Sustainability Report 2005-2006

Department of the Environment and Water Resources, 2007

Economic performance

Procurement

PA11: Procurement policy

Goals 2005-06

None set

Performance 2005-06 and trends

Procurement policy relating to sustainable development is outlined in the Commonwealth Procurement Guidelines and the Guidance on Complying with Legislation and Government Policy in Procurement (Financial Management Guidance No. 10). In addition, the department has also developed guidance for agencies regarding environmental purchasing. Sustainable development issues are addressed in these guidance documents and reflected in DEH’s procurement policies and instructions.

Value for money is the core principle of Australian Government procurement policy. Value for money is not simply lowest cost. An assessment of value for money will often involve consideration of relevant environmental and social costs and benefits. Staff are required to consider environmental and social sustainability issues when conducting procurement and especially when determining tender outcomes. Issues for consideration can include energy consumption, OH&S considerations and specific environmental impact.

Commentary

DEH continues to apply procurement policy relating to sustainable development in supply categories such as major office machines, vehicle fleets and waste services. These items are also addressed by the environmental management system.

Goals 2006-07

Review and enhance the procurement guidelines and instructions (including the Chief Executive Instructions and DEH Procurement Guidelines) to identify any areas for improvement by end of financial year 2006-07.

Environmental performance reporting