Workshop Session 3 The Contract Process

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Workshop Session 3 The Contract Process
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The Contract Process

• You can compare offers of products and services
  on the basis either of
• the lowest price or of
• the "economically most advantageous" offer.
• Choosing the latter allows freedom to include
  environmental aspects as a component of the value
  of a product. The interpretation follows landmark
  European court rulings on the procurement of
  vehicles and electricity.
• But environmental performance requirements must
  relate to the subject matter of the contract.

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Environmental Performance Requirements

• What general environmental performance
  requirements do you ask for in contracts ?
• Policies?
• Specific technical requirements?
• Other?

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Be careful what you ask for

• Environmental Policy
• Xxxxx believes it can make a useful contribution
  to society by becoming a leading "eco-tech"
  corporation. We strive to achieve harmony with
  ecology and the environment, the two fundamental
  components of xxxs "E" concerns.
• Purpose of Environmental Assurance
• The purpose of the program is to achieve
  technological innovation with ecology as a top
  priority. We do this by developing products and
  manufacturing processes with minimised
  environmental impact to assist preservation, and
  through corporate activity contributing to
  conservation on a global scale.
• xxxx's success and growth has been through our
  own technological innovations. We consider the
  environment from the initial stages of product
  development, and make ecologically sound goods in
  factories which harmonise corporate activity with
  nature.
• Basic Guidelines
• In all our corporate activities we will be aware
  of the global environment and actively and
  creatively promote conservation strategies.
  Ecology is at the forefront of xxxx's corporate
  policy of "EQCD" which stands for ecology,
  quality, cost and delivery

• A copy of the tenderers environmental policy
• details of environmental management system
• Environmental impacts

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Be careful what you ask for

• Environmental Management Systems
• Are they verified
• Do they relate to the service or product you are
  purchasing or just the head office function
• Environmental Impacts
• Are they the important ones
• Do they relate to whole life impacts
• Scope Upstream and down stream?

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The Contract process Key points of intervention

• 14 local authorities from across EU
• G2L, SEMCO, ICLEI
• 3 year project to develop best practice
  approaches to sustainable procurement and joint
  procurement

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Quick Actions

• Get your planning stage right know your needs,
  think creatively, drive down the amount you need
  to purchase and try to define products or
  services that have a lower carbon foot print than
  what you have at the moment. (think upstream and
  downstream)
• This is the stage when you can have a real
  influence on innovation and service improvements.
  80 of your procurement energies should go in
  here.
• When you are looking for innovation, make sure
  you know your markets and work with the markets
  to get what you want.
• Ensure high environmental aspirations expressed
  in policy or questionnaires are translated either
  into specifications or given appropriate weight
  in the tender evaluation and therefore become
  meaningful

• If you have limited resources try focussing on
  these

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Key Issues

• Think about climate change when defining needs
• Ensure you have knowledge of current best
  practice and emerging technologies within
  lifetime of contract
• Climate change proof the specification and
  especially the assessment of tender.
• Work with partners to spread knowledge /
  expertise
• Ensure climate change adaptation targets are
  driven through the contract, by efficient
  monitoring
• Work with suppliers to maintain innovation
• Always think about how you can develop local
  workforce.
• Local electricians and plumbers are the
  microgeneration service sector of tomorrow.

• For Climate change adaptation

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• Questions / comments on sustainability in the
  contract process?