Sustainable public procurement: Navigating an evolving EU legislative landscape

Introduction

The EU's approach to sustainable public procurement is undergoing a fundamental transformation. What was once a largely discretionary exercise for contracting authorities is now becoming a legally mandated, compliance-driven requirement, shaped by an expanding body of EU legislation and reinforced by domestic legal obligations.

This article provides an overview of the key EU legislative developments impacting sustainable public procurement, the Irish legal and policy framework, and what these changes mean in practice.

The EU policy context

Many of the legislative developments in this area stem from the European Green Deal, the strategic priority of the previous European Commission that seeks to make Europe the first climate-neutral continent by 2050. While strategic priorities have shifted under the new Commission, sustainability remains firmly on the agenda. The Clean Industrial Deal, launched in February 2025, is aimed at turning decarbonisation into a driver of growth and competitiveness for European businesses, with public procurement seen as having a key role to play.

The Irish legal framework: Section 15 and Coolglass

In Ireland, sustainable public procurement is no longer purely discretionary for contracting authorities. Section 15 of the Climate Action and Low Carbon Development Act 2015 (as amended) imposes a substantive, legally enforceable obligation on "relevant bodies" to perform their functions in a manner consistent with five specified climate objectives. This includes the most recent Climate Action Plan, the national long-term climate action strategy, and the objective of mitigating greenhouse gas emissions.

Section 15 has been scrutinised by the Courts in Coolglass Windfarm Limited v An Bord Pleanála [2026] IESC 5. The case arose in a planning context, but the Supreme Court's analysis is of general application to all relevant bodies, including contracting authorities and semi-state bodies.

In February 2026, the Supreme Court confirmed that Section 15 creates a "legal obligation binding upon the relevant body and enforceable, if necessary, by action." Importantly, the Court found that the planning authority had never "engaged in a real and substantive way" with climate objectives, and that this failure constituted an error of law. This means that the relevant body must be able to demonstrate that it has substantively engaged with climate objectives in the exercise of any function, and this would appear to extend to procurement procedures.

The Supreme Court emphasised that Section 15 does not mandate a particular result - there is a "range of possible outcomes" available to decision-makers. The Supreme Court was careful to acknowledge that while the language of section 15 creates an outcome-based obligation, there is also a degree of tolerance in the way that might be achieved. The obligation is stronger than a ‘have regard to’ requirement but is more flexible and less demanding than a ‘comply with’ obligation. The key requirement is genuine, documented engagement with climate objectives.

Public bodies should be aware that the "in so far as practicable" qualification is not a general escape clause. It permits departure only where there are genuine practical difficulties in achieving consistency, and any such departure must be capable of cogent justification. Robust documentation of how climate objectives have been considered and where relevant, why a particular approach was not practicable, will be essential to defending any challenge.

Key EU legislation introducing sustainable procurement requirements

A broad range of EU legislation now introduces mandatory sustainability requirements into public procurement processes. Below is an overview of the key instruments: 

How to integrate sustainable procurement requirements into the procurement lifecycle

Sustainability obligations can be integrated by contracting authorities at each stage of the procurement lifecycle as follows:

• Pre-procurement planning: Conduct a climate impact assessment for each significant procurement to identify climate-relevant aspects such as energy consumption, carbon emissions and lifecycle environmental impact, and document any genuine practical constraints.
• Tender design: Use the tools available under the procurement regulations for delivering sustainability such as technical specifications requiring low-carbon methods, selection criteria evaluating environmental management capacity, award criteria with appropriate weightings for sustainability, contract performance conditions requiring reporting on sustainability KPIs, and lifecycle costing.
• Contract management: Climate-related contract conditions must be actively monitored and enforced, including regular sustainability KPI reporting by contractors, periodic compliance audits, and incorporation of sustainability performance reviews into governance frameworks.
• Documentation: Following Coolglass, maintain comprehensive records at each procurement stage to evidence genuine engagement with climate objectives.

Looking ahead

The legislative landscape continues to evolve rapidly, with significant reform underway at both EU and domestic level.

At EU level, the European Commission is due to publish its proposed Public Procurement Act in early September 2026 which will be the most substantial overhaul of the EU procurement framework in over a decade. The reform will consolidate and revise the three core 2014 Directives into one single Regulation and is expected to mainstream sustainability, resilience and "Made in Europe" criteria into public procurement across strategic sectors.

The proposed Industrial Accelerator Act introduces "EU origin" and low-carbon requirements into procurement and public support schemes, with minimum thresholds proposed for materials such as steel, concrete and aluminium in certain high-impact procurements. A Circular Economy Act is expected in Q4 2026, with mandatory criteria for the procurement of circular goods, services and works under consideration.

The landscape in Ireland is equally dynamic. The Government's "Buying Greener" Green Public Procurement Strategy and Action Plan 2024 - 2027 has been given teeth through Circular 17/2025, issued in July 2025, which makes Green Public Procurement (GPP) a binding requirement for all public bodies. Mandatory GPP criteria, life-cycle costing obligations and enhanced reporting requirements are all now in effect. Ireland recently published its first National Public Procurement Strategy in August 2026 to provide direction on strategic procurement for Ireland’s future.

Key takeaways

Our key takeaways for contracting authorities and public bodies include:

1. Be aware of what legislation is already in force and what is on the horizon, monitoring the adoption of delegated acts across each instrument.
2. Identify which goods, products and supplies being procured fall within the scope of the various legislative instruments. 
3. Update procurement documentation (including technical specifications, award criteria and contract conditions) to reflect mandatory environmental performance standards. 
4. Establish robust documentation practices to demonstrate genuine, substantive engagement with climate objectives at every stage, as required by Coolglass. 
5. Always think beyond lowest price and prepare for sustainability to become a core element of procurement evaluation. 

For further information in relation to this topic, please contact Anna-Marie Curran, Partner, Niamh O’Brien, Solicitor (EU, Competition & Procurement), Jill Shaw, ESG & Sustainability Lead, Ross Moore, Partner (Energy, Infrastructure & Natural Resources) or your usual ALG contact.

Date published: 19 August 2026