Green Public Procurement: Catalysing the Net-Zero Economy

Public procurement is responsible for 15% of global greenhouse gas emissions, with 70% of these stemming from six key industries: defence and security, transport, waste management, construction, industrial products, and utilities. While transitioning to greener procurement is expected to increase costs by 3% to 6%, it could trigger $4 trillion in private sector investment and create 3 million net new jobs by 2050. The report proposes a ten-step framework to help governments baseline emissions, set science-based targets, engage suppliers, and transform internal procurement governance to reach net-zero goals.

• A small number of sectors dominate public procurement emissions, with six industries—defence and security, transport, waste management services, construction, industrial products, and utilities—accounting for up to 70% of the total.
• The emissions profile of public procurement is split across three scopes: Scope 1 (direct emissions from fuel in transport and defence) accounts for 20%, Scope 2 (purchased electricity) accounts for 12%, and Scope 3 (upstream emissions from suppliers) accounts for 68%.
• Transitioning to net-zero procurement is estimated to increase overall procurement costs by between 3% and 6%, though 40% of related emissions can be abated for less than $15 per tonne of CO2e.
• Green public procurement could provide a significant economic stimulus, triggering $4 trillion in private sector investment and creating approximately 3 million net new jobs by 2050, contributing to a $6 trillion boost in global GDP.
• Government procurement has high leverage over specific sectors; for example, 95% of revenues in the defence and security industry and 60% in waste management services come from public procurement.
• Decentralization is a major barrier to coherent decarbonization, as less than half of 2019 public procurement spending in OECD countries occurred at the federally centralized level.
• The report outlines a ten-step framework for decarbonization: creating transparency in baselines and targets, optimizing products for life-cycle abatement, defining standards and engaging suppliers, developing ecosystems and buying groups, and transforming the procurement organization.
• The social cost of carbon is projected to reach $115 per tonne of CO2e by 2050; fully abating the 15% of emissions linked to public procurement could reduce this cost to society by $930 billion annually.

APA

World Economic Forum (2022). Green Public Procurement: Catalysing the Net-Zero Economy. https://www3.weforum.org/docs/WEF_Green_Public_Procurement_2022.pdf

Chicago

World Economic Forum. Green Public Procurement: Catalysing the Net-Zero Economy. 2022. https://www3.weforum.org/docs/WEF_Green_Public_Procurement_2022.pdf.

Wikipedia

{{cite report |author=World Economic Forum |title=Green Public Procurement: Catalysing the Net-Zero Economy |date=January 2022 |url=https://www3.weforum.org/docs/WEF_Green_Public_Procurement_2022.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{worldeconomicforum2022green, author = {{World Economic Forum}}, title = {{Green Public Procurement: Catalysing the Net-Zero Economy}}, institution = {World Economic Forum}, year = {2022}, month = jan, url = {https://www3.weforum.org/docs/WEF_Green_Public_Procurement_2022.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }