© OECD A joint initiative of the OECD and the European Union, principally financed by the EU Seminar on Green Public Procurement Bucharest, October 2007 Karsten Andrup Pedersen Procurement Manager City of Kolding, Denmark The Integration of ”Green” Considerations into the Procurement Process

© OECD A joint initiative of the OECD and the European Union, principally financed by the EU l How and when did the city of Kolding integrate environment into the procurement process. l What is possible and legal. l Experience.

© OECD A joint initiative of the OECD and the European Union, principally financed by the EU Green Purchasing l Designing a green purchasing policy: The policy was confirmed by the Town Council in 1998 The policy calls for an ecological resetting of all purchasing actions Environmental demands and questionnaires are integrated by turn into all calls for tenders Within the year 2006 Kolding have greened more than 90% of all framework agreements

© OECD A joint initiative of the OECD and the European Union, principally financed by the EU Green Purchasing l There are several reasons why Kolding has chosen to purchase green: –It helps to reduce the environmental impacts –It helps to promote production that has the least environmental impact –It demonstrates Kolding as a convincing and efficient environmental authority –It sets an example for changed consumption patters for all citizens

© OECD A joint initiative of the OECD and the European Union, principally financed by the EU Green Purchasing l Identifying green suppliers: The suppliers must fulfil the demands in the tender material and answer an environmental questionnaire The questionnaire contains different kinds of questions regarding the supplier’s business regarding the product regarding the packaging The questions are formed in a way, that positive answers indicates a positive environmental performance

© OECD A joint initiative of the OECD and the European Union, principally financed by the EU Green Purchasing l Identifying green suppliers: For every product group there are minimum requirements, that must be met The questions provide the basis to compare the environmental standards of the offered products Assessment is facilitated by a point score system In the end environment is assessed on par with price, quality and level of service

© OECD A joint initiative of the OECD and the European Union, principally financed by the EU Green Purchasing l Assessing the suppliers environmental performance: The number of yes in the fulfilled questionnaire are counted, assessed and converted into point If every question is answered by a yes the supplier can get maximum points, if the yes is assessed to be correct If a yes is assessed to be incorrect, the yes is assessed as a no

© OECD A joint initiative of the OECD and the European Union, principally financed by the EU

© OECD A joint initiative of the OECD and the European Union, principally financed by the EU The process of green purchasing Users draw up demands on: - Functionality - Quality - Delivery Terms An environmental questionnaire is designed by the environmental department The suppliers to bid are identified and the call for tender is published Evaluation process: - Users evaluate suppliers on price, functionality, quality, delivery terms etc. - Environmental department evaluate suppliers on environmental performance Evaluation is done by a point score system The supplier with the highest point score is selected

© OECD A joint initiative of the OECD and the European Union, principally financed by the EU Green Purchasing l Experiences: Green purchasing has been implemented without supply of extra economical funds Modifications of the procurement procedures and creation of an easily applicable assessment have helped to avoid an increase in costs Higher prices have only been found in the product group of organic food

© OECD A joint initiative of the OECD and the European Union, principally financed by the EU Green Purchasing l Experiences: Kolding has experienced very positive reactions to the environmental questionnaires The suppliers are very open and fulfil the questionnaires with great skill Kolding cannot support the argument, that an insufficient range of green products is available on the market 90 per cent of all goods are now green