Green Public Procurement to Foster Industry Transition

The document argues that Green Public Procurement (GPP) can leverage the significant purchasing power of governments to stimulate demand for low-carbon materials in energy-intensive industries. It focuses on hard-to-abate sectors such as steel and cement, noting that five basic industrial materials account for 20% of global CO2 emissions. The brief, produced by UNIDO and the Leadership Group for Industry Transition, aims to provide methodologies for GPP design to help reach Paris Agreement targets.

• Production of five primary industrial materials—steel, cement, plastic (and other chemicals), paper, and aluminium—is responsible for 20% of global CO2 emissions, with demand expected to rise as countries industrialize.
• Public procurement represents a substantial portion of economic activity, estimated at 14% of GDP in the European Union and up to 30% of GDP in developing countries, providing significant leverage to stimulate markets for low-carbon concrete and steel.
• GPP functions by using public purchasing power to reward businesses that develop products with lower environmental impacts throughout their life cycle, signaling a willingness to pay the 'green premium' for green commodities.

APA

Stockholm Environment Institute (2021). Green Public Procurement to Foster Industry Transition. https://www.sei.org/publications/green-public-procurement-to-foster-industry-transition/

Chicago

Stockholm Environment Institute. Green Public Procurement to Foster Industry Transition. 2021. https://www.sei.org/publications/green-public-procurement-to-foster-industry-transition/.

Wikipedia

{{cite report |author=Stockholm Environment Institute |title=Green Public Procurement to Foster Industry Transition |date=1 June 2021 |url=https://www.sei.org/publications/green-public-procurement-to-foster-industry-transition/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{stockholmenvironmentinstitute2021green, author = {{Stockholm Environment Institute}}, title = {{Green Public Procurement to Foster Industry Transition}}, institution = {Stockholm Environment Institute}, year = {2021}, month = jun, url = {https://www.sei.org/publications/green-public-procurement-to-foster-industry-transition/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }