Overview
This PPN applies to all central government departments, executive agencies and non-departmental public bodies when conducting procurements covered by Part 2 of the Public Contracts Regulations 2015 (PCR 2015), the Utilities Contracts Regulations 2016 (UCRs), the Defence and Security Public Contracts Regulations 2011 (DSPCRs), and the Concession Contracts Regulations 2016 (CCRs), where steel is being procured directly or indirectly (collectively referred to as in-scope organisations’).
Other public sector contracting authorities are encouraged to consider applying the approach set out in this PPN, where it is relevant and proportionate to do so and in light of any relevant legal obligations which may apply.
The PPN sets out a number of existing policies, tools and methodologies that in-scope organisations should consider and apply (where appropriate) when designing relevant steel procurements. A relevant steel procurement is a regulated procurement where steel is being procured directly or indirectly.
The PPN also sets out the scope of reporting requirements on steel origin data.
Objective at this commercial stage
Contractual key performance indicators (KPIs) and service levels should be used to measure progress and performance of suppliers and their supply chain in the delivery phases of a project / programme.
An annual steel data return must be provided by in-scope organisations (where relevant) to the Department for Business and Trade (DBT) in order to provide actuals data on steel procured in the previous financial year, including its origin.
Key considerations at this commercial stage
In-scope organisations should:
- ensure the supplier provides steel origin data return; which the in-scope organisation will then provide to the Department for Business and Trade (DBT) as part of their annual return
- ensure strong supply chain management capability at Tier 1 level and that there is full supply chain understanding of the outcomes that are being sought; and that obligations and commitments are effectively cascaded through the supply chain
- use contractual KPIs and service levels to measure progress and performance of suppliers in the delivery phases of a project / programme
- ensure that the supplier cascades obligations and commitments effectively through the supply chain.
Legal framework
The PPN should be read alongside the relevant parts of the legal framework, including but not limited to, the following provisions of the Public Contracts Regulations 2015 (which may be particularly relevant to the consideration of this PPN):
- Regulation 18: Principles of procurement
- Regulation 40: Preliminary market consultations
- Regulation 42: Technical specifications
- Regulation 43: Labels
- Regulation 58: Selection criteria
- Regulation 60: Means of proof
- Regulation 62: Quality assurance standards and environmental management standards
- Regulation 63: Reliance on the capacities of other entities
- Regulation 67: Contract award criteria
- Regulation 68: Life-cycle costing
- Regulation 70: Conditions for performance of contracts
- Regulation 71: Subcontracting
- Regulation 107: Qualitative selection
Additional support and guidance
Make sure you:
- read the PPN and any supporting implementation guidance
- seek legal and commercial advice in the context of specific procurements
