Project Allenby
MOD approach to sustainable procurement
Contributed by:
Sustainable Development Commission
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Following publication of the Sustainable Procurement Task Force’s National Action Plan(NAP)in June 2006, the MOD produced a Sustainable Procurement Delivery Plan.
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Overview
Following publication of the Sustainable Procurement Task Force’s National Action Plan (NAP)in June 2006, the MOD produced a Sustainable Procurement Delivery Plan. This sets out actions to achieve Level 1 in all 5 themes of the NAP Flexible Framework by April 2007, which were achieved. The Delivery Plan also addressed what needs to be done to reach level 3 in all 5 themes and level 5 in supplier engagement by December 2009.
At the same time, Enviros Consulting was commissioned by the MOD’s Sustainable Procurement Working Group (SPWG) to undertake the Sustainable Procurement Task Force’s Prioritisation Methodology for procurement using available MOD spend data. Applying the SPTF expenditure prioritisation methodology to the MOD’s procurement allowed the identification of priority areas, and on where and how we should focus our efforts. Specific actions taken to inform this prioritisation exercise included:
• Establishing a single source of data through the Procurement Services Database
• Undertaking an initial analysis of the database, which showed that there were approximately 1770 categories containing expenditure information
• Reducing this down to 62 categories by considering significant environmental impacts and the possibility of quick wins. This reduction in the number of categories did not involve the exclusion of any data, but categories were rationalised by aggregating smaller values into more workable larger units
• Market share was then determined. Followed by determining the market share in each category
• Two Stakeholder Engagement workshops were held. The environmental and socioeconomic impacts associated with each category were identified and a scoring and ranking system allocated.
The outcome identified the following priority areas for the MOD, all of which feature in the top 18 priority spend areas in the NAP:
• Transport • Food
• Clothing, etc. • Construction
• Fuel
Although initial emphasis has been on these five priority areas, the MOD recognises that sustainable procurement is good procurement and that the future strategy for SP in the MOD should seek to strengthen the requirements for all types of procurement from commodities, including services, as well as items which support equipment, platforms, research and development, support, and more.
Challenges/barriers
The size and diversity of the MOD’s procurement activities and number of suppliers involved makes embedding SP into our normal business a real challenge. We are determined that our work on SP is at the forefront of UK best practice.
Outcomes
Work to advance the MOD procurement activity
along the NAP Flexible Framework includes the following:
• The MOD has appointed a Board level sustainable procurement champion to oversee the embedding of sustainable development in procurement activities, including overseeing new SP governance arrangements and chairing an SP Board
• The MOD has held a Sustainable Procurement Industry day with over 100 Defence Industry representatives in which a clear message was sent that MOD would only deal with suppliers that can show a demonstrable commitment to sustainable development, a message that was well received by industry
• The Defence Estates Supplier Association is assisting in improving delivery of sustainable development outcomes across existing major estate projects. This includes working towards a suite of improved and consistent Performance Indicators to drive improved sustainable development behaviour. New major contracts, where appropriate, will be added to the Supplier Association arrangement
• The main management Board of the Defence Equipment and Support organisation had a workshop on Sustainable Procurement and have endorsed two statements on SP:
– Sustainable Development in general, and
carbon emissions in particular, will be taken into account in all the Department’s investment decisions
– We will, in future only do business with suppliers with a demonstrable commitment to sustainable development
• A number of training courses aimed at commercial officers also now include sustainable procurement, and sustainable development and sustainable procurement have been identified as a key priority skills for the 2008/09 upskilling programme
• Defence Fuels Group (DFG) assumed responsibility for contracting for transport fuel supply for other areas of government. These contracts are in addition to the contracts already in place for supply of transport fuel to the MOD. The transport fuel purchased under these arrangements is to current EU specification thus up to 5% ‘bio’ content. DFG also use extended-life lubricants, reducing through-life consumption and reducing waste disposal.
• Project Oriented Environmental Management Systems: tool to manage environmental performance and environmental liabilities of equipment and services throughout acquisition process.
• Timber: Medical and General Supplies team use 100% legal timber sources and demand suppliers guarantee certified sustainable sources enabling stock/usage to rise from 40% sustainable in 2004 to 90% now. The HMS Victory renovation has complied with the 2009 standard for at least last three years (working with WWF 95+ Group and ProForest).
• Catering: The new MOD Main Building catering arrangements used the relationship with private sector supplier in the canteen refurbishment to embed sustainable development principles. In practice this meant more efficient use of power, increased water recycling and introduction of crockery (less waste arisings). ‘Steamplicity’ cooking was also introduced which uses less power, less water, produces waste and gives a better taste. All coffee procured is Fair Trade.
• Travel: The MOD is developing an enhanced travel booking tool which will provide users with travel options for a given journey and the associated carbon dioxide emissions from each option. When vehicles in the MOD’s leased administrative vehicle fleet are replaced our suppliers recommend an alternative fit for purpose smaller, cleaner vehicle category type that produces lower carbon dioxide emissions.
• Clothing: Commercial Staff Licences are conditional upon completion of a training module which includes SP.
• Construction: Project Allenby/Connaught (Aspire Defence contract) is the largest PFI of its kind in UK (£8bn through-life) to deliver accommodation. Refurbished buildings will deliver BREEAM very good, with new builds excellent. Project includes solar panels and 58 buildings with CHP plants (all swimming pools and some buildings) and rain water harvesting for toilet flushing.
• Wellbeck 6th Form College: classrooms have ducting for natural airflow to cool building providing exposed thermal mass to store heat from sun in winter and act as heat sink for cooling in summer. Night purge and thermal mass improve thermal performance and it has a sedum roof.
• RAF Woodbridge: redeveloped to house and train newly formed Army Regiment. Delivered by construction services group Skanska, who from outset worked with local community including police, ambulance service, fire brigade, and local primary school. Numerous sustainable development innovations employed including recycling demolition materials, flat panel modular construction reducing numbers of deliveries and thermal mass of flat panel concrete construction improving thermal performance. Project aiming for BREEAM Excellent.
Key features
energy
environmental assessment
governance
materials
Key data
Project Team:
Cost:
Local Authority:
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