Climate Update #8 - Supply Management
Climate Update #8 - Supply Management
For my 8th meeting with The City of Calgary department directors, I sat down with Supply Management to learn more about their climate action progress and how they plan to meet their climate targets. I was informed that in preparation for our meeting, the entire department had read Calgary’s Climate Resiliency Strategy and held a town hall to gather information about what they were doing to align with the strategy.
Supply Management oversees the procurement of materials, equipment, and services for The City of Calgary. As the enabling service for The City, Supply Management is a key player for reducing our greenhouse gas emissions, and meeting our climate targets.
Calgary Supply Management have been measuring three key performance indicators that relate to their climate actions:
1. Fleet Fuel Efficiency: Supply Management are deliberate with their asset utilization with their fleet to reduce fuel use and vehicle emissions. Their considerations are the task and trip’s distance. Supply Management continuously analyzes fuel consumption with results-based accountability.
2. Green Driver Training: Supply Management has tested effectiveness of green driver training between employees who have received training, and those who have not. The amount of fuel use is compared between the two study groups to reduce fuel consumption and associated emissions.
3. Energy Consumption in the Main Warehouse: Recent upgrades and retrofits (i.e. new warehouse doors) has reduced energy consumption of their central warehouse.
· Supply Management is a part of the cross-Canada Municipal Sustainable Procurement network that allows Canadian public-sector institutions work together to align spending to improve sustainability.
Disposal of Materials and Equipment
· Supply Management will typically sell surplus materials and equipment second life, or will seek to recycle metals. If material or equipment is considered waste, they follow internal policies to ensure that it’s safely and properly disposed.
Environmental Expertise for Procurement
· Supply Management has a champion within their department who focuses on sustainability. They maintain a close collaboration with Environmental and Safety Management for expertise with procurements.
What needs work?
Sustainable, Environmental and Ethical Procurement Policy (SEEPP)
· The City of Calgary accepted a social procurement policy and strategy to create a Sustainable, Environmental and Ethical Procurement Policy that will be effective for 2021. This policy will advance the utilization of existing procurement to create local social, economic and environmental value. This policy needs to align with the Climate Resiliency Strategy, and drive sustainable procurement for other City of Calgary business units.
· Supply Management should seek to benchmark their climate targets with other Canadian, North American, and international cities for purchasing, sale of surplus materials, and emissions.
Supply Management is an enabling service for The City of Calgary’s procurement activities. Their responsibility spans from the purchasing, maintenance, storage, disposal and sale of surplus materials and equipment. Much of their decisions stem from the policies that held within The City of Calgary. As such, Supply Management has gone through a process of updating and drafting new policies to align with the Calgary Climate Resilience Strategy.
Aside from the update to SEEPP, two new policies will align Supply Management with the City of Calgary’s climate actions and provide them with more tools to choose sustainable products:
1. City Administration’s new consolidated Procurement Policy and Framework will position responsible and environmentally friendly procurement on the front end through robust Procurement Planning and Stage Gate processes. It will be important to train and onboard all business units on this policy to ensure proper utilization for climate considerations.
2. Supply Management identified a gap with the supplier community for procurement. As such, they have developed a draft Supplier Code of Conduct, defining the expectations, including environmental responsibility, for suppliers who wish to do business or are currently doing business with The City. This Code of Conduct will be imbedded within the updated SEEPP.
Although Supply Management supports the operations of the The City of Calgary, their guiding policies helps other business units purchase environmentally friendly materials and equipment. These policies work in conjunction with City Council’s corporate direction. To better support the environmental work of Supply Management, City Council should consider a distinct responsible procurement policy to provide clear corporate direction for the purchase of environmentally friendly products.