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Understanding PPN 06/21: How UK Government Policy Impacts Business
In June 2021, the UK Government introduced Policy Procurement Note 06/21 (PPN 06/21), a directive that significantly influences how organisations from various sectors engage in public procurement. But what exactly is PPN 06/21, and why is it critical for your business, regardless of your industry?
What is PPN 06/21?
PPN 06/21, short for Policy Procurement Note 06/21 (PPN 06/21), is a policy introduced by the UK government. Its primary aim is to review how organisations participate in public procurement processes, particularly concerning contracts valued at £5 million or more with the central government. Stemming from the UK’s 2019 commitment to achieving net-zero carbon emissions by 2050, PPN 06/21 establishes stringent criteria for businesses bidding on government contracts.
Key Requirements of PPN 06/21
One of the central requirements of PPN 06/21 is the mandate for suppliers bidding on major government contracts to commit to achieving net-zero emissions by 2050. This commitment entails the development and publication of a Carbon Reduction plan. Failure to adhere to these regulations can result in exclusion from the bidding process altogether.
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