Big contract wins loom for smart Govt suppliers

Smart businesses will win millions in Government department orders by focusing hard now on new sustainable procurement guidelines.

Just-released guidelines to be used by core Government agencies when buying paper products, vehicles and light bulbs – along with support for new initiatives to cut staff travel and promote electronic communications - signal the start of a massive $6 billion plus-a-year shift in state procurement spending.

The sustainable procurement mega shift will soon extend to buildings, cleaning products, computer products – and then roll out to include other non core Government agencies and local authorities.

"Businesses who can't show they provide sustainable products and services are in for a shock. Those that do are in line to win millions more in contracts, and rightly so," the Chief Executive of the New Zealand Business Council for Sustainable Development, Peter Neilson, says.

The Business Council is delighted by the roll out of the state sustainable procurement programme. Buying products on their whole of life costs, not day one price, will deliver huge savings to taxpayers, while doing better for the environment and people.

"Some of our member companies are achieving huge gains from sustainable procurement and practices. For example, one hotel group has potential to save more than $17 million over five years from switching to energy saver light bulbs alone. Pretty soon most boards will be wondering why senior mangers aren't procuring sustainably – and haven't done it sooner. The much improved competitiveness of sustainable suppliers will also drive major change inside businesses," Mr Neilson says.

"That's why we've strongly advocated for sustainable procurement by Government and local Government and business. We're delighted it is rolling out. There is overwhelming support for the move among business decision makers and the public."

Business Council ShapeNZ polling released in February showed 71% of business decision makers supported creating a green public sector procurement policy; 81% support Government involvement in l campaigns to promote it; and 59% support developing and maintaining specifications for sustainable products and services. Only 3% believe the Government should play no role at all, 2% don't know.

Full results of the procurement and sustainable certification research are at http://www.nzbcsd.org.nz/story.asp?id=731

ENDS

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