EU Green Public Procurement (GPP) Policy Dissemination And .

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EU Green Public Procurement (GPP) PolicyDissemination and awareness raising4Turin, 19 March 2010In this issue: Promoting GPP in EU Member States National Conferences in Slovenia and Latvia GPP in your country Social housing in Slovenia, ambulances in Sweden,urban transport in Poland The ITCILO trained a second group of GPP national experts The state of play in EU target countries Forthcoming conferences

EU Green Public Procurement (GPP) PolicyDissemination and awareness raisingNewsletterPromoting GPP in MemberStatesdevelopment by businesses and helps boost “eco-innovation”, with a positive impacton the long-term competitiveness of the EUeconomy.National conferences in Slovenia andLatviaTarget sectorsTwo national conferences were held inFebruary - in Slovenia and Latvia. All the keynational players in GPP were invited.Construction, transport and food are thethree consumption areas with the highestenvironmental impact, including globalwarming potential (European Commission,2006, EIPRO study). These sectors form a significant part of public authorities’ purchases and influence their ecological footprint,a footprint that GPP can help to shrink, asnational good practices demonstrate.WHATParticipants discussed and learned about thepotential of GPP to lower environmental pressure and boost market innovation, the ECGPP policy and guidelines and, most importantly, what their countries were currentlyundertaking to implement GPP.EU frameworkThe EU already has a policy and legal framework in place to support GPP in MemberStates. Voluntary common GPP criteria areavailable for 10 priority product and service groups, and Member States are invitedto endorse them in their GPP National Action Plans (NAPs) or guidelines. A second setof voluntary criteria for 10 priority productgroups, with an emphasis on the construction sector, will be ready late Spring 2010.The aim is to harmonise GPP criteria throughout the EU and thus allow producers toexploit the full potential of the single market.WHOBoth conferences were successful, withmore than 130 participants taking part ineach conference and wide national mediacoverage.Participantsweredecisionmakers, procurers, industry representatives,consumer associations, lawyers, consultants,lecturers, researchers and members of thecivil society.Life cycle thinkingCONFERENCESS HIGHHLIGGHTSSThe life cycle costing (LCC) approach makesGPP cost-effective. It involves up-front thinking and helps saving money. A recent ECstudy on the 7 best GPP performing Member States showed that the purchasing of 10product/service groups using LCC lead, onaverage, to a cost saving of 1%!Both conferences were opened by State Ministers: the Slovenian conference by MitjaGaspari, Minister for Development and European Affairs, and the Latvian conferenceby Raimonds Vejonis, Minister of the Environment. Furthermore, there were speakersfrom the European Commission, the ITCILO,and both foreign and national actors involved in GPP.4 February 2010 in Ljubljana, SloveniaIn Slovenia, a new GPP Regulation is currently debated. This regulation is expected tobe a significant step towards GPP. It includes criteria for 8 priority product groups,following a market-readiness analysis. Theaim is to achieve 50% of “green” tenders by2012 for these products.GPP benefitsWith GPP, public authorities can “walk thetalk” on sustainable consumption and production, and make a more environmentally-responsible use of tax-payers’ money.However, the success of GPP depends onboth the public sector and the market. Aconstructive dialogue with producers andsuppliers is a key step towards the greeningof the economy. It influences research andOver the past two years, the Ministry of Public Administration has launched tenders formore than 1000 contracts including with en-2

EU Green Public Procurement (GPP) PolicyDissemination and awareness raisingNewsletterenergy efficiency, use of hazardous substances, durability, take-back service anddemonstration of corporate environmentalpolicy.vironmental criteria. Green vehicles, officepaper, IT and electricity have been purchased through joint procurement.The construction sector is one of the key targets in Slovenia. One example was the tendering for the renovation of social housing,where municipal authorities applied the LCCmethodology. This achieved a reduction inthe operational and maintenance costs ofthe buildings as well as in CO2 emissionsover their life-time.Coming to the construction sector, the firsttender for improving energy efficiency inpublic buildings was recently completed bythe Central Procurement Authority. A 20%saving of energy is expected. A detailed system for monitoring performance has beenset up. The need to train end-users and raise their awareness was emphasised. An intergovernmental body for the building andconstruction sector is in place.At the conference two successful GPP casesfrom Austria and Sweden were presented.The Austria’s experience confirms the beneficial effects of GPP: from 2004 to 2007,Vienna reduced CO2 emissions by 103,000tonnes through measures including the purchase of green energy and organic food andthe installation of water-saving devices inpublic buildings. These saved the city about40 million euros.As for the Swedish case, it is further detailedin the following article (p.4).The conference was co-organised by the Ministry of Environment and the Public Procurement Monitoring Bureau.The conferences’ programmes, presentations andpictures are online at: http://www.itcilo.org/gppThe conference was co-organised by the Government Office for Development and European Affairs and the Slovenian Chamber ofCommerce, with the support of the Embassies of the United Kingdom and Sweden.GPP in your country“We shape our buildings,then our buildings shape us”[Winston Churchill]25 February 2010 in Riga, LatviaGPP case studies were presented at the conferences in Member States.In Latvia, 2008 was a turning point. An inter-ministerial working group produced arecommendation for the promotion of GPPin the public administration and issued products guidelines and criteria based on theEC GPP Toolkit. The public procurement lawis currently being revised: an opportunity tostrengthen rules for environmental considerations in public tenders.Frameworks agreements are in place for thepurchase of recycled paper and “green” PCsfor state and municipal authorities. Theywere tendered electronically and include criteria on recyclable contents and packaging,3case studyLatvia is looking at centralizing its procurement. This will facilitate transparency, administrative savings and access to expertise. Big purchases will also make economiesof scale and will add greener options to themarket.The Steletova building of the LjubljanaHousing Fund in SloveniaLCC IN SOCIAL HOUSING RENOVATIONThe public housing fund of Ljubljana Municipality (JSS MOL) owns 3,200 flats. In general, theflats are scattered among buildings with mixedownership, where the difficulty of decisionmaking is a key barrier to energy renovationprojects. However, the Steletova building is adwelling 100% owned by JSS MOL. Its tenantsare low-income families, for whom operationaland maintenance costs can become a realfinancial burden. If they cannot pay their bills,then those are automatically transferred to theHousing Fund. This situation implies extra costsfor the Housing Fund.

EU Green Public Procurement (GPP) PolicyDissemination and awareness raisingNewsletterLow energyGreen ambulances in SwedenWORLD’S FIRST GREEN AMBULANCELife cycle costingPost-evaluation included an LCC analysis of real investmentcost and anticipated operational and maintenance costsduring a standard 60-year building lifetime. Its purpose wasto provide a reliable insight into the performance of therenovated building, which was a typical apartment, built inSlovenia during the 1970s. This gives the energy renovationproject good potential for replication throughout the country.case studyThe low energy concept in the renovation of the Steletovabuilding was expressed in the subject matter of the contract,defined as passive house renovation, and in the technicalspecifications, which selected passive house-energy indicators. SIST EN ISO 13790 was used to calculate energy indicators, energy savings and CO2 reduction.In June 2008, Stockholm City Council asked theSwedish ambulance-maker Euro-lans to producea more environmentally friendly ambulance forits ambulance organisation, AISAB. A team wasput together comprising sales, purchasing andengineering experts from Euro-lans and procurers, doctors and ambulance personnel fromAISAB to carry out the task.The team was supervised by Stockholm CityCouncil GPP specialists. In May 2009, followingalmost a year’s work and testing of the interiormaterials, AISAB was presented with what isconsidered the “world’s first green ambulance”.ConstraintsThe most important barriers that arose during the projectwere: lack of expertise in preparing GPP procedures, unclearcriteria and absent conditions for multi-criteria selection of thebest renovation option, financial constraints that forced theinvestor to choose incomplete passive renovation.ResultsAlthough the renovation was not the choice with the lowestoverall LCC, it significantly cut operational and maintenancecosts over the lifetime. This is confirmed in practice by JSSMOL, which has been monitoring energy consumption, operational costs and running costs since 2007, when the renovation was completed.However, providing information and raising the awareness ofthe tenants turned out to be the key factor in the success ofthe project, together with the technical quality and control ofthe system’s operation.The priorities during the decision-making were the long-termeconomic aspect (LCC) of the project, the achievement ofvery low energy consumption, reduction of CO2 emissions,improved thermal comfort, increased quality and value of therenovated building, and reduced operational costs paid by thetenants.The objectives were to: Attain a better work environment for theproducers’ own production personnel Create a better work environment in thedriver’s cabin Create a better work environment in thesick bay for the ambulance staff and thepatients Increase the level of recycling Reduce the impact on the environmentThe objectives meant: Using interior materials without environment or health-hazardous phthalates Using adhesives free of solvents andisocyanates Using halogen and phthalate-free electrical cables and wiring Using tyres without HA-oils Using a more aerodynamic arc for alarmsignals and blue lightsMarjana Šijanec Zavrl, Building and Civil EngineeringInstitute, marjana.sijanec@gi-zrmk.siThe base vehicle was the new Mercedes Sprinter Van withan NGT (natural gas technique) engine. It runs on bio-gasand meets the emission criteria that AISAB required in thetender. Euro-lans’ task was also to find more environmentally friendly materials for the interior of the ambulance.Miha Tomšič, Building and Civil Engineering Institute,miha.tomsic@gi-zrmk.siTonka Grgič, Housing Fund – Public Fund of LjubljanaMunicipality, tonka.grgic@ljubljana.si4

EU Green Public Procurement (GPP) PolicyDissemination and awareness raisingNewsletterSupplier involvementSuppliers were contacted and asked to advise on newproducts and to report on the content of the different materials, production methods and energy used to producethe components. Initially, it was hard to find cooperativesuppliers, but this changed once they became aware ofthe market potential. Another constraint was that some“greener” materials did not meet requirements regardingdurability, ability to withstand cleaning solvents used foranti-bacteria washing, etc. Moreover, the interior designhad to be modified to use new materials, though this ledto improvements.Cost implicationsUsing natural gas as a fuel makes it possible to minimize theharmful impact on the environment, i.e. it provides greatsavings in emissions of CO2, NMHC, CH4, NOx, particulatematters and noise.A brand new initiative, on a European scale, will be soonoperating in Krakow. According to the call for urban communication services launched in June 2009, a transport company,PTS, will introduce 31 LNG-fuelled buses for public transportservices in Krakow on 7 regular routes.Spin-off for the local communityThe use of the more environmentally friendly materials entailed only a marginal increase in costs. The basevehicle with an NGT engine meant a slightly higher initialinvestment than the diesel version. Furthermore, thecapacity of the fuel tank reduced the working range of thevehicle from approximately 1000 kms to 300-400 kms.However, in cities this is not a major issue.PTS, a privately-owned entity decided to compete for thecontract to take a serious technological step toward sustainable development. For the company, which has a very traditional business profile and started in the 1950s as the transport division of Krakow Steel Works, the project is a greatopportunity to co-operate with research centres and innovative producers, as well as to revive the post-industrial areas ofthe city and their communities.Green InnovationGreen criteriaThe new environmentally friendly materials and skills arenow used in all manufactured interiors for ambulances,police vehicles and fire vehicles. The halogen-free cablesare also used by the sister companies in their wheelchairlifts, taxis and vehicles for the transport of disabled people.The call for tender was in line with the EC common GPPcriteria, particularly those regarding public transport vehicles(Euro V for emissions, with additional points for Euro VI, use offuels from renewable energy sources, and noise levels) andpublic transport services (Euro IV, mixture of gases in the airconditioning system, with global warming potential (GWP) 2500 kg related to CO2).Tomas Michelsberg, Operating Manager, Euro-lans AB,tomas.michelsberg@eurolans.se, www.eurolans.seAs with any action today, the economic considerations werea major part of the tender. It was announced that up to 90points out of 100 were given for the lowest price, while up to10 points could be awarded for the drive, either hybrid or CNG/LNG. t to direct and indirect environmental costs)Tommy Pettersson, Managing Director, U-LIFT AB,tommy.pettersson@u-lift.se, www.u-lift.seBenefits for users, the contractingauthority, the environment:case studyUrban Bus Transport in Krakow, PolandGPP ENCOURAGES INNOVATIVEPUBLIC BUS TRANSPORT Innovative and sustainable solutionsconsistent with actions for environmental protection Technology and the engines meetingthe strict standards of gas emissions(Euro VI, EEV) Noise reduction (up to 3 dB) Society’s ecological awareness Green image of the city Next step: savings thanks to wide use oftechnologyThe use of natural gas (compressed – CNG, orliquefied – LNG) as an ecological fuel has onlyjust begun in Poland. CNG is rarely used in transport: in Poland, there are only 800 vehiclesrunning with CNG and 30 refuelling tank stationsfor it. As for LNG, it is delivered only for heatingpurposes in the north and north-east of thecountry. The demand for natural gas is, however,expected to rise rapidly – along with rapid technological development and increasing demandfor green transport.5

EU Green Public Procurement (GPP) PolicyDissemination and awareness raisingNewsletterWHERE AND WHATBenefits for for the economicoperator/carrier:This training of trainers was in two steps: Market competitive advantage Economic benefits (lower fuel cost) Leap in technology and consistency withcorporate social responsibility Opportunity to work with innovativeentrepreneurs Strengthening of the brand and corporate image Next step: a dynamic development, theexpected lower costs of business activity (in particular in respect to direct andindirect environmental costs)Of the five bids, only the one submitted by PTS (the winningone) offered a 100% of “green buses” for the urban transportin Krakow. The 31 LNG-fuelled-buses will start to operate inMay 2010!Karol Koneczny, Vice-president PTS S.A., Krakow, PL,karol.koneczny@pts.auto.plStep 1. Eight weeks at a distance, via anon-line learning platform on the ITCILOwebsite.Step 2. A five-day seminar at the ITCILOcampus in Turin.FOCUS The EU GPP policy and legal requirements for GPP National Action Plans (NAPs) includingaim, activities, targets and implementation schedule Market engagement to prepare the GPPstrategy and at the outset of the procurement process The life cycle assessment (LCA) approach to prioritising product groups, based on their environmental impact (fromcradle to grave)Building capacityITCILO works with national GPP expertsWHO20 national GPP experts: specialists fromministries of environment, ministries offinance, national procurement authorities,national environmental agencies, ministriesof social affairs. They came from:12 EU Member States: Belgium, Czech Republic, France, Greece, Ireland, Italy, Malta,Portugal and Spain among the 10 countriestargeted for the project. Romania, Slovakia,Slovenia joined as seats for 3 national expertsbecame availableWHENFrom 30 November 2009 to 19 February 2010:an intensive training-of-trainers programmefor a second group of GPP national experts.The aim was to strengthen their policy, legaland practical knowledge of the EU frameworkfor GPP and their capacity for promotion anddissemination of GPP in their home countries.6 Life cycle costing (LCC), whole life costing (WLC) and cost-benefit analysis(CBA) to compare the total cost of competing options The EC GPP common criteria for the 10priority products groups and their incorporation into tender documents (fromsubject matter to terms and conditionsof contract) National communication plans for raising awareness of GPP, including methodology for the design, running andevaluation of dissemination events.AND NOW?This “community of practice” of GPP expertsis called upon to lead the effort to secure anational partnership for GPP.All key players in GPP need to be made awareand involved: policy makers, procurers, technical specialists, citizens and producers andsuppliers.Spreading the word on the “why and how ofGPP” is the goal of the promotion and dissemination part of the national strategy for GPP.

EU Green Public Procurement (GPP) PolicyDissemination and awareness raisingNewsletterGPP in the 10 EU targetcountriesState of playThe table below offers an overview of the state of implementation of GPP National Action Plans (NAPs) inEU target countries, including their priorities and targets. You will also learn about planned communicationand training activities for dissemination of GPP.CountryBelgiumGPP NAPsThere is not yet a GPP NAP.However, a federal ActionPlan for Sustainable Development (SD) for 2009-2011 is inforce. It also covers sustainable procurement.CzechRepublicA GPP NAP has not yet beendevised.Rules for incorporating green criteria into PP should beadopted by June 2010.Priorities and TargetsTraining and CommunicationSeveral actions are being taken at a regional/ A Belgian Federal Information Day on GPPwill take place in June 2010.community level but need more coordination.The Flemish Govt. has set up a task force for SD Communication, awareness-raising andand is collaborating with the Federal Government training activities on SD, including sustainable procurement, are ongoing at bothon a product list for the SD guide.regional and community level.The Brussels Government has published legalobligations, a toolkit on SD and a circular on GPPfor its public servants.A first group of priority product groups for GPP The MoE will create a dedicated informaincludes IT and furniture.tion portal for public purchasers and thegeneral public.A second set of criteria will be produced by 2011for copying and graphic paper, cleaning products A GPP national conference is planned forand services, transport, food and catering serv- May 2010, followed by

Green ambulances in Sweden WORLD’S FIRST GREEN AMBULANCE In June 2008, Stockholm City Council asked the Swedish ambulance-maker Euro-lans to produce a more environmentally friendly ambulance for its ambulance organisation, AISAB. A team was put together comprising sales, purchasing and engineering experts from Euro-lans and procu-

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