Public sector leadership on the global climate emergency: guidance

Appendix B

The Global Climate Emergency and Public Sector Supply Chain

Social and Moral Imperatives

In April 2019, Scotland’s First Minister declared a Global Climate Emergency. COSLA has also recognised the twin climate and biodiversity crisis.

Average global temperature has already risen by 1° Celsius since the pre-industrial era and we expect further increases will be linked to serious adverse effects including accelerating sea level rise and extreme weather events, at a pace which does not allow for adequate adaptations within ecosystems or human societies.

The consequences of doing nothing will be catastrophic for all and will have the greatest impact on the most disadvantaged. Publicly funded bodies have already recognised that they must take accountability and respond appropriately, ensuring that action is fair and equitable, taking account of existing social vulnerabilities.

While the public sector cannot deliver a response to the global climate emergency alone, we must continue to lead by example through our responsibility to act as enablers.

The Scottish Government’s National Performance Framework consists of ‘National Outcomes’ which reflect Scotland’s values and aspirations and is aligned to the 17 United Nations, Sustainable Development Goals.

Based on the National Performance Framework, the Sustainable Procurement Tools link intended outcomes to sustainable outcome delivery across a range of related considerations, including climate, waste, biodiversity, communities, equality and fair work.

The Scottish Government is committed to leveraging our £13.3 billion^[7] in public procurement spend to contribute towards the transition to a more resource efficient, lower zero carbon economy, as reflected in the Programme for Government and through world leading climate change legislation.

Economic Imperative

80% of Scotland’s carbon footprint is associated with materials produced, consumed and frequently wasted. It is vital that organisations adapt to become more sustainable, mobilising procurement and grant spending in a way that supports the global climate emergency response.

Senior leaders are setting the tone for their organisations. To enable traction and make the best use of our scarce resources, they need to ensure that their teams are working collaboratively across traditional functional and professional boundaries to align climate-related policies, targets, milestones and supporting activities.

To boost a green recovery and our longer term climate ambitions, senior leaders need to use their organisation’s influence to stimulate action in public sector supply chains. Where they decide to buy goods, services or works, they need to champion innovative, futureproofed solutions; enable Scottish businesses and the Third Sector to engage in supporting our climate ambitions; and work with the market to stimulate the development of new and emerging circular economy and low emission supply chains and solutions.

And this focus needs to extend beyond procurement activities and in to the wider policy initiatives that they lead or fund through other means.

New ways of working must continually be pursued.

Legal Imperative

The Climate Change (Scotland) Act 2009 increases focus on the emissions resulting from publically funded bodies’ operational, policy and service delivery decisions.

The Climate Change (Emissions Reduction Targets) (Scotland) Act 2019, which amends the Climate Change (Scotland) 2009 Act, commits Scotland to achieve a target of net zero emissions by 2045, with interim emission reduction targets of 75% by 2030 and 90% by 2040 respectively.

Procurement professionals have a responsibility to understand the climate emergency agenda; to be climate/ carbon literate; and to have an appreciation of how contracting activity can support net-zero aspirations throughout the contract lifecycle, using the national tools and support available and maximising engagement with supply chains.

Under the Climate Change (Duties of Public Bodies: Reporting Requirements) (Scotland) Order 2015, those publically funded bodies listed in Schedule 1 are required to report annually to Scottish Ministers on how their procurement policies and activities contribute to compliance with climate change duties.

The Climate Change (Duties of Public Bodies: Reporting Requirements) (Scotland) Amendment Order 2020 strengthens the requirements of the 2015 Order by requiring publically funded bodies to report on, where applicable, the body’s target date for achieving zero direct emissions of greenhouse gases or such other targets that demonstrate how the body is contributing to Scotland achieving its emissions reduction targets, and, where applicable, targets for reducing indirect emissions of greenhouse in their annual ‘climate’ reports. In addition, publically funded bodies are now asked to report on how they align their spending plans and use of resources to contribute to reducing emissions and delivering emissions reduction targets; how they will publish, or otherwise make available, progress towards achieving its emissions reduction targets; and how they are contributing to Scotland’s Adaptation Programme the most recent version of which was published in 2019.

The Procurement Reform (Scotland) Act 2014 (the Act) introduced the Sustainable Procurement Duty requiring publically funded bodies to consider how they can improve the economic, social and environmental wellbeing of their constituency, and act in a way to secure improvements identified. Publically funded bodies must set out in their Annual Procurement Strategy how they will use procurement to address negative environmental impacts and report progress in their annual Procurement reports. This needs to explicitly address climate change and circular economy obligations.