Environmental impacts and the most economically advantageous tender in public procurement

Abstract

The “most economically advantageous tender,” as defined in the EUʼs public procurement directives, allows public purchasers to combine environmental aspects, price and other award criteria in decision making. The directives do not, however, determine how the environmental criteria should be built. Indeed, there could be different means to assess the “greenness” of competing tenders, and these various measurements of environmental impacts may lead to different assessments of the most economically advantageous tender. In this article, the determination of environmental award criteria is examined through a case study on a purchase of a goods transportation service, where the most economically advantageous tender is calculated by life cycle assessment and the environmental cost calculation method suggested by the EU, and compared to the results gained by the purchaserʼs equation. Also the contribution of the weighting for the “green” purchasing decision is discussed.

Citation

Parikka-Alhola, K. and Nissinen, A. (2012), "Environmental impacts and the most economically advantageous tender in public procurement", Journal of Public Procurement, Vol. 12 No. 1, pp. 43-80. https://doi.org/10.1108/JOPP-12-01-2012-B002