Green Procurement &
Eco-Labels
An Introduction to Environmentally
Preferable Procurement
Stacey Foreman
Sustainable Procurement Coordinator
Procurement Services, City of Portland
www.portlandonline.com/buygreeen
June 7, 2012
AOR Sustainable Oregon 2012
Agenda
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What is EPP?
EPP Attributes
Eco-Labels & Greenwashing
Elements of an EPP Policy
Implementing an EPP Policy
Example EPP Specifications
EPP Metrics
Review of EPP Resources
Group Activity
What is EPP?
Can consumption
be “green”?
What is EPP?
"Environmentally preferable" means products or
services that "have a lesser or reduced effect on
human health and the environment when
compared with competing products or services
that serve the same purpose. This comparison
may consider raw materials acquisition,
production, manufacturing, packaging, distribution,
reuse, operation, maintenance or disposal of the
product or service.“
- Section 201, Executive Order 13101
What is EPP?
All products/services have a human health
or environmental impact.
So instead of asking “Is this product ‘green?”
Ask:
What is EPP?
Does this product/service represent an
improvement (in terms of reduced effect on human
health and the environment) than the alternative?
AND
Is it available?
Is it affordable?
What is EPP?
• EPP is one part of a sustainable procurement
program
• Sustainable procurement also takes on:
– The “social” leg of the sustainability stool (beyond
human health concerns)
EPP ATTRIBUTES
EPP Attributes
How do you know if a
product or service has
“a lesser or reduced
effect on human health
and the environment?”
EPP Attributes
1.Product-specific attributes
2.Process-specific attributes
3.Manufacturer-specific attributes
4.Life cycle considerations
Product-Specific Attributes
•Biobased
•Compostable
•Does not contain “X” toxic
ingredient
•Energy efficient
•Fragrance free
•Locally manufactured
•Low-VOC
•Rapidly renewable materials
•Recyclable
•% Recycled Content
•Reduced greenhouse gas
emissions
•Reduced indoor air
quality impacts
•Reduced packaging
•Remanufactured
•Responsibly harvested
•Reusable/refillable
•Upgradable
•Water-based
•Water efficient
Process-Specific Attributes
• Transportation
– SmartWay, use of alternative fuels, mode of transport
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Use of renewable energy
Absence of hazardous byproducts
Greenhouse gas & other emissions
Closed-loop manufacturing facility
Manufacturer/Vendor-Specific
Attributes
• Internal sustainability practices
– Recycling, public transit use, teleconferencing, energy
conservation
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Lack of environmental, safety, or labor violations
Credible Environmental Management System
Public environmental/social reporting procedures
Supply-chain management (quality management)
Lifecycle Considerations
• Combination of product specific, process specific,
and manufacturer specific attributes throughout
the lifecycle of the product/service
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Design
Pre-manufacture (resource extraction)
Manufacture
Packaging & Distribution
Use, Reuse, Maintenance
Waste Management
EPP Attributes
Given the various combinations of “green”
attributes, how do we know which combination is
the best?
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Priorities by Application or Agency or both
Eco-standards and eco-labels
Life-Cycle Analysis
Common Sense
EPP Attributes
Eco-Labels
• An "ecolabel" is a label which identifies overall,
proven environmental preference of a product or
service within a specific product/service category.1
• Typically, an ecolabel
– certifies a product against a standard; or
– verifies a specific claim.
1Global
Ecolabelling Network
Eco-Labels
The Good, the Not-So-Good, and The Ugly
The following are in no particular order
Example Eco-Labels
Multi-Attribute, Life-Cycle, Variety of Commodities,
Independent Third Party Labels
• Green Seal
– 31 standards covering 180 product and service
categories
– U.S. based
• ULE (formerly EcoLogo,Environmental Choice)
– 122 standards covering a large variety of product &
service categories
Example Eco-Labels
Multi-Attribute, Independent Third Party Labels single commodity area
• FSC Certified (wood products)
• EPEAT (electronics)
Example Eco-Labels
Single-Attribute, Independent Third Party Labels
• Energy Star (energy efficiency)
• Water Sense (water efficiency)
• Greenguard Certified (indoor air quality- product
offgassing)
• SCS – environmental claim verification
Eco-Labels & Eco-Standards
Eco-Label Trends
• Growth in point-based tiered-achievement or
“scorecard” type ecolabels
– Key disadvantage: scorecards typically are not made
public
• Growth in number of players
– Growth in ecolabels
– Growth in “free market” approach
– Key disadvantage: harder for consumers to find quality
information
Greenwashing
What to avoid
• Irrelevant or unverifiable claims
• Labels defined by individual manufacturers or
industry groups without a consensus basis and
third-party review
Eco-Labels & Greenwashing
Greenwashing Alert! Things to Know Before
Using/Trusting an Ecolabel or Standard
• Review a copy of the standard (or find someone who has).
– Does it have clear and meaningful criteria?
• Know who/how the standard was created and who/how the ecolabel
program is managed.
– 1st, 2nd, 3rd party
– ISO 14020/14024 - Environmental labels and declarations
• Know how the product/service is certified.
– 1st, 2nd, 3rd party
– ISO / IEC Guide 65 Accredited Product Certification Body
– ISO 17025 - Testing and Calibration Laboratories
Greenwashing
Resources: EcoLabels &
Greenwashing
• Ecolabel directory: www.ecolabelindex.com
• Green Building Product Certifications Report
2011 (BuildingGreen.com)
• Pharos (rates different eco-labels related to
building products) www.pharosproject.net
• FTC Green Guides – Environmental Marketing
Rules http://business.ftc.gov/documents/bus42complying-environmental-marketing-guides
EPP POLICIES &
IMPLEMENTATION
Elements of an EPP Policy
• Describe why it is important to buy
environmentally preferable products
• Identify connections between EPP and other
sustainability initiatives/policies
• Define environmentally preferable purchasing
• Identify desired environmental attributes
• Balance environmental considerations with
performance, availability, and cost requirements
• Modify existing specifications
• Identify initial priorities
Elements of an EPP Policy –
cont’d
• Assign responsibilities and establish deadlines
• Reference existing environmental labeling and
certification programs
• Create a communications plan
• Develop measurable goals and reporting
requirements
• Review policy regularly
EPP Policies - Customization
• Define EPP – how your agency defines a “green”
product or conducts an evaluation
• Define acceptable types of standards or ecolabels
• Define any cost/price methodologies
– Price preferences, best value approach, life-cycle costs,
product standardization
• Roles & Responsibilities (based on staff
capabilities and procurement methods)
• Reporting
EPP Policies - Development
• Leadership Support
• Actively Engage:
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Procurement office
Stores/storeroom staff
Key end-users (large volume buyers)
Standards/specification writers (engineers, architects,
project managers)
EPP Policy Implementation
Key Elements for Successful Implementation
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Understand how your agency specifies stuff
Understand how your agency buys stuff
Understand what your agency buys – prioritize
How & What will determine approach:
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Stakeholder groups
Project by project
Process integration
Approved product lists
EPP Policy Implementation
Key Elements for Successful Implementation cont’d
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Leadership & management support
Dedicated staff
Education & Communication
Work with contractors/vendors
Pilot tests; implementation by small steps
EPP Policy - Resources
• Environmental Purchasing Policies 101 (Case, 2004)
http://www.cec.org/files/pdf/NAGPI%20Policy%20
Paper2e.pdf
• Responsible Purchasing Network – example
policies
http://www.responsiblepurchasing.org/purchasing_
guides/all/policies/
EXAMPLE EPP SPECS
Example EPP Specifications
Where to Find “Green” Specifications
• City of Portland www.portlandonline.com/buygreen
– includes links to other public agencies such as: San
Francisco, Massachusetts, California, Multnomah
County, King County, New York City
• EPA EPP www.epa.gov/epp
• Responsible Purchasing Network
www.responsiblepurchasing.org
• EPPnet Listserve www.nerc.org/eppnet/index.html
Example EPP Specifications
Key options for integrating EPP into solicitations or
contracts:
• Mandatory “green” criteria (technical specs)
– use in small $ purchases, ITBs, RFPs, RFQs
• Evaluative “green” criteria
– use in RFPs, RFQs
• Reporting requirements
– Long-term contracts/price agreements
Example EPP Specifications
Copy Paper
Minimum specifications for copy paper should include:
1) 30% PCW recycled content;
2) chlorine-free certification;
3) chain of custody certification for virgin content
4) a requirement that vendors offer tree-free alternatives.
For stronger specifications, include maximized PCW
recycled content; recycled-content and recyclable
wrappers, cartons, and corrugated packaging with a
minimum of 30% PCW; and vendor green power use.
Refer to the Model Policy drafted by the Environmental Paper
Network and RPN.
Example EPP Specifications
Furniture
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Indoor Air Quality – meet CHPS 01350
Ergonomic, wide range of adjustability
Durable
Materials
– No PVC, PBDEs, PFCs, no added formaldehyde
– Minimum % recycled content (USGBC LEED
standard)
– Single-resin plastics, readily-recyclable materials
• Easily deconstructed & recyclable (also aids repair)
• Certified to meet: BIFMA e3 standard
Example EPP Specifications
Laundry Services
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Efficient Equipment – energy & water
Alternative transportation/vehicles; route optimization
No dry-cleaning (no perc); no NPEs, low-phosphates
Recyclable and/or reusable packaging
End-of-Life program for textiles
Example EPP Specifications
On-Call Facilitation Services
• The successful Proposer(s) will be expected to follow and/or
execute green meeting best practices (e.g. minimize waste
generation, energy use, event-related greenhouse gas
emissions, etc.).
• Submit all reports, billing statements, and work products
electronically in a mutually-agreed upon format prior to
submittal. Any hard-copy reports specifically requested shall
be printed double-sided and in bindings or report covers that
are fully recyclable, preferably using materials containing
post-consumer waste (PCW) recycled content.
Example EPP Specifications
Example Evaluative Criteria
• List up to three (3) specific actions your firm will take to
reduce the environmental impact and minimize greenhouse
gases associated with completing work under the resulting
contract. Consider “green meeting” best practices,
emissions reduction (use of public transit, rail, bicycle,
carpooling), use of environmentally preferable materials
(recycled content, low-VOC, recyclable, etc.), and waste
reduction.
• Describe your firm’s policies and practices regarding utilizing
low-carbon business travel options. Address how your firm
will minimize carbon emissions related to attending meetings
with Auditees.
Example EPP Specifications
Example Evaluative Criteria
• List the top five actions/ongoing practices your firm has
implemented to reduce your firm’s environmental impact of
doing business. Include references to specific timelines,
performance metrics, and any third-party awards/recognition.
• For the individuals hired to fulfill the requirements of this
solicitation, will your firm offer any incentives to encourage
them to use alternative transportation for their work commute
(e.g. subsidize a portion of a public transit pass, carpool
incentives, bike/walk incentives)? If so, please describe the
incentives, including eligibility requirements and
percentage/dollar amounts.
EPP METRICS
EPP Metrics
One of the keys to meaningful EPP metrics is:
Establishing effective criteria for
defining EPP products or services
EPP Metrics
Common EPP Metrics:
• $ and % spend on EPP during X timeframe
• Quantity and % EPP purchased during X timeframe
• $ saved via EPP during X timeframe
– Upfront savings, life-cycle savings or payback time
• Benefits of EPP during X timeframe or per purchase
– kWh saved, GHG reductions, lbs waste reduction, etc.
– Paper Calculator, Electronics Environmental Benefits
Calculator, ENERGY STAR calculators, Green Cleaning
Pollution Prevention Calculator
EPP Metrics
Example: Commonwealth of Massachusetts
Massachusetts FY2011 Sales of Environmentally Preferable Products and Services
and Recycled Content Products
Mass Dept. of
Transportation
Political
(MassDOT)
Subdivisions
Type of Purchase
State Agencies
EPP Total
EPPs and Services
$55,628,727
$50,125,398
$0
$105,754,125
$137,852,362
Recycled Products
$38,510,902
$23,224,795
$199,588,059
$137,852,362
GRAND TOTAL
$94,139,629
$73,350,193
$305,342,184
FY2011 Summary: CFLs, Office Equipment, Computers and Remanufactured
Toner Cartridge Purchases
Cost Savings
CFLs (savings / less energy use)
CFLs (savings / reduced labor)
Office equipment (savings / less energy use)
Computer Components (savings / less energy)
Remanufactured cartridges (savings / lower cost)
TOTAL COST SAVINGS
$1,141,251
$528,376
$30,293
$1,098,422
$386,712
$3,185,054
EPP Metrics
Challenges
• Decentralized procurement processes
• Financial system software rarely incorporates EPP
metrics; even then, it is typically limited
• Variety of “green” definitions
• Vendor usage reports may not have EPP tracking
capabilities; if they do, they may define “green”
differently than your agency
• Savings are typically not captured in financial
systems
EPP Metrics
Other options:
• Case studies
• Focus on top commodities or particular projects
• Focus on agency-wide price agreements
• End-user reporting
• Track process-related achievements
– # of solicitations with “green” criteria
EPP Metrics – Example Case Study
• EPEAT purchases, City of San Jose
– 629 EPEAT-qualified CPUs, 544 EPEAT-qualified
monitors, and 69 EPEAT-qualified laptops
– Estimated to Save (vs non-EPEAT option):
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473,000 kWh in energy,
830,000 kg in primary materials,
1.9 million kg in air emissions,
4,000 kg in water emissions,
45 kg in toxic materials usage, and
1600 kg in hazardous waste
– Total cost savings of these reduced impacts is about
$44,700.
EPP Metrics – Example Case Study
• LED lighting, City of Portland
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10 BETA LED light fixtures for fueling station canopy
40% electricity savings (payback probably 6-7 years)
Reduced maintenance costs
Better quality light
EPP RESOURCES
EPP Resources
• Responsible Purchasing Network
www.responsiblepurchasing.org
• EPA EPP
www.epa.gov/epp
• City of Portland BuyGreen Website
www.portlandonline.com/buygreen
• BuildingGreen.com & Pharos
www.buildinggreen.com, www.pharosproject.net
• Healthcare Without Harm, Practice Greenhealth
http://www.noharm.org, http://practicegreenhealth.org
• EPPnet listserve www.nerc.org/eppnet/index.html
QUESTIONS?
Group Activity
MONDAY MORNING
Monday Morning
• What can YOU do come Monday morning to start,
assist, or further your agency’s EPP efforts?