Spanish law brings ethics into public contracts

Public sector procurement of products and services in Spain must now take account of corporate responsibility factors, thanks to a regulation effective from May.

Under the regulation, officials must consider whether businesses tendering for contracts have a proven record on environmental management, disability and sexual discrimination policies, and labour rights in the supply chain.

The regulation says companies recently fined for health and safety or environmental infractions can be excluded from any public contract, and that procurement officials should ask whether businesses hold ISO 14000 or other environmental certificates.

The measure puts Spain in the vanguard of action on sustainability in public procurement. France is bringing in sustainable development criteria for public contracts, and Belgian contracting authorities already have the power to require suppliers of services, works and goods to observe core ILO conventions in the country of production.