Climate Change Strategy Phase 1: MidCoast Council
8.8 Sustainable procurement Description
Opportunities for Council to make step-changes in its grid energy use and emissions are described above in relation to solar panel procurement opportunities and renewable energy power purchasing (PPAs). Sustainable procurement can also incrementally reduce Council’s energy consumption, water consumption, emissions and improve sustainability over time through multiple individually small purchasing decisions. It can also reduce Council’s indirect upstream and downstream emissions in its supply chain, referred to as its Scope 3 emissions 36 . There are three main components to sustainable procurement: 1. Updating the existing policy framework to incorporate a sustainable procurement framework 2. Providing engagement and training to Council staff to educate and drive the use of a sustainable procurement framework in all aspects of Council’s operations 3. Review current equipment and services specifications, and identify opportunities to incorporate the sustainable procurement framework into the procurement and use of equipment Sustainable procurement framework A policy relating to sustainable procurement can set out Council’s overall intent to procure products and services with consideration of Council’s sustainability goals, such as emissions reduction, energy efficiency and water conservation (among others). Alongside a policy, Council should develop its internal sustainable procurement guidance, drawing on an appropriate framework. The NSW Local Government Guide is briefly summarised here: NSW Local Government Guide “Sustainable procurement takes into consideration responsibility for the economic, environmental, social and governance impacts of any purchase – products or services. These four factors are referred to as the quadruple bottom line and relate to a total purchase cost, and not just the upfront dollar expense. Sustainable procurement, applied to NSW councils’ spending, represents a significant opportunity to drive social and environmental change throughout a wide range of not only direct suppliers, but also the associated supply chains37”.
36
Scope 3 GHG emissions are emissions upstream and downstream of Council’s operations and are associated with goods and services sourced for Council’s activities. Examples are upstream emissions from fuel and electricity production, stationary, capital goods, business travel, staff commute, professional services and the like. These are not Council’s emissions but are within their control, and typically add around 20-40% to a council’s carbon footprint. Council’s carbon footprint, targets and actions in this strategy exclude these emissions, but they can be considered for inclusion at a later time and can nonetheless be the focus of Council’s Sustainable Procurement where there are cost benefits to Council. 37 Sustainable Procurement Guide for Local Governments in NSW, 2017: https://www.lgnsw.org.au/files/imceuploads/127/esstam-sustainable-procurement-guide-30.05.17.pdf
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