Circular procurement is the use of purchasing power to achieve maximum positive ecological, social, and economic impact throughout the life span of products and services. It is a process where you buy change – you look for solutions to the ever-changing, and often temporary, needs of users within the organisation. Instead of always throwing away and replacing, you try dynamic and adaptable products and solutions. Maximum retention of the value of the products, components and materials to be purchased is central to this.
The term ‘Circular Procurement’ is an extension of existing sustainable procurement practices. Circular procurement extends beyond ‘traditional’ sustainable procurement by actively contributing to closing energy and material loops within supply chains, while minimising any negative environmental impact or waste creation across their whole life cycle.
The principles of circular procurement can be summarised using a Circular Procurement Hierarchy, based on the waste hierarchy – Reduce, Reuse, Recycle, and Recover.
