Government Green Procurement (GGP) refers to the purchase of products, services, and works by the public sector in a manner that takes environmental considerations into account. This approach aims to conserve nature and natural resources while minimizing the negative impacts of human activities on the environment.
The Government of Malaysia has implemented the GGP initiative across all Ministries and Government Agencies to encourage and promote the procurement of environmentally friendly products and services. This initiative aligns with the national commitment to sustainable development, as outlined in the 11th and 12th Malaysia Plans (RMK-11 and RMK-12), which set GGP targets of 20% by 2020 and 30% by 2025, respectively.
Under the Short-Term GGP Action Plan (2013–2014), GGP was implemented through pilot projects involving the six product groups and five ministries as follows:
Under the Long-Term GGP Action Plan (2016–2030), GGP was expanded to all levels of the Federal Government and Government Agencies, covering 40 product groups to promote and embed the culture of green purchasing in the public sector.
The Treasury Circular (PK 1.9), enforced on 29 November 2022 by the Ministry of Finance (MOF), mandates that all Federal Government Ministries and Agencies must fully implement Government Green Procurement (GGP) in line with Malaysia's sustainability goals.
Under Section 5.1 of the circular, agencies are required to achieve 100% green procurement for the following product and service categories:
For the following selected categories, agencies must ensure at least 50% of procurement consists of green-certified products or services:
This directive strengthens the government’s commitment to environmental sustainability by integrating green criteria into procurement processes, and it supports the achievement of GGP targets outlined under the 12th Malaysia Plan.
The implementation of GGP across all Ministries and their Agencies in 2023 resulted in a cumulative GGP value of RM 6.55 Billlion, representing 29.8% of total procurement are GGP.
The progress of GGP can be illustrated through the following milestones:
The details of Treasury Circular (PK 1.9) are as follows:
The achievements of GGP from 2013 to 2023 can be summarized below:
Cumulative (2016–2023):
Top 10 GGP Product and Service Groups (2013–2023) can be summarized below:
