Dell Technologies calls on European Governments and IT Industry to put €45 billion of public money to work for sustainable future

Dell Technologies is today calling on European governments and the IT Industry to drive progress for a more sustainable future by prioritising sustainability in the procurement of IT services in a concerted effort. The call to action seeks to capitalise on a major opportunity to use the buying power of European governments to advance sustainability in procurement processes and outcomes.

The public spending power in the European Union is estimated to be at around €1.8 trillion per year[1], with spending on IT expected to grow and account for €45 billion of this by 2021. By collaborating to make sustainability a priority in the procurement of IT products, European governments will improve environmental and social impacts and at the same time reduce the Total Cost of Ownership of purchased products and services.

The EU Public Procurement Directive of 2014 strengthened the possibilities for public procurers to award tenders based on criteria beyond pricing, including sustainability. While the Directive has been transposed into most EU member states’ national law for about two years, European Commission research has found 55 percent of public contracts in the EU are still awarded using lowest price as the only award criterion. Recent research by consulting firm Oxford Analytica, commissioned by Dell Technologies, shows that a lack of dialogue with industry and guidance around the application of relevant social and environmental sustainability criteria is creating barriers to the uptake of sustainable procurement.

Dell Technologies believes there is a clear need for action from both policymakers and industry to overcome these barriers to adoption and ensure Europe continues to lead the field in sustainable procurement.

To achieve this, Dell Technologies is calling for:

– The European Commission to support the development and dissemination of sector-specific guidelines for implementation of social and environmental sustainability in public procurement, in collaboration with relevant industry, experts, and national stakeholders and in line with existing international frameworks and industry best practice. In addition, enable capacity building, best-practice sharing and ranking of progress across member states.

– Member State Governments to adopt a sustainability by default principle in public procurement policy as well as fostering collaboration with industry and supporting implementation in practice through capacity building and support tools for public procurers.

– The IT industry to engage with the European Commission and national public procurement stakeholders to share best-practice and innovations to enhance the sustainability of the IT lifecycle; whilst working together with the Responsible Business Alliance to define and further develop joint requirements for supply chain sustainability. As part of this effort, Dell Technologies is committing to actively contribute to ongoing work by the Responsible Business Alliance (RBA) to develop joint industry guidelines for responsible IT public procurement in 2019.

Helping to advance global sustainable practices aligns with Dell Technologies’ purpose to create technologies that drive human progress.

Dell Technologies’ products carry a range of sustainability certifications and eco-labels and sustainability is a driver of product innovation. Having reduced the energy intensity of its products by 60 percent since 2012, the company is advancing towards its goal of 80 percent by 2020. 90 percent of eligible products are meeting the ENERGY STAR standard.

Dell Technologies has also received a range of awards for its commitment to sustainability, including featuring on the Ethisphere list of the World’s Most Ethical Companies for 5 years in a row. The company has also fully adopted the Responsible Business Alliance Code of Conduct for its own operations and supply chain.

Louise Koch, Corporate Sustainability Director, Dell EMEA, said “Dell Technologies has seen first-hand the business and environmental benefits of a circular approach; it’s a win-win, reducing energy demand, costs and environmental footprint at the same time. By working in close partnership with the Responsible Business Alliance (RBA) and European governments and businesses, we can accelerate efforts to address increasingly critical issues, including the fight to address climate change.”

“As demand for technology increases globally, there will be a need for more partnerships within and outside of the IT industry to improve standards and practices and strive for a more sustainable future,” said Aongus Hegarty, Dell EMC President, EMEA. “Public procurement provides just one example of an important untapped opportunity to drive sustainability at scale, in alignment with international standards and industry best-practice. That’s why we have chosen to advocate actively on this with key stakeholders and are launching our call to action today.”