Green Public Procurement in India

India leverages public spending—nearly 30% of its GDP—to drive environmental sustainability through green public procurement (GPP). While the country lacks a comprehensive national GPP policy, it utilizes administrative guidelines, the Government e-Marketplace (GeM), and sector-specific initiatives like the BEE star rating program. However, adoption is hindered by limited regulatory frameworks, a lack of stakeholder skills, perceived higher costs of green products, and incomplete monitoring systems. The report recommends strengthening legal frameworks, establishing a National SPP Competence Centre, scaling up third-party verified tools, and creating a robust monitoring and evaluation system.

• India lacks a comprehensive national law or legislation specifically governing sustainable public procurement (SPP) or GPP, relying instead on a fragmented framework of administrative guidelines and ministerial orders.
• The Government e-Marketplace (GeM), launched in 2017, is a central digital portal that promotes GPP by prioritizing eco-friendly products and services, with procurement volume exceeding INR 3 trillion in FY 2023–2024.
• The Bureau of Energy Efficiency (BEE) star rating program is one of India's most successful eco-labelling initiatives; since 2013, the Ministry of Finance has mandated that government departments purchase appliances meeting minimum BEE star ratings.
• The Indian EcoMark scheme, launched in 1991 to promote environmentally friendly products, has seen limited adoption due to low consumer awareness, the availability of cheaper non-eco-friendly alternatives, and dual requirements for both environmental and quality standards.
• Implementation of GPP is obstructed by a perception that sustainable products carry a 'green premium' and a tendency among procurers to prioritize short-term costs over long-term societal and operational benefits.
• India suffers from a significant gap in monitoring and evaluation, with GPP practices often underreported and a lack of disaggregated data, particularly for state-owned enterprises.
• The report recommends the creation of a National SPP Competence Centre to provide training and resources for procurement officers, policy-makers, and contractors to bridge the current skills gap.
• Indian Railways is highlighted as a leader in GPP, utilizing life-cycle costing (LCC) and BEE ratings to reduce carbon emissions and energy consumption.

APA

Erizaputri, S., & Bechauf, R. (2024). Green Public Procurement in India. International Institute for Sustainable Development. https://www.iisd.org/system/files/2024-12/india-green-public-procurement.pdf

Chicago

Erizaputri, Sharmila, and Ronja Bechauf. Green Public Procurement in India. International Institute for Sustainable Development, 2024. https://www.iisd.org/system/files/2024-12/india-green-public-procurement.pdf.

Wikipedia

{{cite report |last1=Erizaputri |first1=Sharmila |last2=Bechauf |first2=Ronja |title=Green Public Procurement in India |publisher=International Institute for Sustainable Development |date=December 2024 |url=https://www.iisd.org/system/files/2024-12/india-green-public-procurement.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{erizaputri2024green, author = {Erizaputri, Sharmila and Bechauf, Ronja}, title = {{Green Public Procurement in India}}, institution = {International Institute for Sustainable Development}, year = {2024}, month = dec, url = {https://www.iisd.org/system/files/2024-12/india-green-public-procurement.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }