Energy-Efficient Public Procurement

Energy-efficient public procurement leverages the purchasing power of the public sector to promote energy efficiency, stimulate the market for energy-efficient products and services, and achieve significant energy savings and emissions reductions. This approach ensures that energy efficiency is a key criterion in procurement decisions, drives market demand for innovative technologies, reduces operational costs, and supports the EU’s climate and energy efficiency targets. By establishing clear guidelines, training procurement officers, incorporating life-cycle costing, setting minimum standards, and engaging with suppliers, energy-efficient public procurement exemplifies the public sector’s leadership in energy efficiency, setting a standard for others to follow and contributing to a more sustainable future.

Goal and Objectives

The primary goal of energy-efficient public procurement is to leverage the public sector’s purchasing power to promote energy efficiency, stimulate the market for energy-efficient products and services, and achieve significant energy savings and emissions reductions. The objectives associated with this element include:

1. Promoting Energy Efficiency: Ensuring energy efficiency is a key criterion in public sector procurement decisions.
2. Stimulating Market Demand: Creating demand through public sector purchases encourages the development and adoption of energy-efficient technologies and practices.
3. Achieving Cost Savings: Reducing energy consumption and operational costs for public sector entities.
4. Supporting Climate Goals: Contributing to the EU’s broader climate and energy efficiency targets by reducing greenhouse gas emissions through improved procurement practices.

Methodologies or Approaches for Implementation

To achieve these goals and objectives, the following methodologies and approaches are recommended:

1. Developing Clear Guidelines: Establishing comprehensive guidelines and criteria for energy-efficient procurement, ensuring that all public sector entities follow consistent standards.
2. Training and Capacity Building: Training procurement officers and other relevant public sector employees on the importance of energy efficiency and how to evaluate energy-efficient products and services.
3. Incorporating Life-Cycle Costing: Utilizing life-cycle costing (LCC) methods in procurement decisions to assess the total cost of ownership, including energy use, maintenance, and disposal costs, rather than just the initial purchase price.
4. Setting Minimum Standards: Establish minimum energy performance standards for products and services the public sector procures.
5. Using Labels and Certifications: Relying on recognized energy labels and certifications, such as the EU Energy Label, to identify and select energy-efficient products.
6. Collaborating with Suppliers: Engaging with suppliers to encourage developing and supplying energy-efficient products and services.
7. Monitoring and Reporting: Implementing monitoring and reporting mechanisms to track the energy savings and other benefits achieved through energy-efficient public procurement.

Integration with EED Goals and Key Elements

Energy-efficient public procurement is integral to the overarching goals of the Energy Efficiency Directive (EED) and supports several key elements:

• Energy Efficiency First Principle: Public procurement practices that prioritize energy efficiency embody the Energy Efficiency First principle by ensuring that energy-saving measures are considered in all purchasing decisions.
• Energy Efficiency Targets: Energy-efficient public procurement contributes directly to achieving energy efficiency targets by reducing the energy consumption of public sector operations and encouraging market-wide adoption of energy-efficient products.
• Alignment with Higher Climate Neutrality Goals: Public procurement supports the EU’s climate neutrality goals by promoting energy-efficient products and services by reducing greenhouse gas emissions and fostering a transition to a sustainable energy system.
• Multiple Benefits of Energy Efficiency: Energy-efficient public procurement demonstrates the multiple benefits of energy efficiency, including cost savings, reduced environmental impact, and enhanced energy security, encouraging wider adoption.
• Heating and Cooling Planning: Public procurement of energy-efficient heating and cooling systems supports effective heating and cooling planning by ensuring that public buildings and facilities utilize the most efficient technologies.
• Heat and Cooling Supply: Procuring energy-efficient heating and cooling systems optimizes heat and cooling supply, reducing energy consumption and improving system efficiency.
• Transformation, Transmission, and Distribution: Energy-efficient public procurement can include infrastructure and equipment that enhance the efficiency of energy transformation, transmission, and distribution, contributing to overall energy system improvements.
• Exemplary Role of the Public Sector: Energy-efficient public procurement showcases the public sector’s leadership in promoting energy efficiency, setting a standard for private sector entities to follow.
• Exemplary Role of Public Buildings: Public buildings procured with energy-efficient technologies serve as models for best practices, demonstrating the benefits and feasibility of energy-efficient solutions.
• Energy-Saving Obligations and Obligation Schemes: Public procurement practices that prioritize energy efficiency can help meet energy-saving obligations by minimising public sector energy use.
• Energy Audits and Energy Management: Integrating energy-efficient procurement with regular energy audits and effective energy management practices ensures continuous improvement and maximizes energy savings.
• Efficiency in Data Centers: Procuring energy-efficient technologies for public sector data centers can significantly reduce their substantial energy consumption, setting an example for other sectors.
• Billing Information: Providing detailed billing information for energy-efficient products and services helps track their performance and benefits, supporting transparency and accountability.
• Awareness Rising: Energy-efficient public procurement can be used to raise awareness about the benefits of energy efficiency, encouraging similar practices in the private sector and among consumers.
• Empowering and Protecting Vulnerable Consumers: Public procurement policies prioritising energy efficiency can include provisions to ensure that vulnerable consumers benefit from energy-efficient public services and infrastructure.
• Energy Professionals: Training procurement officers and other public sector employees as energy professionals ensures they have the knowledge and skills to prioritize energy efficiency in purchasing decisions.
• Energy Services: Engaging energy service companies (ESCOs) through public procurement can drive the development and implementation of energy efficiency projects, leveraging their expertise and financial models.
• National Energy Efficiency Fund and Financing: Accessing national energy efficiency funds and financing options can support public procurement of energy-efficient products and services, making these purchases more feasible and cost-effective.
• 3.4.4. National Technical Support: Technical support at the national level helps public sector entities implement energy-efficient procurement practices effectively, ensuring alignment with best practices and regulatory requirements.

By integrating energy-efficient public procurement across these key elements, the EED ensures a comprehensive approach to improving energy efficiency, driving cost-effective energy savings, and supporting the EU’s broader climate and energy goals.

Additional resources

https://eur-lex.europa.eu/legal-content/EN/ALL/?uri=CELEX%3A52013SC0446