New procurement rules for NHS suppliers

NHS Procurement

New procurement rules mean NHS suppliers will need to demonstrate their green credentials so the NHS can achieve its target of becoming net zero for directly-controlled emissions by 2040, with an ambition to reach an 80% reduction in its carbon emissions between 2028 to 2032.

From 2023, suppliers to the NHS with a contract value of more than £5 million per annum have had to have a full Carbon Reduction Plan (CRP). From April 2024, suppliers with contracts between £10,000 and £5 million are required to provide a Net Zero Commitment for their business.

These requirements will be necessary for all new suppliers irrespective of value to bid for NHS contracts and will be considered in addition to the 10% weighting on net zero and social value. For organisations bidding for tenders, this will be a pass/fail in the tender process.

Multi-disciplinary energy consultancy, Team Energy, advised that the requirements for the CRP align with those of central government, therefore if organisations have already set out a CRP in line with government guidelines, these will be accepted by the NHS. It has advised those wanting a better understanding of their business GHG emissions and how to set approved targets to guarantee theyare cutting your emissions in line with the NHS Net Zero Roadmap, to get in touch.

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