Why 10 YFP SPP Should Prioritize Energy Efficiency?

The signing of Paris Agreement during COP21 in Paris has heralded renewed commitment for combating climate change. With Paris Agreement coming into force early this month, it sent a much-needed signal to governments and businesses that we have to build a new world, and this has to start now. Since energy production and use account for about 60 % of the total anthropogenic Green House Gas (GHG) emissions, any meaningful action on honoring the pledge must focus on deep cuts in these emissions, while simultaneously sustaining the growth of global economy, boosting energy security and energy for all. As per International Energy Agency (IEA) estimates, of the total reduction in GHG required for adhering to the 2°C limit, Energy Efficiency (EE) alone would bring about 49 % reduction. This fact gets reflected in the Intended Nationally Determined Contributions (INDCs) submitted by countries— out of 187 countries, 165 countries have given prominence to EE as an option for meeting their INDCs.

Sustainable Public Procurement (SPP) has been a flagship programme in the 10 Year Framework of Programmes on Sustainable Consumption and Production (10YFP SCP), a global framework for action to accelerate the shift towards SCP. It is now taking center stage as nations and business seek to integrate the Sustainable Development Goals (SDGs) in their strategies and business operations. The primary objectives of 10 YFP SPP is to promote sustainable consumption and production by decoupling resource use and environmental degradation from economic growth. This goal of resource efficiency — doing more with less and creating more value with less impact — is achieved by embedding life cycle notion in procurement decision. As such, Energy (as a resource) Efficiency is very much subsumed as resource efficiency, which 10YFP SPP desires to promote around the globe.

A cursory glance at successful SPP policies and programmes around the world indeed shows that improving Energy Efficiency (EE) has been an essential component of these programmes. In fact, many countries have developed an EE program first and then transition them to broader SPP initiatives. One of the key advantages of starting SPP programme with Energy Efficient products and services is that it not only mitigates climate change impacts by lowering GHG emissions but also provides economic benefits and competitive advantages to organizations. Thus, a Government by promoting procurement of energy efficient products and services can help build business case for implementing sustainable procurement policy, raise public awareness about benefits of energy efficiency, strongly influence its citizen’s decision in favour of sustainable products and services and play a catalytic effect on market while offering stable demand for new and emerging green technology.

Despite proven benefits and overarching role that EE could play in mitigating climate impact in different sectors, it is still considered only as one of the many goals (such as promoting water efficiency, resource efficiency, recycle content and minimization of hazardous substance, minimization of waste, among others) that SPP wants to achieve. 10YFP SPP does not give priority to any particular goals. And rightly so, because it is up to the organization to prioritize any particular goal(s), depending on the local context, visibility, impacts etc. But time has come to rethink this strategy especially when EE has secured pole position in the climate change and Stainable Development Goals (SDGs) conversations. This issue is so significant that a dedicated workshop was held in September this year at UN Copenhagen Centre on Energy Efficiency, Copenhagen, Denmark, in which professionals from both 10YFP SCP and C2E2 participated. The conversations during workshop could easily recognize the innate synergy between these two programmes and commonality of purpose. The participants unanimously gave thumbs up to the idea of these two programmes of UN working together to achieve greater outcome.  

Precisely for these reasons, 10 YFP SPP needs to suitably raise the profile and visibility of EE within the programme so as to remain relevant as an instrument to mitigate climate change impact and meet SDGs. The fact that 165 countries want to leverage EE to mitigate climate change impact in their INDCs, prioritizing EE within 10YFP SPP programme makes great sense. By doing so, 10YFP SPP could emerge as a preferred programme of governments across the world to fight these challenges. This situation also offers great opportunity for 10YFP SPP to scale up and spread its footprints in these nations and helps them realize their goals by supporting the implementation of SPP on the ground.