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PAN-COMMONWEALTH PUBLIC PROCUREMENT NETWORK

CONFERENCE 28-30 Sep 2011

Sustainable Public Procurement


(SPP)
The Mauritian Experience

By

S Tahalooa

Balaclava, Mauritius

Objectives of Public
Procurement*
Value for money in procurement of goods, works and
services
Integrity avoiding corruption and conflicts of interest
Accountability
Equal Opportunities and equal treatment for providers
Fair treatment for providers
Efficiency in the procurement process

* Sue Arrowsmith

Secondary Policies

Harness Government Procurement power to


support some policy goals that are not directly
linked directly to the goods, works and services
procured:
o Industrial policies
o Social policies
o Environmental policies

Industrial Policies
Procurement can be used to promote
industrial development:
Buy national (e.g Buy America Legislation)
Price preference for domestic contents
Strategic intervention: supporting industries
in disadvantaged or declining regions,
national security

Social Policies
Supporting policies of a non-economic nature:
Promoting equal opportunities for those
disadvantaged by gender or by ethnic group
Promoting fair labour standards by
government contractors and their subcontractors
Promoting employment opportunities for longterm unemployed persons

Environmental Policies
Using public procurement to support
environmental objectives:
o Address climate change
o Preserve bio-diversity
o E.g Procurement of products with particular
environmental features like energy efficiency

Sustainable Public Procurement*


Sustainable Procurement is a process whereby
organisations meet their needs for goods, services,
works and utilities in a way that achieves value for
money on a whole life basis in terms of generating
benefits not only to the organisation, but also to
society and the economy, whilst minimising damage
to the environment

UK SP Task Force and MTF SPP Task Force, 2006

Implementing SPP in Mauritius


The Prime Minister promoted a concept known as
Maurice Ile Durable [Mauritius Sustainable Island]
Through the National Policy framework of 2007 a policy
framework for promoting Sustainable Consumption at
national level has been devised
In 2008 the Government requested UNEP for Mauritius
to be a pilot country for SPP implementation and UNEP
approved
Procurement Policy Office selected as the National
Focus Point for implementing SPP

Strategic priorities of SCP programme


framework
Resources Use Efficiency with a Focus on Energy , Water
and Sustainable Buildings and Construction
Education and Communication for Sustainable Lifestyles
Integrated Solid Waste management and Recycling
Sustainable Public Service Practices*
Increase Market Supply and Demand for Sustainable
Products

* Sustainable Public Procurement falls under this priority

SPP Marrakech Process

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Implementation Process
Setting up of a steering committee under
the chairmanship of the Director, PPO
All major stakeholders involved
Technical support of UNEP critical
Hiring of consultants where required

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Status Assessment
Status Assessment completed in 2009
Assessment revealed that generally
Mauritius does not consider sustainable
criteria in public procurement

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Status Assessment
Legal
environment
implementation:

conducive

for

SPP

o A sound procurement system


o Mauritius has ratified most international conventions
related to environment, labour conditions, human right
o Evaluation of suppliers based on price and non-price
factors
o Contract management is carried out
o Suppliers are engaged

Market Readiness Analysis

(TOR)

Determine availability and market share of the targeted


sustainable products /services
Establish whether the targeted products are available in
the local market
Determine the number of SMEs and/or large enterprises
involved in the fabrication or import of the targeted
products
Explore the prospects for in-country supply of new
sustainable products and services
Establish whether the goods and services are available in
the international market and impacts of importation

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Market Readiness Analysis

(TOR 2)

Catalogue current instruments and tools available to


certify and verify the sustainability of the products

Assess national programmes, policies and/or


instruments which currently exist to promote sustainable production in the targeted sectors
Determine the extent to which companies in the
targeted sector have environmental management
systems and/or other sustainable development
credentials in place; and finally
Explore the prospects for development of the incountry market to supply the international market.

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Market Readiness Analysis-Methodology


A three-stage approach was adopted so
as to obtain the best results:
o Literature review
o Analysis
o Surveys

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Market Readiness Analysis-Methodology


(Stage 1)
Discussions with PPO to clarify some aspects of the
TORs
Collection and preliminary analysis of procurement
data for 2008 and 1st semester of 2009
Examination of the national public procurement
system
Discussions with a few stakeholders
An extensive review of literature on sustainable
public procurement.

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Market Readiness Analysis-Methodology


(Stage 2)
Carrying out a prioritization study, based on
UKs Sustainable Procurement Task Force
Methodology to identify the largest, quickest
and easiest sustainable procurement
opportunities

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Market Readiness Analysis-Methodology


(Stage 3)

Survey
the market to evaluate the
availability of targeted products and services
in the priority areas, and the national
conformity assessment infrastructure

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Market Readiness Analysis


Recommendations (Priority spend areas):
Buildings
Waste collection and disposal
Roads Construction
Wastewater Management
Food and Catering
Water Supply: Works and Maintenance
Energy: Plants and Equipment
IT Systems: Computers and Office Machinery
IT; Computerization and System maintenance
Paper and Printing

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Market Readiness Analysis


Quick wins:
IT SYSTEMS: COMPUTERS & OFFICE MA-CHINERY
IT: COMPUTERISATION & SYSTEMS AINTENANCE
FOOD AND CATERING; and PAPER and PRINTING
Pioneer:
CONSTRUCTION OF BUILDINGS
Challenging
Remaining five

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Policy Statement

The Policy Statement is an official


commitment of Government of Mauritius
to observe the principles of sustainability
in the conduct of public procurement

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Action Plan 2011-2015


A national and an international consultant
with the support of PPO has developed
the SPP Strategy and Action Plan
A phased approach recommended
Quick wins: Paper, vehicles and ICT

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Procurement of Vehicles using


sustainable criteria
Objectives: purchase vehicles that are fuel
efficient and emit less CO2
Methodology:
o Setting a minimum level of CO2 emission
o Applying LCC (Acquisition costs, operating
costs and Residual value)
Wide consultation with key stakeholders

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Challenges
LCC concept not fully conversant
Perception that SPP is completely different
from traditional procurement
Difficult to estimate the price after useful life
of the vehicles
Fear of high price of vehicles
Fear that bidders not making offer
Non availability of data for CO2 emission

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Lessons Learned
To carry out pilot test with a minimum
quantity and where availability of the item
is not critical
Awareness to key stakeholders critical
Any new concept (e.g LCC) clearly
explained to key stakeholders
Such initiatives should be undertaken:
Lessons learned are optimal

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Future of SPP
Strategic importance of Procurement
Concern for environment protection
increasing
Concern for social factors
Increasingly government pursuing its
policies through Public Procurement
Best practices and tools emerging in SPP

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Thank You
stahalooa@mail.gov.mu

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