E-learning module 5: Presentation

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Thematic Seminar 5
Achieving Energy Efficiency through
Sustainable Public Procurement (SPP)
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Natalie Evans, SPP Project Officer
ICLEI – Local Governments for Sustainability
natalie.evans@iclei.org +49-761/368 92-48
ICLEI – an introduction

Serve a worldwide movement of
local governments to achieve
tangible improvements in global
sustainability

12 mega-cities
100 super-cities and urban regions
450 large cities
450 small & medium -sized cities
and towns
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
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www.iclei-europe.org/
ICLEI and Sustainable Public Procurement (SPP
1996 - Mandate to work on SPP
1996 - Set European SP Exchange network
1998 - 1st European sustainable procurement conference
2004 - Launched European SP Initiative
2009 - Developed the EC GPP Toolkit Member of the EC
2010 - Launched the Procurement Forum
2011 - Developed EC GPP Handbook
2011 - Launched SP Resource Centre
Member of the EC’s Public Procurement Stakeholder Group an
GPP Advisory group
Objectives of the Seminar

Convey the relationship between SEAPs &SPP
Look at how SPP can facilitate successful
SEAPs

Encourage a harmonisation of specific aims
across municipal departments

Highlight relevant resources and support
available to all public administrations

Emphasise the importance of; networking,
information exchange & replicating good practice.

Structure

Introduction

Session 1 – Transport and mobility

Session 2 – Construction and maintenance

Session 3 - Electricity and CHP

Summary and context
Introductory Presentation

Sustainable Public Procurement (SPP) Definition

Legislation

Power of SPP

Implementing SPP – The basics

Procurement methods to promote SPP

Relationship between SPPs and SEAPs
Definition
Sustainable Public Procurement is often
described as being comprised of three main
elements, fundamental to sustainable
development.
Sometimes referred
to as the “triple
bottom line”
Legislation
Legal framework for PP is defined by:
 Treaty of the Functioning of the EU

EU Procurement Directives
• Value for money
• Acting fairly

Revision of procurement directives finalised in
June 2013– more clarity and scope for using
• Life Cycle Costing (LCC)
• Ecolabels
What can SPP achieve?

Major reductions in energy use and CO2
emissions – Passive construction, highly-efficient
lighting, low energy ICT equipment

Development of new environmental technologies
& new ways of carrying out services

Improvements in air & water quality, reduce waste
generation – low emission vehicles, bio-based
products and closed loop systems.

Save money – meet your needs more efficiently.
Consider the real costs over the life cycle
Power of public procurement

Public procurement represents approximately 19% of
GDP in Europe

Huge range of spend areas – from paper to huge
infrastructure projects

5 – 15% market share for most goods and services –
in certain areas much higher

Huge potential to drive the development of
sustainable and innovative solutions
The Procura+ milestone approach
Implementing SPP

The essentials for each tender:
• Carefully define subject matter
• Consider output-based specifications
• Include GPP technical specifications and award
criteria
• Make a business case for GPP based on LCC

Procurement methodologies to promote SPP
• Energy Performance Contracts
• Competitive dialogue
• Market engagement – “meet the supplier”
• Design competitions
National Action Plans & Support
Country
Action Plan
Bulgaria
In progress (Ministry of Economy and Energy,
Ministry of Environment and Water, Council of
Ministers and Public Procurement Agency)
Germany
Adopted and legally binding for timber and LCC
Ireland
Adopted
Lithuania
Adopted
Slovenia
Adopted
UK
Adopted
See http://ec.europa.eu/environment/gpp/action_plan_en.htm
for full details on each Member state’s national action plan
SPP in Scope 1, 2 and 3
Session 1: Mobility & Transport

Sector specific
legislation

How economically
and environmentally
sustainable
procurement can
achieve energy
efficiency

Related projects,
guidance and
assistance
Sector-related Legislation

Clean Vehicles Directive (CVD)

Euro Standards – continuously
updated in EU law. Currently
Euro 5 for cars, Euro 6 for heavy
duty vehicles i.e. buses

CO2 emissions must be “labelled”

New legislation – “Clean Power for
transport Package” to encourage
alternative fuels.
Clean Vehicles Directive

3 methodologies:
• Technical Specifications
• Award Criteria
• Life Cycle Costing (LCC) monetising different
pollutants (including CO2, PM, NOx, NMHC)

“Clean Fleets” project [www.clean-fleets.eu ]
• Training
• Workshops, thematic groups
• Direct tender assistance
Using SPP to achieve energy efficiency

Demand Management
• Holistic thinking
• Defining need
-

Market dialogue

Joint Procurement

Research
• Internal need
• Market availability
Freight Consolidation/ Distribution hubs

Bath & North East Somerset, UK

Stockholm, Sweden

Transport for London, UK

Utrecht, Netherlands

Bremen, Germany

Bristol, UK

Norfolk, UK

Växjö, Sweden

York, UK
Case studies

Stuttgart – Electric vehicles for their sewage
treatment plant

Sweden - Joint national procurement of electric
vehicles

Oslo – Framework agreement for electric
vehicles

Ljubjana, Slovenia – Public procurement of
hybrid cars

Berlin, Germany – Using
LCC to purchase energy
efficient police cars
Session 2: Construction & Maintenance

Sector specific
legislation

How sustainable
and innovative
procurement can
achieve energy
efficiency

Related projects,
guidance and
assistance
Sector-related Legislation

Energy Efficiency
Directive adopted
October 2012, Central
Governments have 18
months to comply.
• 3% total floor area
renovated each year
• There are also energy efficiency requirements
for products, services and buildings.

EU Timber Regulation (EUTR) adopted 2010,
came into force this month (March 2013)
• Due diligence – every effort to ensure legality
Using SPP to achieve energy efficiency

Being an intelligent client
• Consulting end users
• Bringing in external experts

Setting targets and requirements
• Energy performance targets
• Performance based specifications

Choosing appropriate procurement models
• Energy performance contracts
• Design competitions
•
Monitoring and management!
Case studies from around Europe

Rotterdam pools-Energy Performance Contract (EPC)

Jyvaskyla, Finland – LCC+ Sharing responsibility

Koprivnica, Croatia - Developing the market
for passive housing construction

Vorarlberg, Austria –
strict technical specs

Scope 3 emissions:
• Cornwall – Low
carbon bus shelters
• Hamburg – 100%
recycled asphalt,
including bitumen
Projects, guidance and support

Sustainable Construction and
Innovation (SCI) Guide &
Snapshots

Smart SPP Guide

Euro Topten Max Project –
direct assistance, procurement
guidelines, sample tenders &
online searchable database

Sustainable Timber Action
(STA) – direct assistance &
online toolkit
Session 3: Electricity and CHP

Sector specific
legislation

How green public
procurement can
achieve energy
efficiency

Related projects,
guidance and
assistance
Sector-specific Legislation

Renewables Directive (2009/28/EC) =
20% share of energy from renewable
sourced by 2020

Cogeneration Directive (2004/8/EC) HE
CHP saving of
at least 10%
compared to
separate heat
and power
Green criteria for electricity & CHP
Electricity
 Core – At least
50% from RES-E
+ additional points
in award criteria
fro +% or HE CHP
CHP
 70% - 80% minimum
overall efficiency
depending on
capacity


Comprehensive –
100% from RES-E
Verified using Guarantee of
origin schemes
For High Efficiency
CHP – at least 10%
energy saving
compared to
separate heat &
electricity production
Case studies

Public Procurement Agency, Slovenia –
Specified at least 30% renewable energy for a 2
year electricity contract and offered additional
points for more.

Waterford, Ireland - Supply of electricity to civic
offices, fire stations, libraries, water pumping
stations and sewage pumping stations. 3 of 5
lots specified green electricity.

Bremen, Germany specified 100% electricity
from renewable sources. Preliminary market
research.
Related projects, guides & assistance

GPP 2020 – will focus on energy related products,
services and works:
• Capacity building & knowledge transfer
• Training
• Tender support

EU GPP Buying Green! handbook

GPP criteria –
Developed by experts
for DG Environment,
encourage stakeholder
involvement
Final discussion points
1)
In general, which SEAP energy sectors would
benefit most from an increased focus on SPP?
2)
To what extent have/will you integrate SPP
considerations into your own SEAP?
3)
Do you have examples of good practice SPP
related to energy efficiency and/or reduction of
energy use from your own/ other
administrations?
Conclusions

SPP can help facilitate SEAPs therefore
departments responsible for both should
collaborate, preferably under a harmonised
strategy.

There is a great deal of guidance, training,
information on good practice, direct assistance
and networking opportunities available – let’s
make the most of them!
Possible actions to take…

Form a working group, harmonise strategies &
priority areas or at least consult appropriate
procurement departments during the planning
stages of any relevant action

Take a look into resources and initiatives that
may be of benefit to your organisation or
encourage the relevant people to do so.

Push your SEAP a stage further by including
scope 2 or 3 emissions to a greater extent.

Consider joining the Procura+ Campaign!
The Procura+ Campaign
Procura+ is an initiative designed to offer direct
support to public authorities in implementing
sustainable procurement, facilitate exchange
and promote achievements internationally
Procura+ Chair and Vice Chair
Chair Pekka Sauri, Deputy Mayor,
City of Helsinki
Vice Chair Mercè Rius i Serra, Deputy
President for Environment, Province of
Barcelona
Vice Chair Lari Pitkä-Kangas, Municipal
Commissioner for Urban Ecology and
Sustainable Development, City of Malmö
The Procura+ Manual
English, French, Italian, German, Greek & Catalan
Available free as a hard copy and pdf
www.procuraplus.org
Procura+ participants

35 participants

14 Countries

Largest: 7,000,000

Smallest: 10,000
Does it work? A small selection...

City of Kolding: changed nearly 100% of its
purchasing policies to include environmental
considerations.

City of Barcelona: in 2010 spent €43 million
on green products and €92 million on
“greened” services (e.g. lighting, fountain
maintenance)

City of Rome: 69% of the 144,000 meals
served by the city each day contain organic
food
For more examples:
www.sustainable-procurement.org/about-spp/spp-in-action/
What do participants get?

Guidance and advice

A systematic implementation model

Opportunities to share with other public authorities

The latest news, tools and guidance material

Priority for project participation and presenting

Promotion, representation and advocacy
To participate:

Report on progress to ICLEI

Contribute an annual participation fee
Exchange

Procura+ Exchange 700 subscribers from 40 countries

English, German and French

Annual Procura+ seminars

EcoProcura conference series (www.ecoprocura.eu)
Sustainable Procurement Resource Centre
(SPRC)
One-stop access point for procurers, policy
makers, researchers and other stakeholders.
Get the latest news and events, take advantage of
networking opportunities and tap into an
extensive searchable database of:
- procurement criteria
- policies and strategies
- tools and guidance
- good practice
- studies and reports
- labels
- useful links
www.sustainable-procurement.org
Thank you
Natalie Evans
natalie.evans@iclei.org
www.procuraplus.org
www.sustainable-procurement.org
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