to be aware of the product
availability and requirement to order from approved sources. Core items from
our corporate stationery contract take account of sustainable issues within the
evaluation criteria. In particular the price list identifies products with
environmental benefits with the prefix “env” or “envt”.
 Secondly there are now a number of products available which the Borough
uses which may need to be promoted/explained to residents to increase their
awareness of what the council is doing, i.e. recycled materials used in
highway construction.
It is recommended that Departments consider the option of swapping nonenvironmental products for green versions, in particular where there are no cost
implications.
We all need to take responsibility to promote/communicate information to our
end users and clients with regards to sustainable procurement policies.
WEEE Directive
The Waste Electronic and Electrical Equipment (WEEE) Directive requires
manufacturers to be responsible for the disposal and recovery of materials. This new
directive will have a significant impact on the procurement cycle for new products.
Suppliers will need to consider the cost of disposal through the supply chain. Issues
around this directive will have an impact on consumers as they continue to update
their electronic equipment to keep apace of the technology without regard for the
disposal of their existing equipment.
For further information please use the following link to the Department of Trade and
Industry website: www.dti.gov.uk/sustainability/weee/
Recycle It Now has additional links with regards to the new WEEE Directive:
http://www.recycleitnow.org.uk/index2.html
The London Green Procurement Code
The London Green Procurement Code was launched by the Mayor for London
in 2001. The scheme is run by London Remade and was written in co-operation
with the Chartered Institute of Purchasing and Supply (CIPS). The code is
aimed at all businesses in London. Nearly 400 businesses have already signed
up to the code. The prime aim of the code is to promote the use of products
manufactured from recycled materials. The London Green Procurement Code
is being seen as a useful tool by various businesses in London. Within the
Code there are the following four categories of membership.
Part A is in two parts and follows a Commitment to engage with London Remade to
explore practical opportunities for purchasing products made from recycled products.
Part B is also in two parts and is the next step where the borough would commit to
providing a baseline of data on current purchases leading to a commitments to
measurable targets.
Significantly, the boroughs which have signed up to the Code are already jointly
contracting for some of the products being promoted by the Code.
Richmond is currently signed up to level A2 with a commitment to explore
practical opportunities for specifying and purchasing products made from
recycled products.
For further details on London
http://www.londonremade.com/
Remade
please
see
their
website:
The Mayors Office has details on the environmental policies and strategy for London.
www.london.gov.uk/mayor/environment/strategy.jsp
How to Evaluate Environmental Risk
Environmental considerations need to be considered at the outset of any
procurement process. As part of an environmental assessment the use of a matrix
can help measure risk and make informed decisions for a particular contract or
service.
The IDeA have produced Guideline’s for Environmental Purchasing (for further
information
please
follow
the
attached
links
http://www.ideaknowledge.gov.uk/idk/aio/69800
and
http://www.ideaknowledge.gov.uk/idk/aio/69979).The guidance includes a Green Purchasing Risk
Matrix for assessing the environmental risk for various groups of products and
services. On the model the product or service is plotted on a high low matrix which
will quantify the potential environmental risks. It is recommended that this matrix
should be used to plot the potential risks prior to procuring goods and services for the
Borough. The criteria used to establish the decision should be retained to form an
audit trail.
When starting a new procurement the IDeA have suggested that the decision
can be classified as having a high or low environmental risk in terms of the :
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sustainability of the raw materials used
energy consumed in the conversion process
environmental impact ‘in use’
ability to be re-used or recycled
biodegradability at the end of its useful life.
Procurement processes can also be classified as having a high or low profile risk in
terms of:
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publics perception of whether a purchase is environmentally friendly
potential for adverse publicity associated with the purchase
potential to detract from the Boroughs own environmental policies and practices.
The ‘environmental risk’ is relative and will be concerned with actual knowledge of
the environmental processes. While the ‘profile risk’ is concerned with perceptions of
those outside the organisation and what they think the organisation should be doing.
This may or not be based on an informed decision and has the potential for adverse
publicity which will detract from other good environmental procurement practices.
Using a matrix helps to develop the appropriate procurement strategies for the
Borough or frame a particular purchase within the matrix.
A selection of services are listed below. These categories of contracting which
have been positioned in a hi-lo matrix to illustrate the perceived risks. Your
own perceptions may be different but depending on where your procurement is
in the framework you should consider the environmental implications in terms
of your selection of product, supplier and supply chain issues ( eg safety,
shipping, storage, disposal etc). For example a dishwasher will have a dual
effect on the environment. Firstly there is the impact from manufacturing
process of the equipment which will include the cost of the extracting the raw
materials through to the shipping to the retailer and subsequently to the
installation. Secondly once installed the usage of the equipment will impact on
the amount of water and cleaning materials used. There will also be issues
with regards to the long-term environmental impact from the waste disposal.
Environmental Risk
Hi
Lo
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Advertising & Design Services
Bitumen Macadam
Bulk Container Bins
Catering Franchise
Electrical Equipment
Grounds Maintenance
Ready Mix concrete
Rock/road salt
Printer toners
Street lighting
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Aggregates
Batteries
Cleaning Materials /Services
Economic Appraisals
Dishwashers
Energy/Utilities
Heating oil
IT Equipment
Solvents, Paints & Oils
Photocopiers
Timber
Tyres
Vehicle maintenance
Waste Disposal
Works contracts
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Agency staff
Brushes
Cash Collection services.
Children’s play areas
Conveyance of Dead Bodies
Corporate Uniforms
Design & Place Advertisements
Fire equipment
Fitness Equipment
Hall Lettings
Protective Gloves
Reprographics machinery
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Advertising & Design Services
Event organisers
Floor coverings
Floral Decorations
Graffiti Removal/ Obliteration
Mobile communications
Paper
Plastic sacks
Recycling contracts
Security Services
Stationery
Street furniture
Taxi Services
Lo
Hi
Profile Risk
For further details on the on the IDEA’s environmental procurement policies.
www.idea.gov.uk/procurement
Environmental Performance Information
There is a need for information with regards to environmental performance to be fed
into the Councils annual Environmental Sustainability Report. It is important that we
promote how good we are in certain areas to show how well we purchase goods and
services. For a number of years the Borough has been very successful in some
areas e.g. the adoption of paper manufactured from 100% post consumer waste.
However also need to be aware that there may be environmental products were we
have not been so successful in promoting e.g. recycled toner cartridges.
Useful environmental websites
The following websites offer additional background information on environmental and
sustainability issues.

Ecoaction support the London Borough of Richmond’s environmental
and sustainable initiatives: www.ecoaction.richmond.gov.uk/

London Remade supporting the Mayors Green Code and general
advice on environmental issues: www.londonremade.com

Envirowise
offer
environmental
www.envirowise.gov.uk

Details on the new Waste Electrical and Electronic Equipment
(WEEE) Directive. www.dti.gov.uk/sustainability/weee/

The Department for Trade and Industry (DTI) website has guidance
on sustainability issues , including advice to businesses
http://www.dti.gov.uk/sustainability/index.htm

The Environment Agency offers advice from Central Government:
www.environment-agency.gov.uk/

The Forestry Stewardship Council (FSC) promotes the sustainable
use of timber through certification of timber : www.fsc-uk.info

The Improvement and Development Agency (IDEA) offers advice
to Local Government on www.idea.gov.uk/procurement

The Mayor for London with details on the various environmental
initiatives
currently
being
developed:
www.london.gov.uk/mayor/environment/strategy.jsp

Useful link to the NHS website with additional background information:
http://www.pasa.doh.gov.uk/sustainabledevelopment

Recycle It Now has links to information on recycling and the WEE
Directive. http://www.recycleitnow.org.uk/index2.html

The
Sustainable
Development
http://www.sd-commission.org.uk/
advise
to
Commission
business:
website: