WRAP Cymru Whole Life Costing |
1. WRAP Cymru Whole Life Costing
Procurement has been identified as one of the main mechanisms for achieving various policy ambitions of government, e.g. decarbonisation, foundational economy, social value and not least a 'circular economy'. A circular economy is an alternative to a traditional linear economy (make, use, dispose) in which we keep resources in use for as long as possible, extract the maximum value from them while in use, then recover and regenerate products and materials at the end of each service life.
For the Circular Economy in particular, the term “whole life costs” is frequently used in relation to public procurement. Using an assessment of whole life costs can help evaluate how 'circular' a product or a service is. However, the definition of whole life costs can vary e.g. whole life costs as cost over the life of a contract vs. how this term is used in a circular economy context which would consider the cost of a product or service over its entire lifetime and not just a contract.
‘This questionnaire forms the first part of a wider survey being conducted by WRAP Cymru (Waste Resources Action Programme) into the understanding and knowledge of the circular economy and related key terms, methods of assessment, tools and techniques utilised by public sector buyers in Wales when procuring works, services and supply contracts’.
The intended project outcome will be a WRAP Cymru document providing clarity on key terms and to provide recommendations to public sector procurement teams to ensure that they can appropriately evaluate the circular impacts of their procurement.