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2023 | OriginalPaper | Chapter

Sustainable Procurement: The Active Role of the State in Building a Sustainable and Inclusive Economic Growth

Authors : Barbara De Donno, Livia Ventura

Published in: State and Enterprise

Publisher: Springer International Publishing

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Abstract

International and national instruments now push the public sector to follow ‘sustainable procurement’ to promote virtuous business models. Both public and private sectors are thus encouraged to increasingly adopt sustainable business strategies and practices, addressing social, environmental and innovation concerns along with the economic dimension. This study investigates the lever for extending social, environmental and innovative sustainability down through the entire supply chain, advancing the business paradigm.

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previous chapter The Emergence of Sovereign Wealth Funds as New “Foreign Investors”: Problems and Perspectives

next chapter The Relationship Between a Host State and a Foreign Corporate Investor: A Few Remarks Under International and the EU Law

UNGA (October 21, 2015) Transforming our world: the 2030 Agenda for Sustainable Development, A/RES/70/1.

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Andhov (2021), p. 105.

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Directive 2014/23/EU of the European Parliament and of the Council of 26 February 2014 “on the award of concession contracts”; Directive 2014/24/EU of the European Parliament and of the Council of 26 February 2014 “on public procurement and repealing Directive 2004/18/EC”; Directive 2014/25/EU of the European Parliament and of the Council of 26 February 2014 “on procurement by entities operating in the water, energy, transport and postal services sectors and repealing Directive 2004/17/EC.”

Green Paper on Public Procurement in The European Union: Exploring The Way Forward (COM/1996/0583); Communication from the Commission “on Public procurement in the European Union” (COM/98/0143); Interpretative Communication of the Commission “on The Community law applicable to public procurement and the possibilities for integrating social considerations into public procurement” (COM/2001/0566); Interpretative Communication of the Commission “on The Community law applicable to public procurement and the possibilities for integrating environmental considerations into public procurement” (COM/2001/274); Communication from the Commission on “Integrated Product Policy – Building on Environmental Life-Cycle Thinking” (COM/2003/302); Commission Communication “on Pre-commercial Procurement: Driving innovation to ensure sustainable high quality public services in Europe” (COM/2007/799); European Commission, DG ENV (April 2016) Buying green! A handbook on green public procurement, 3rd ed. (1st ed. 2004). Available via DIALOG. http://ec.europa.eu/environment/gpp/buying_handbook_en.htm; Communication of the Commission “on Public procurement for a better environment” (COM/2008/400); European Commission (2011) Buying Social. A Guide to Taking Account of Social Considerations in Public Procurement. Available via DIALOG. https://op.europa.eu/en/publication-detail/-/publication/cb70c481-0e29-4040-9be2-c408cddf081f; Communication from the Commission “on Making Public Procurement work in and for Europe” (COM/2017/0572); European Commission (2017) Public Procurement for a Circular Economy. Good Practice and Guidance. Available via DIALOG. https://ec.europa.eu/environment/gpp/pdf/cp_european_commission_brochure_en.pdf; European Commission (February 2018) Public Procurement Guidance for Practitioners “on avoiding the most common errors in projects funded by the European Structural and Investment Funds.” Available via DIALOG. https://ec.europa.eu/regional_policy/en/information/publications/guidelines/2018/public-procurement-guidance-for-practitioners-2018.

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Italian Code of Public Contracts, Legislative Decree No. 50/2016.

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See, the Benefit Corporation, introduced in the United States; the Benefit Company introduced in British Columbia (Canada); the Community Interest Company (CIC) introduced in the United Kingdom; the Italian Società Benefit (SB); the French Entreprise à Mission; the Sociedades de Beneficio e Interés Colectivo (BICs) introduced in Colombia, Ecuador and Perú.

See, the 2010 Apple – Foxconn scandal. On the issue, Eccles et al. (2013). See also the 2013 Rana Plaza collapse in Bangladesh. On the issue, Labowitz and Baumann-Pauly (April, 2014).

BlackRock Investment Institute (February 2019) Sustainability: The future of investing. Available via DIALOG. https://www.blackrock.com/us/individual/insights/blackrock-investment-institute/sustainability-the-future-of-investing.

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United Kingdom (2015) Modern Slavery Act (2015 c. 30).

New Zealand is considering the introduction of a specific legislation requiring businesses to report publicly on transparency in supply chains. See New Zealand – Ministry of Business, Innovation & Employment (September 2020) Combatting Modern Forms of Slavery – Draft Plan of Action against Forced Labour, People Trafficking and Slavery 2020-25, 11–13. Available via DIALOG. https://www.mbie.govt.nz/dmsdocument/11888-draft-plan-of-action-against-forced-labour-people-trafficking-and-slavery. Hong Kong is working on the ‘Draft Modern Slavery Bill’ since 2017, which has been finalised in March 2019 as the ‘Crimes (Amendment) (Modern Slavery) Bill 2019’.

Commonwealth of Australia (2018) Modern Slavery Act 2018 (No. 153, 2018).

French Republic (March 27, 2017) Law No. 2017-399. The law introduced Articles L. 225-102-4 and L. 225-102-5 into the French Commercial Code.

The law applies to companies employing, by the end of two consecutive financial years, at least five thousand employees in France, or ten thousand employees worldwide, through their direct or indirect subsidiaries.

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See European Commission (COM/2011/0681) Communication – A renewed EU strategy 2011-14 for Corporate Social Responsibility, containing a strong commitment to implement the UNGPs in the EU; and the ‘Shadow EU Action Plan on the Implementation of the UN Guiding Principles on Business and Human Rights within the EU’ launched by the European Parliament Working Group on Responsible Business Conduct (RBC Group) on March 19, 2019.

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In this regard, it is worth mentioning, among others, initiatives promoted by the Fair Labor Association, the Ceres Business for Innovative Climate and Energy Policy, and the Ethical Trading Initiative.

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Companies can assess their suppliers through different procedures: self-assessment procedures, on-site audit and independent third-party audit (including unannounced audits), e.g., through SAI Certified Compliance Auditors, EcoVadis Audit or other specific auditors and audit mechanisms available on the market.

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Title: Sustainable Procurement: The Active Role of the State in Building a Sustainable and Inclusive Economic Growth
Authors: Barbara De Donno
Livia Ventura
Publisher: Springer International Publishing
Book: State and Enterprise
Print ISBN: 978-3-031-10472-5

Electronic ISBN: 978-3-031-10473-2

Copyright Year: 2023
DOI: https://doi.org/10.1007/978-3-031-10473-2_9

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