Discover some examples from across the UK where procurement policies are used to address supply chain emissions.
Across the UK, many public sector bodies are looking at how to reduce their Scope three emissions. Here we have a few examples of the efforts being made to decarbonise the public sector supply chain.
The case studies look at aspects such as procurement policies, working with suppliers, and mapping expectations for suppliers to reach net zero. For further case studies, please see the Scottish Government Sustainable Procurement Tools.
NatureScot have a comprehensive Sustainable Procurement Policy, which ensures that purchasing decisions consider and deliver on their net zero targets.
The strategy implements a change in purchasing behaviour through a series of questions such as whether the purchase is needed in the first place, how it is produced and disposed of, and whether it delivers on their sustainability objectives.
The procurement strategy embeds sustainability into the decision-making process, ensuring that contracts are awarded to suppliers that demonstrate sustainability and fulfil the requirements set out by NatureScot. This includes the ability to refuse to buy goods or services that do not meet the required standards.
NHS England has committed to reaching net zero by 2040 for directly controlled emissions, and 2045 for influenced emissions including purchased goods and services. NHS England has produced a Net Zero Supplier Roadmap, which clearly sets out the expectations for suppliers to meet by 2030. From 2030, suppliers will only be able to qualify for NHS contracts if they can demonstrate their net zero progress through emissions reporting and published reports.
The roadmap milestones are:
NHS Scotland’s Climate Emergency and Sustainability Strategy 2022-26 sets out actions to support Scotland’s transition to a circular economy.
NHS Scotland has committed to a set of actions aimed at tackling emissions in the supply chain, including:
Glasgow City Region’s Sustainable Procurement Strategy sets out the five strategic objectives for procurement, including mitigating the impact of climate change and reducing emissions. The strategy focuses on working with suppliers to demonstrate their contribution towards the region’s net zero targets, and supporting them to reduce emissions. The region aims to use its procurement approach to reduce scope three emissions, and to build best practice advice to share across suppliers.
Newport City Council have a 2030 net zero target date, and data from 2020/21 showed their procurement activities made up 77% of carbon emissions. As such, tackling procurement became a priority for the Council, who engaged with their suppliers and empowered them to decarbonise. In contacting suppliers they found a mix of responses, ranging from very engaged with a swift sharing of sustainability reports and energy consumption figures, through to limited awareness and exposure to emissions reporting.
In order to engage fully with suppliers, and create a base from which to move towards net zero, the Council produced a supply chain Carbon Emissions Calculator. This Calculator allows Newport to both collect all the relevant emissions data relating to their procurement activities, while providing guidance for suppliers to enhance their knowledge of emissions reporting.
At this stage the focus is on guidance and reporting, creating a knowledge basis from which to record, then tackle, supply chain emissions. The Council is committed to assisting small businesses, particularly those local to Newport, in developing their knowledge around emissions reporting and sustainability.
Westminster City Council are focusing on engaging with their supply chain, working with suppliers to achieve progressive carbon reduction targets. They aim to leverage their buying power to set stretch goals for suppliers, as well as providing a space for innovative solutions. An emphasis on sharing risks and rewards with suppliers shows that a collaborative approach can have the greatest impact on reducing emissions, especially those hardest to address.
City of London Corporation aim to be net zero across all activities by 2040, and purchased goods and services are their third largest source of emissions. They aim to tackle supply chain emissions through collaborating with suppliers, who are encouraged to switch to electric vehicles and educate their workforce on low carbon and responsible procurement.
City of London Corporation have produced their first Responsible Procurement Impact Report, with aim to produce one annually.