State of Play in Sustainable Public Procurement

The report provides a comprehensive review of Sustainable Public Procurement (SPP) practices globally, noting that while OECD member states lead in national program implementation, local governments in both developed and developing regions are highly active. It identifies critical barriers to SPP, such as the traditional 'best value for money' mindset and high upfront capital costs, and argues for a shift toward full-life costing. The document analyzes the compatibility of SPP with international trade agreements like the WTO's Agreement on Government Procurement and details specific national efforts in countries such as Brazil, China, India, and South Africa, emphasizing the need for dedicated legal frameworks and multistakeholder collaboration to scale sustainable purchasing.

• National SPP programs are predominantly implemented in OECD member states, including the EU, U.S., Canada, Australia, New Zealand, and Japan, while they remain rare in developing countries.
• Local governments in both developed and developing states show high levels of SPP activity, driven by the decentralization of procurement and the immediate visibility of local environmental and economic benefits.
• A primary obstacle to SPP is the traditional procurement mindset focusing on the lowest upfront cost ('best value for money') rather than the total cost over a product's life cycle.
• Climate change mitigation is a universal priority across SPP programs, with all analyzed programs including components related to energy efficiency.
• The WTO's Agreement on Government Procurement (AGP) does not explicitly address sustainability but allows for environmental specifications based on performance and international standards, provided they are non-discriminatory.
• In emerging economies, SPP is often driven by specific sectoral needs or international commitments rather than comprehensive national laws. For example, Brazil uses decrees to ban ozone-depleting substances and illegal Amazon wood.
• South Africa integrates social sustainability into procurement through the Black Economic Empowerment Act of 2003, which promotes the participation of black people in the economy.
• China's approach to SPP is characterized by the 'Green Olympics' initiative for the 2008 Beijing Games and the use of environmental-criteria listings for 14 product groups.
• The European Union possesses one of the most comprehensive legal frameworks for 'green procurement,' primarily through Directives 2004/18 and 2004/17, though it focuses more on environmental than social criteria.
• In several African nations, such as Tanzania, Ghana, and Zambia, the primary focus of procurement reform is on corruption mitigation and transparency as a prerequisite for sustainability.

APA

Perera, O., Chowdhury, N., & Goswami, A. (2007). State of Play in Sustainable Public Procurement. International Institute for Sustainable Development. https://www.iisd.org/system/files/publications/state_procurement.pdf

Chicago

Perera, Oshani, Nupur Chowdhury, and Anandajit Goswami. State of Play in Sustainable Public Procurement. International Institute for Sustainable Development, 2007. https://www.iisd.org/system/files/publications/state_procurement.pdf.

Wikipedia

{{cite report |last1=Perera |first1=Oshani |last2=Chowdhury |first2=Nupur |last3=Goswami |first3=Anandajit |title=State of Play in Sustainable Public Procurement |publisher=International Institute for Sustainable Development |date=November 2007 |url=https://www.iisd.org/system/files/publications/state_procurement.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{perera2007state, author = {Perera, Oshani and Chowdhury, Nupur and Goswami, Anandajit}, title = {{State of Play in Sustainable Public Procurement}}, institution = {International Institute for Sustainable Development}, year = {2007}, month = nov, url = {https://www.iisd.org/system/files/publications/state_procurement.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }