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Carbon-Conscious Procurement - Forward Thinking

Despite current political uncertainty in relation to climate policy, New Zealand is transitioning to carbon-conscious procurement. Carbon-conscious procurement is the practice of sourcing goods and services with a focus on minimising their carbon footprint and environmental impact.


Generally, larger organisations are implementing procurement policies that require their suppliers to have carbon reduction plans in place, and to be actively implementing them. If you are a supplier to these larger organisations, you may be required to have measured your organisational carbon emissions and demonstrate the existence of a plan to mitigate them.


Requirements for suppliers will increase as time goes by, meaning that suppliers need to proactively embrace this change to gain a competitive edge. Government initiatives and resources, such as those found on the New Zealand Government Procurement website (https://www.procurement.govt.nz/broader-outcomes/reducing-emissions-and-waste/) and the Energy Efficiency and Conservation Authority (https://www.eeca.govt.nz/), offer guidance and support in this transition to environmentally sustainable procurement.

 

As the trend gains pace both locally and globally it is critical that both public and private organisations have a plan to adapt to become businesses that consider greenhouse gas emissions. The ‘Business as usual’ approach may become less effective and lack of preparation for this transition will likely pose challenges to business survival.




 

Consumers in New Zealand are progressively, and slowly, working towards lower carbon practices. This shift is reinforced by increasing investor (Financial Institutions, Private Capital, Managed Capital) focus on Environmental, Social, and Governance (ESG) criteria, making sustainability, including emissions, a vital component of business operations.

 

We encourage New Zealand organisations to actively reduce their carbon footprint, leveraging the nation's clean electrical grid and natural resources. Collaboration with suppliers to achieve sustainability goals is crucial, as carbon emission assessments now increasingly include Scope 3 (third party) emissions. You can find out more about Scope 3 emissions here: https://www.myimprint.nz/post/measuring-supplier-emissions-a-comprehensive-guide-to-enhancing-sustainability-in-your-supply-chain 

 

In embracing a low-carbon approach, organisations are not just contributing to a more sustainable future, but also ensuring their long-term competitiveness in a global market.


The call to action is unequivocal: businesses must embed environmental responsibility into their core principles to shape a sustainable future – for both their own business survival and planet health.





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