Australian Government’s new Procurement Policy

30th Apr 2024

EPD Australasia welcomes the release of the Australian Government’s Environmentally Sustainable Procurement Policy (ESPP) as a significant step in Australia’s progression towards a net zero and circular economy.

“It’s good news for businesses with EPDs for their construction products. EPDs will be acceptable evidence for low embodied carbon materials in one of the pathways for reducing carbon impacts from construction materials,” said EPD Australasia Chair John McArthur. “EPDs can also be used in the recognised sustainability rating pathways Infrastructure Sustainability (IS) Rating scheme and Green Star.”

The ESPP, which takes effect on 1 July 2024, for construction services above $7.5m, aims to ensure that government officials purchase goods and services that reduce greenhouse gas emissions, increase materials circularity, and promote environmental sustainability. Other categories will follow in phase 2 from 1 July 2025.

John said the scale of Federal Government procurements presents a unique opportunity to make a substantial impact on Australia’s net zero and sustainability ambitions. Concrete and cement companies for example are making great strides in producing low-embodied products as evidenced in their EPDs.

“Many of the Australian and New Zealand organisations for which we publish EPDs also have excellent circular economy credentials for their construction products,” said John.

Further information

Read the Environmentally Sustainable Procurement Policy and the accompanying Circular Economy Ministerial Advisory Group (CEMAG) Interim Report