What is Green Procurement?

Conventional procurement has traditionally focused on quality, cost, and delivery. However, as organizations increasingly prioritize sustainability, they are shifting towards creating value for all stakeholders, considering not only financial performance but also social and environmental impacts. This shift benefits customers, suppliers, employees, communities, and the environment alike.

Green procurement plays a vital role in enhancing organizational performance. A 2017 case study on a major manufacturing firm showed how green practices improved metrics like reverse logistics, supplier assessment, and supply quality, highlighting the importance of sustainable procurement for efficiency, cost savings, and environmental care.

In the Philippines, implementing Green Public Procurement (GPP) faces challenges such as integrating it into existing systems, addressing concerns about cost, ensuring fair competition, and verifying criteria. Despite these challenges, GPP aims to standardize public procurement in the Philippines, potentially including all Common-Used Supply and Equipment (CSEs) and more non-CSEs. Procuring entities at all levels will be urged to adopt GPP practices.

Green procurement is possible with gradual changes in behavior instead of sudden overhauls. By taking the right steps, organizations can adopt sustainable practices that benefit both them and the environment.

Credits

Carlo Chen Delantar Team Lead

Annika Henrico Researcher

Agnes Boncodin Creatives