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POLICY DOCUMENT POLICY NAME POLICY NUMBER Sustainable Purchasing Supply FS 003 DATE ADOPTED COUNCIL MINUTE NUMBER 20 November 2006 ORD 1179 ECM NUMBER POLICY TYPE 3858499 Council REVIEW DATE RESPONSIBLE DEPARTMENT Under Review Financial Services RELATED DOCUMENTS - Purpose The purpose of this policy is to provide a purchasing framework that will advance the sustainable use of resources and reduce impacts on the environment and human health. Refer also, the Local Government Act (1993) Sections 7-8. Policy Statement This policy aims to demonstrate to the community that our purchasing decisions can improve markets for environmentally preferred products, enhance environmental quality, be resource responsible and contribute to progress toward sustainability. Scope This policy applies to all Council employees Page | 1 POLICY: Purpose The purpose of this policy is to provide a purchasing framework that will advance the sustainable use of resources and reduce impacts on the environment and human health. Refer also, the Local Government Act (1993) Sections 7-8. Scope This policy applies to all Council employees. Objectives • To demonstrate to the community that our purchasing decisions can improve markets for environmentally preferred products, enhance environmental quality, be resource responsible and contribute to progress toward sustainability. • Council’s preference is to purchase environmentally preferred products whenever they perform satisfactorily and are available at a reasonable price. • To reduce impacts on the environment and human health through changing purchasing behaviour. • By adopting a “Green” Purchasing Policy, council aims to: Eliminate unnecessary purchasing Improve the environment Reduce its impact on the environment Reduce its impact on human health Contribute to progress towards sustainability Definitions The following definitions provide a more detailed explanation of Sustainable Purchasing requirements. Energy efficient products or facilities use less energy than typical products or facilities to provide a given energy service (heating, lighting...) or level of activity. Environmentally preferred or “Green” products are products and services that have less effect on human health and the environment than competing products and services that serve the same purpose. This comparison may consider the source of raw materials, production, manufacturing, packaging, distribution, potential for reuse and recycling, operation, maintenance, or disposal of the product. Greenhouse effect The Greenhouse effect is the rise in temperature that the Earth experiences because certain gases in the atmosphere (Greenhouse gases) trap energy from the sun. Without these gases, Earth’s average temperature would not be warm enough for humans to live. Global warming is the result of a build-up of Greenhouse gases in the atmosphere, and could result in serious environmental damage. Greenhouse gases are produced from the burning of fossil fuels, land clearing, emissions from landfills and other sources, including the manufacture, use and disposal of products. Greenhouse friendly products are products that create less Greenhouse gas emissions at one or more stages of their life cycle than competing products and services that serve the same purpose. Page | 2 Post-consumer is material generated by households or by commercial, industrial and institutional facilities in their role as end users of the product, which can no longer be used for its intended purpose. This includes returns of material from the distribution chain. Pre-consumer is material diverted from the waste stream during the manufacturing process. Excluded is re-utilisation of materials such as rework, regrind or scrap generated in a process and capable of being reclaimed within the same process that generated it. Practicable means satisfactory in performance and available at a reasonable cost. Recycled materials are those that have been reprocessed from recovered (reclaimed) material by means of a manufacturing process and made into a final product or into a component for incorporation into a product. Recycled content products are made from materials that have been recovered, processed and used as a raw material for the manufacture of a useful new product through a commercial process. These products will contain a specified percentage of material that would otherwise have been disposed of as waste. Re-manufacture means to renew or restore a used product into its original form or into a useful new product through a commercial process. Sustainable use of resources is use that meets the present needs of the user while also taking into account external and future costs, including costs to the environment, human health and depletion of resources. Value for money is the identification and inclusion of all direct and indirect costs associated with a particular product or material. This includes the initial cost of purchase, length of warranty, cost of operating the product, anticipated maintenance and repair, and the direct and indirect costs (or financial return) associated with disposal or removal of the product at the end of its useful life. Wherever possible, Council employees and contractors will pursue the following goals and adhere to the specified principles when purchasing products, materials and services. Minimum Unnecessary Purchasing Purchases shall only be made once it has been determined that the product or service is necessary. Minimum Waste Purchasing decisions shall be made in the context of the waste hierarchy to avoid, reduce, reuse and recycle. AVOID Identifying ways of carrying out a function or task without using materials that generate waste. An example is sending information electronically instead of on paper. REDUCE Using less in the first place and avoiding waste. Examples of this include purchasing in bulk to reduce packaging and the purchase of printing equipment that prints double sided. Page | 3 REUSE Using the same item more than once, and extending the useful life of products and equipment before replacing an item. Aim to re-use or repair an existing product. Ensure that new purchases are durable, have a long service life and are easy to maintain and upgrade. RECYCLE Purchasing products that contain recycled materials or those that have or can be remanufactured. General Buyers are to be conscious at all times of the ongoing requirement to: Minimise the use of hazardous and dangerous substances (Refer also Supply Policy titled, “Hazardous substances”). Minimise waste. Maintain and improve the quality of water, soil and air. Avoid pollution and damage to the environment. With this in mind all employees should endeavour to purchase only those goods and services with the most beneficial environmental impact. Whenever appropriate relevant environmental criteria are to be included in all specifications, quotations and tender documents. Compliance with these criteria should be determined during evaluation and offers not meeting them may be rejected, just as non-compliance with any other aspects of a specification may lead to rejection. Employees should endeavour to weigh the costs associated with the purchase of environmentally friendly products with the benefits (both long and short term) provided. When compiling specifications employees should consider: • • • • Content of the product/service: Products or services that contain materials that are produced sustainably and which contain reconditioned components or recycled materials. Reusable or Recyclable: Products that are reusable and /or recyclable would also be preferred. Suppliers that undertake product stewardship (for example, suppliers that are willing to take back products at the end of their life) would be given preference. Environmental Performance of Goods & Services: Goods and services that offer better environmental performance, such as high-energy efficiency and low pollutant or chemical emissions throughout their lifecycle would be given preference. The Environmental Performance of the Supplier: Suppliers, who minimise their energy consumption and minimise waste and environmental impacts arising from their production processes will be given preference. Suppliers will also be required to demonstrate that they have a certified environmental management system (not mandatory) and to provide any relevant annual or environmental reports for examination. Page | 4 Other specific considerations should include the following: Minimum Greenhouse Gas Emissions • • • Purchase energy efficient products and materials by checking that the energy rating and efficiency features are the best available for the cost over the lifetime of the product. Purchase renewable energy and reduce the purchase of fossil fuels. Purchase goods that have not been transported long distances. Minimum Habitat Destruction • • Purchase paper and wood products obtained from recycled, plantation, salvaged or renewable sources. Purchase “Green” cleaning products that don’t result in discharges of toxic chemicals to waterways. Minimum toxicity • • Purchase materials and products that are free of toxic or polluting materials. Purchase products and materials that will not release toxic substances that can affect human health and pollute water, land or air at any stage of their life cycle. Maximum Water Efficiency • Purchase products that conserve water or use water in an efficient way. Minimum Soil Degradation • Purchase products, materials and services that will not degrade or pollute the soil, or result in erosion through their use. Minimise Waste • Goods, which can be reused or recycled rather than disposed of by dumping or burning and are supplied with the absolute minimum packaging. Purchasing Decisions Purchasing decisions will be made on the basis of value for money, rather than just the cheapest up-front purchase price. Where products that are not environmentally preferred are chosen solely on the basis of cost, the employee must detail the reasons for not purchasing environmentally preferred products. VII. Other references PCC Hazardous Substances Policy PCC Disposals Policy Page | 5