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Green Procurement


Definition

Green procurement is also known as ‘environmentally responsible procurement.’ It involves the selection of products and services that minimize the negative impact on the environment as well as human health. Focus of green procurement is on the impact of sourcing of the raw materials, manufacturing, transporting, storing, handling and disposal of the product.

Purchasing in green procurement is based on various criteria including the need to purchase in the first place and the alternatives for disposal.

Green Procurement Methods

Green procurement involves integrating environmental and human health factors into its policies typically in the following way:

  • While considering environmental impact, other factors such as product safety, performance and availability should be a part of the process
  • Reducing toxic air and water pollution from the start of the process
  • Take into consideration the costs and the impact on the environment through the life-cycle of the product or service
  • Preferring materials that are sustainable and recyclable and reducing water and energy use

Green Procurement Benefits

  • reduces effect on the environmental and public health
  • reduces the use of energy and water
  • reduces liabilities
  • cost savings on waste disposal
  • reduces expenses for permit fees, toxic material handling charges and staff training

Guidelines for a Green Procurement Program

The following steps may be taken while designing a green procurement program over a period of time:
  • Create an organizational policy on Green Procurement geared toward environmentally preferred products and services.
  • Evaluate the present procurement practices in order to measure the success of the program.
  • Set environmental goals that can be measured. For example, energy efficiency or battery recycling.
  • Evaluate alternatives for procurement in a way that makes them environmentally sound.
  • Run a pilot program for a specific product or service.
  • Upon success of the pilot project, apply selected approach to other projects.

Reference

Environmentally Preferable Purchasing
Comprehensive Procurement Guidelines
Lean and Green Supply Chain