Background

Until 2022, the Centre of Registers and Information Systems (RIK) was the mandatory central contracting authority providing computer workstation and server services for the Estonian Ministries, their administrative bodies and the Government Office. RIK intended to prevent leased and old computers from ending up as waste in the natural environment and promote recycling and reuse instead. From April 2022, the mandatory central contracting authority is the State Information and Communication Technology Centre (RIT), which is now responsible for the organisation of the standard ICT services of the country’s public sector institutions.

In 2020, RIK set out to centrally procure desktop computers and monitors for office workplaces. The framework contracts were created for and made available to 160 state institutions, other legal entities that have authorised RIK to organise the procurement based on the corresponding power of attorney, and other purchasers through voluntary central procurement. Joint procurers were also institutions covered by mandatory central procurement. RIK wanted to enable the contracts for purchasing ICT equipment (with the right to acquire) and renting ICT equipment (without the right to acquire). The subject of the procurement contract was desktop computers and monitors with software licenses, accessories and components.

Procurement objectives

RIK used the Estonian public procurement electronic register, which offers an innovative and transparent working environment for buyers to organise public procurements and for tenderers to participate in public procurements.

The 2018 - 2020 technical and functional upgrade included a more structural approach than the file-based approach, the introduction of e-Catalogues, embedded dynamic purchasing systems, improved functionalities for consolidated procurements and European Single Procurement Document (ESPD) integration. RIK was able to use the e-procurement register to communicate centrally with all potential bidders throughout the process. Having one central register also allows for monitoring the entire e-procurement cycle.

 

Criteria used

The tender was divided into seven lots. Lot 1 related to access to a framework agreement for the execution of mini-tenders for desktops and monitors; Lots 2 -5 were for desktop acquisition; Lots 6 and 7 were for monitor acquisition.

Technical specifications:
For all lots, the following specifications applied regarding packaging:

•Toxic substances in packaging: The product presented by the provider as a selection of products in the e-catalogue must not contain toxic substances in its packaging, incl. heavy metals.
•Polymers in packaging: The plastic materials used for packaging must not be composed of polymers containing halogens (such as PVC).
•Packaging requirements: All parts of the packaging that cannot be recycled or are not biodegradable must be detachable from parts that can be recycled or are biodegradable.

For the mini-tenders in Lot 1, the following technical specifications were used:

•Cadmium content: The cadmium content used in all desktop computers and/or monitors offered at mini-contests must be below 50% of the limit established by the RoHS directive.
•Use of lead: The use of lead in desktop computers and/or monitors offered at mini-contests must not exceed 50% of the limit prescribed by the RoHS directive unless it is a question of the use of provably recycled material.
•Hexavalent chromium content: The content of hexavalent chromium used in desktop computers and/or monitors offered at mini-contests must be below 50% of the limit established by the RoHS directive.
•Battery material requirements: Desktop computers and/or monitors offered in mini-contests must not use lead, cadmium or mercury in the battery used.
•Limiting the use of toxic solutions: Desktop computers and/or monitors offered at mini-contests must not contain SCCP flame retardant compounds and plasticity-improving toxic solvents unless recycled materials justify these compounds’ presence.
•Fire extinguishing substances and compounds: In the desktop computers and/or monitors offered at the mini-contests, larger plastic parts may not use flame retardant substances and compounds recognised as dangerous based on the European Directive 67/548/EEC.
•Detachability of components and parts: Components or parts of desktop computers and/or monitors offered at mini-contests that contain substances or compounds that are hazardous to the environment or harmful to health, such as PCBs, must be easily recognisable and detachable.
•Recyclable materials: For desktop computers and/or monitors offered in mini-contests, at least 65% of all materials used in the items must be recyclable. No toxic substances must be used in the packaging, incl. heavy metals unless they are recycled materials.
•Energy efficiency: All desktop computers offered in mini-contests must meet the latest Energy Star energy efficiency requirements.
•Energy Efficiency: an EU energy label corresponding to at least A energy efficiency class is required for the monitors offered in mini-contests.

For the desktops (Lots 2-5), RIK applied the following specifications:

•Cadmium content in desktops: Cadmium content used in all desktop computers must be below 50% of the limit established by the RoHS directive. (Lots 2, 3, 4, 5)
•Use of lead in desktops: The use of lead in any of the offered desktop computers must not exceed the 50% limit set by the RoHS directive unless it is a demonstrably recycled material. (Lots 2, 3, 4, 5)
•Hexavalent chromium content in desktops: The hexavalent chromium used in all offered desktop computers must be below 50% of the limit established by the RoHS directive.
(Lots 2, 3, 4, 5)
•Battery material requirements in desktops: No lead, cadmium or mercury may be used in any of the offered desktop batteries. (Lots 2, 3, 4, 5)
•Limiting the use of toxic solutions in desktops: No SCCP flame retardant compounds and plasticity-enhancing toxic solvents may be used in any of the offered desktop computers unless the presence of these compounds is justified in the case. (Lots 2, 3, 4, 5)
•Fire extinguishing substances and compounds in desktops: No SCCP flame-retardant compounds and plasticity-enhancing toxic solvents may be used in any of the offered desktop computers unless the presence of these compounds is justified in the case. (Lots 2, 3, 4, 5)
•Detachability of components and parts in desktops: All offered desktop computer components or parts that contain environmentally hazardous or health-damaging substances or compounds, such as PCBs, must be easily recognisable and removable. (Lots 2, 3, 4, 5)
•Recyclable materials in desktops: For all desktop computers offered, at least 65% of all materials used in the items must be recyclable. (Lots 2, 3, 4, 5)
•Energy efficiency: All desktop computers offered must meet the latest Energy Star energy efficiency requirements (Lots 2, 3, 4, 5).

For the monitors (Lots 6 and 7), RIK applied the following specifications:

•Cadmium content in monitors: The cadmium content used in all monitors must be below 50% of the limit established by the RoHS directive. (Lots 6, 7)
•Use of lead in monitors: The use of lead in any of the offered monitors must not exceed the 50% limit set by the RoHS directive unless verifiably recycled material is used. (Lots 6, 7)
•Hexavalent chromium content in monitors: The hexavalent chromium used in all offered monitors must be below 50% of the limit established by the RoHS directive. (Lots 6, 7)
•Battery material requirements in monitors: No lead, cadmium or mercury may be used in any of the batteries used in the offered monitor. (Lots 6, 7)
•Limiting the use of toxic solutions in monitors: No SCCP fire-extinguishing compounds and plasticity-improving toxic solvents may be used in any of the offered monitors unless the presence of these compounds in the matter is justified. (Lots 6, 7)
GPP Good Practice Issue 116 November 2022 Unsplash / Tarn Nguyen
•Fire extinguishing substances and compounds in monitors: In any of the offered monitors, flame retardant substances and compounds recognised as dangerous based on European Directive 67/548/EEC may not be used in the larger plastic parts. (Lots 6, 7)
•Detachability of components and parts in monitors: All offered monitor components or parts that contain substances or compounds harmful to the environment or health, such as PCBs, must be easily recognisable and removable. (Lots 6, 7)
•Recyclable materials in monitors: For all offered monitors, at least 65% of all materials used in the items must be recyclable. (Lots 6, 7)
•Energy Efficiency: an EU energy label corresponding to at least A energy efficiency class is required for the monitors. (Lots 6 and 7).

Award criteria:
Green award criteria were used in Lots 1, 6 and 7. Lots 2-5 did not apply green criteria, focusing on price 95% and technical functions (5%).

Lot 1
•Toxic substances in packaging (50%): The packaging of items submitted by the provider as a mini-competition must not contain toxic substances, incl. heavy metals. The bidder submits confirmation of the fulfilment of the criterion in the compliance conditions. 50 points were awarded to the bidders who confirmed the existence of the condition and 0 points to the bidders who could not confirm the existence of the condition or could not provide a corresponding confirmation.
•Halogen-containing polymers in the packaging (50%): The plastic materials used by the bidder for packaging the items submitted as a mini-tender must not contain halogen-containing polymers (for example, PVC). 50 points were awarded to the bidders who confirmed the existence of the condition and 0 points to the bidders who could not confirm the existence of the condition or could not provide a corresponding confirmation.

Lot 6
•Cost (80%)
•Availability of A-class energy label (20%): Availability of the A energy label required in the A compliance conditions: 0 points Availability of the A+ energy label: 10 points Availability of the A++ energy label: 15 points Availability of the A+++ energy label: 20 points.

Lot 7
•Cost (70%)
•Availability of an A-class energy label on a 27” monitor (flat screen) (10%): Availability of the A energy label required in the compliance conditions: 0 points Availability of the A+ energy label: 2 points Availability of the A++ energy label: 5 points Availability of the A+++ energy label: 10 points
•Presence of a class A energy label on a 29” monitor (flat screen) (10%): Availability of the A energy label required in the compliance conditions: 0 points Availability of the A+ energy label: 2 points Availability of the A++ energy label: 5 points Availability of the A+++ energy label: 10 points
•Presence of an A-class energy label on a 34” monitor (flat screen) (10%): Availability of the A energy label required in the compliance conditions: 0 points Availability of the A+ energy label: 2 points Availability of the A++ energy label: 5 points Availability of the A+++ energy label: 10 points.

Results

RIK received 34 bids for the lots from 12 different bidders. According to the decisions taken, all suppliers met the sustainability criteria, but some tenderers were declared ineligible due to non-compliance with other criteria. The total estimated cost of the project was 5m euros. Lot 1 was a total of 1.2m euros, Lot 2 was 1.1m euros, Lot 3 was 700,000 euros, and Lots 4, 5, 6, 7 were each 500,000 euros.

The total estimated cost was not to be exceeded during the period of validity of the contracts. Framework contracts were valid for 24 months, and the operating leases made under those were valid for a maximum of 48 months.

Environmental impacts

Technical specifications, requirements and limitations regarding hazardous or toxic substances and energy efficiency were used. Considering the estimated cost of this procurement was 5m euros, the negative environmental impact due to the use of these specifications was significantly reduced.

Energy efficiency: According to the Energy Star website, most studies report that for an office desktop computer (PC), primary energy consumption during use is more than three to four times higher than the primary energy needed for manufacturing and materials production, whilst the energy costs/credits of waste disposal and recycling are comparatively low (<15% of production energy). This is the result for a typical office PC, used 8 hours per day (including Standby) over 260 days. In the most recent version of the Energy Star requirements, products must meet stringent total energy consumption (TEC) requirements for estimated annual energy consumption.

All devices are required to have both system and display sleep modes, and wake on LAN and wake management functions (with the exception of small-scale servers, which do not require system sleep mode). These requirements ensure energy savings when computers are being used and performing a range of tasks, as well as when they are turned off or into a low-power mode.

The rental model for devices can ensure extended lifetimes of ICT equipment. According to the Technical Report for the EU Green Public Procurement (GPP) Criteria for Computer, Monitors, Tablets and Smartphones, the manufacturing and use phases of computers and notebooks have significant life cycle environmental impacts, with production being the greater contributor to greenhouse gases (GHG) emissions. The production of printed circuit boards (PCBs) and integrated circuits (ICs) also has a significant impact. Therefore, it is crucial to extend the lifetime of ICT equipment as much as possible. For instance, secondary applications of laptops can result in a 40% reduction in GHG emissions.

In addition, the procurement procedures were paperless through the use of the Public Procurement Register, thus contributing to environmental goals.

Lessons learned

•The procurement was inspired by the EU sustainable agenda for procurement and ambitious EU GPP criteria. The EU directive 2014/24 on public procurement emphasises the importance of sustainable and eco-friendly public procurements, which was the first influence to consider developing green criteria. Further inspiration was gathered from the EU GPP criteria for Computers and Monitors, published in October 2016. Since January 2022, contracting authorities have to include green criteria enacted by a regulation of the Minister of the Environment (includes criteria for ICT equipment).

•In future procurements, adding technical specifications requiring sustainable production methods throughout the supply chain would be advisable. Public procurement is 14.5% of the GDP in Estonia (in 2021). So public procurement can affect the market substantially, and it is up to contracting authorities to influence the market through procurement to use more sustainable ways of production throughout the supply chain. However, as a risk, we could see that smaller tenderers might have difficulties meeting the criteria as their voices are less heard in the supply chain.

•Market research included gathering information about ICT equipment suppliers and products available on the market. However, before introducing or using new green criteria, thorough market research involving economic operators themselves should be conducted.

•Consider carefully your entity’s needs, including the possibility of procuring less, to ensure sustainable consumption. As a central contracting authority, we could not influence too much the consumption of joint procurers. However, the needs assessment should be carried out by each joint procurer independently before running a mini-competition made under the framework contract.

More information

Contact person: Teele Nassi, Centre of Registers and Information Systems

For related information, please see European GPP criteria for computers, monitors, tablets and smartphones, and the Technical Background Report and the European GPP criteria for imaging equipment, consumables and print services, and the Technical Background Report.
Tender documents are available online.