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Sustainable Public Procurement: Towards a low‐carbon economy

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33 <strong>Sustainable</strong> <strong>Public</strong> <strong>Procurement</strong>: <strong>Towards</strong> a low carbon <strong>economy</strong><br />

hurdles in design of procurement of goods that have better<br />

energy efficiency.<br />

Nevertheless it is important to remember that the purpose of<br />

revision of the GFR rules was to enable greater flexibility to<br />

procurement managers to design processes and set up standards<br />

while formulating specifications in a manner, which would<br />

respond to present circumstances and newer developments. In<br />

essence a procurement manager should be in a position to<br />

exercise choice in responding to development of energy efficient<br />

goods that are available in the market. The principle of “best<br />

value for money” provides him the policy support to makes such a<br />

choice. However if he is to make the choice he should also be<br />

protected from censure from the CVC, acting only on the basis of<br />

the fact that the choice of a more energy efficiency product<br />

represents a departure from the business as usual processes<br />

underlying the public procurement business. In that sense, the<br />

CVC would therefore have to be sensitive to the demands of the<br />

procurement process and also ensure that its guidelines do not<br />

serve as an impediment to genuine cases of customization of the<br />

specifications in order to take into consideration energy efficiency<br />

criteria.<br />

Ultimately the lack of a single procurement authority has been<br />

one of the major hurdles in enabling the rationalization of the<br />

procurement process. As has been seen above, the GFR are in the<br />

nature of general guidelines and provides overall principles,<br />

which should guide the design and implementation of the<br />

procurement process. This has resulted in the modification of the<br />

procurement processes in myriad ways by individual government<br />

departments and public sector undertakings. This is not<br />

necessary a regression, since the procuring entities are<br />

sufficiently different to warrant minor modifications that reflect<br />

their specific concerns. However to enable the incorporation of a<br />

specific concerns like energy efficiency while designing<br />

specifications, this lack of direction and oversight makes it<br />

difficult to harmonize the procedural aspects f procurement in a<br />

manner to provide for specific policy direction. Given that the<br />

authority overseeing the implementation of the GFR is the<br />

Controller and Auditor General’s office, whose oversight is<br />

triggered only in an ex post situation of findings of grave<br />

irregularities or misappropriation, there is lack of mandate to<br />

provide for policy direction in the ex ante. Thus the CAG’s<br />

oversight function is limited to that of ensuring financial<br />

propriety. Further the CVC also functions primarily as an antigraft<br />

agency, and although it does provide for policy directions on<br />

T E R I Report No. 2007GL01

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