Cambodia and the EU are seeking to implement Sustainable Public Procurement (SPP) to ensure Cambodia’s economic resilience and sustainability as it prepares to graduate from Least Developed Country (LDC) status.
During a January 22 consultative SPP workshop, EU ambassador to Cambodia Igor Driesmans and Minister of Economy and Finance Aun Pornmoniroth met with private sector leaders to discuss strategies for promoting sustainable goods and services through public procurement.
Pornmoniroth explained that the 2023 Public Procurement Law mandates the finance ministry to act as a regulator and oversee public procurement implementation while gradually delegating decision-making authority to procurement units within all public entities, including sub-national administrations.
“This Public Procurement Law reflects the Royal Government’s strong commitment to modernising the procurement system, promoting governance as a foundation and enhancing public spending efficiency in line with sustainable procurement principles,” he said.
He emphasised the importance of environmental protection and social impact management in drafting legal documents related to sustainable procurement.
The Environmental Code and Public Procurement Law highlights the necessity of establishing standard sustainable procurement regulations. The ministry will lead the process, with input from other relevant authorities.
“I call on all stakeholders to participate in preparing regulations and foundational documents outlining necessary procedures and forms to be implemented in the future, in accordance with the reform process,” said Pornmoniroth.
“We must approach this task with determination and implement sustainable public procurement step by step, ensuring it aligns with Cambodia’s unique context,” he added.
Pornmoniroth urged the ministry’s General Department of Public Procurement and the Ministry of Environment to conduct a thorough evaluation of the current procurement process.
He also called on them to define the scope of sustainable public procurement (SPP) based on existing laws and international standards to advance this initiative.
Driesmans underscored the critical role of sustainability in safeguarding the environment, conserving energy and combating climate change.
Highlighting Cambodia’s impending LDC graduation, he noted that sustainable practices will be pivotal for maintaining access to the EU market, which he described as a “cornerstone” of the Kingdom’s economic development.
“Our discussions on SPP are linked to two key aspects of the EU’s cooperation with Cambodia: public finance management and sustainable development,” he explained.
“High-quality procurement and construction are also facilitated by Eurocodes, European standards that provide a unified approach to building and civil engineering design,” he added.
Driesmans explained how good building standards can make structures greener and more resilient to the effects of climate change.
Acknowledging that sustainable public procurement is a new challenge for Cambodia, Pornmoniroth encouraged stakeholders to continue learning, sharing knowledge and adopting best practices from countries in the region, as well as from around the world.
The ministry plans to establish a core working group (SPP/SCP Core Group) to oversee the pilot implementation of sustainable public procurement.
“The working group must thoroughly monitor and evaluate sustainable public procurement efforts,” he reiterated.
Pornmoniroth added that they must gradually promote awareness through digital tools and platforms to educate civil servants, businesspeople and the public about the benefits of sustainable public procurement.
The workshop included a panel discussion featuring representatives from the finance and environment ministries, as well as the Cambodian Chamber of Commerce and EuroCham.
Topics ranged from sustainability policy and public financial management to market transformation through SPP and transparency.
Panellists emphasised the importance of aligning Cambodia’s public procurement practices with international standards to drive long-term growth and resilience.
Since 2006, the EU has played a pivotal role in supporting Cambodia’s Public Financial Management (PFM) reforms.
Through the “EU-Cambodia Partnership for Public Financial Management Reforms 2022-2028,” the EU continues to enhance the transparency, accountability and efficiency of public fund management.
Technical assistance from the EU has also been instrumental in drafting Cambodia’s 2023 Public Procurement Law, which introduced the concept of Sustainable Public Procurement into the country’s legal framework.
The EU plans to deepen cooperation with Cambodia through initiatives in statistics, education and taxation, further strengthening the Kingdom’s institutional capacity.