Page 36 - European Energy Innovation - winter 2019 publication

36 Winter 2019 European Energy Innovation

PUBLIC PROCUREMENT

Pushing the boundaries of
innovation through public
procurement

Public procurement accounts for about 14% of the European Union’s (EU) gross domestic
product, meaning it has enormous potential to guide new developments in a range of sectors,
help to stimulate future markets and address key societal challenges. Furthermore, public
authorities who support the process of innovation or purchase innovative goods and services are
often directly rewarded with improved services at optimised costs.

Innovation procurement can solutions not currently available on PPI or PCP to acquire information
involve buying the process of the market, as well as support start- and communication technologies
innovation, or buying the outcomes ups and innovative SMEs to launch (ICT) products and services. This
of innovation. Pre-Commercial and grow. support is being offered by ten
Procurement (PCP) happens competence centres on innovation
when public buyers describe their “By working together, cities, central procurement, that is, organisations
needs, and procure research and purchasing bodies and other major that have the mandate by national
development services of products, public procurers can maximise law to encourage wider use of PCP
services or process which would their purchasing power to create a and of PPI. Five of them are already
meet their needs but do not yet exist. demand that drives needs-based established in Austria, Germany, the
Public Procurement of Innovative innovation,” highlights Mark Hidson, Netherlands, Spain and Sweden,
Solutions (PPI) occurs when instead Global Director of ICLEI’s Sustainable while another five new ones are
of buying ‘off-the-shelf’ solutions, Procurement Centre. being established in Estonia, Greece,
the public buyer acts as an early Ireland, Italy and Portugal.
adopter and buys a product, service In Europe, there are currently several
or process that is new to the market initiatives and projects run by public During the lifetime of the project,
and contains substantially novel authorities to push innovation these competence centres will
characteristics (as defined in the procurement and reap its benefits. build a permanent network that
European Commission’s Guidance on will facilitate knowledge sharing,
Innovation Procurement). PROCURE2INNOVATE collaboration and exchange of best
Since January 2018, 19 partners from practices. Competence centres from
There are many reasons to do ten different European countries other countries will be welcome to
innovation procurement. It can are joining forces through the join the Procure2Innovate Network.
help to improve public service Procure2Innovate project to improve
effectiveness and efficiency, solve institutional support for public “The Procure2Innovate network is
problems and meet new needs with practitioners interested in using a key mechanism for institutional
innovation in the public sector. The
network disseminates innovation
procurement approaches across
borders. Through this cooperation
national competence centres
can achieve synergies and offer
better services to public procurers,
especially allowing them to take
more advantage of innovative
suppliers in the common European
market,” explained Marlene Grauer,
international project manager

www.europeanenergyinnovation.eu