Background: The construction sector has a
10-year time span to become 50% circular and to reduce carbon emissions by 49% compared
to 1990. This time span is even shorter for public clients, as the Dutch
government functions as launching customer, and strives make its own tenders
circular in 2023, and carbon neutral in 2030. Utilising public procurement to
reduce carbon emissions and increase circularity is not yet common. This is because
individual clients have limited
buyer power to influence the market, insufficient knowledge or funds, and a
lack of ability to take the lead in promoting wanted changes in procurement. Existing concepts and tools to tackle this issue, still have a
limited effect on the implementation of sustainable public procurement.
Therefore, the
Dutch government proposed buyer groups as a means to harmonise the market
demand of public clients, aimed to tackle the existing problems of sustainable
procurement. These pilot buyer groups are a relatively new phenomenon in the
public pre-procurement process.
Purpose: This study is aimed to create insight into how (semi-) public clients can successfully
establish or join a suitable buyer group, and how they can successfully
cooperate and harmonise demand within buyer groups.
Research question: How can (semi-) public clients successfully implement buyer groups
in the pre-procurement process of construction projects, to minimise carbon
emissions and maximise circularity?
Methodology: A dual-method approach is implemented.
Firstly, a literature review is conducted to examine relevant existing knowledge
related to buyer groups, focusing on aspects of cooperation, legal
relationships and legal restrictions. Secondly, case studies are conducted to capture
the experience created by pilot buyer groups, focussed on formation,
participants, organisational structure, demand harmonisation processes, impact
and legal aspects. These case studies are input for a cross-case analysis,
which is subsequently used to formulate best practices for buyer cooperation.
Outcomes: This research facilitates public clients
with two main outcomes. Firstly, clients wishing to join or establish a
suitable buyer cooperation, are supported by an overview of existing literature
on this topic. Many different forms of buyer cooperation exist, each with
different purposes, considerations and limitations. An overview of these forms
is briefly visualised into a decision tree. Secondly, clients already
participating in a buyer group are supported with best-practices from case
studies. These best-practices provide findings and recommendations regarding
buyer group cooperation and the demand harmonisation process.
Limitations: This research specifically focussing on buyer groups in the pre-procurement process of Dutch (semi-)
public clients, that aim to reduce carbon emissions and increase the
circularity of construction projects. This research is thus not directly
applicable to clients with different context or different characteristics, or
to buyer groups in other industries and sectors. Furthermore, this research excludes
substantive considerations on actual procurement processes, the content of
contracts, theory on circularity or carbon emission reduction, theory on
conducting market consultations, the perspective of suppliers and the process
of steering innovation.