The Infrastructure Sustainability Council (ISC) has voiced its approval for the federal government’s newly introduced Environmentally Sustainable Procurement (ESP) Policy, designed to enhance environmental accountability in supplier agreements. This move marks a significant step towards integrating sustainability into governmental procurement practices.
Over a two-year period, the policy will be gradually implemented with the initial phase focusing on Construction Services procurement starting from July 1, 2024.
With an emphasis on climate, environmental impact, and circularity, the policy promotes the reuse and refurbishment of resources to achieve sustainability goals. Suppliers engaging in government contracts covered by the ESP Policy, particularly for infrastructure projects exceeding $7.5 million, will need to adhere to specific metrics, including achieving a verified IS Rating from the ISC. The IS Rating Scheme (IS) evaluates economic, social and environmental performance of infrastructure across the planning, design, construction and operational phases of infrastructure assets.
“The transition to a net zero and circular economy requires a shift in how we all consume materials, including the federal government, with its huge spend across the nation, procuring goods and services from thousands of suppliers,”
said Patrick Hastings, Acting CEO of the ISC. He hailed the policy as marking a monumental shift in procurement practices, “Policy decisions that impact on procurement will drive considerable impact across these three focus areas…We believe that this policy will further improve the maturity, capability, and capacity of sustainability practice within industry.”
Additionally, the federal government has committed to transparency, pledging to publish annual performance results on the Department of Climate Change, Energy, the Environment and Water's website. Furthermore, the ISC expressed strong support for the annual performance reporting foreseeing that this could have a positive influence on private sector procurement practices.
Procurement Australia values sustainable, ethical, and social procurement practices, recognising the collective commitment of our members to creating a fairer world. To learn how we can support your organisation's journey towards sustainable procurement and its positive impact on society and the environment, visit Sustainable Procurement and the positive impact on society and the environment.
Source: https://www.iscouncil.org/the-infrastructure-sustainability-council-welcomes-federal-government-environmentally-sustainable-procurement-esp-policy/