Question to the Cabinet Office:
To ask the Minister for the Cabinet Office, how many (a) bids have been rejected and (b) contracts have been terminated for failure to comply with Procurement Policy Note 06/21 as of 15 May 2023.
In June 2021, the Government published Procurement Policy Note (PPN) 06/21 - Taking account of Carbon Reduction Plans in the procurement of major government contracts - requiring suppliers bidding for contracts above £5 million per annum to commit to the Government’s 2050 Net Zero target and publish a Carbon Reduction Plan.
Suppliers who fail to make such a commitment and publish their Carbon Reduction Plan risk being excluded from the procurement process.
In FY 2020/21, 5% (578) of all procurements awarded were above £5m per annum. These accounted for over 90% of the total value of procurements in the same period. Over 2,500 suppliers have submitted compliant Carbon Reduction Plans in response to PPN 06/21, and 40 bids have been rejected for failing to provide a compliant Carbon Reduction Plan since the policy was launched. We do not hold centrally the number of contracts terminated as a result of failure to comply with PPN 06/21.
Individual departments are responsible for monitoring the effectiveness of Carbon Reduction Plans submitted by suppliers as part of their commercial activity. We do not hold this data centrally.