What is GPP
Green Public Procurement (GPP) is a process whereby public authorities seek to procure goods, services and works with a reduced environmental impact throughout their life cycle when compared to goods, services and works with the same primary function that would otherwise be procured.
Each year European public authorities spend the equivalent of 16% of the EU Gross Domestic Product on the purchase of goods, such as office equipment, building components and transport vehicles; services, such as buildings maintenance, transport services, cleaning and catering services and works. Public procurement can shape production and consumption trends and a significant demand from public authorities for “greener” goods will create or enlarge markets for environmentally friendly products and services. By doing so, it will also provide incentives for companies to develop environmental technologies.
A more sustainable use of natural resources and raw materials would benefit the environment as well as the overall economy, creating opportunities for emerging “green” economies. Such a shift could also boost the competitiveness of industry by stimulating innovation in eco-technologies – which have been recognised as a high-growth sector. Studies have confirmed that there is considerable scope for cost-effective green public procurement (GPP) – in particular in sectors where green products are not more expensive than the non-green alternatives (taking into account the life cycle cost of the product). As “greener” goods are defined on a life cycle basis, GPP will affect the whole supply chain and will also stimulate the use of green standards in private procurement.
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