Green Public Procurement under Natural Disasters: Evidence from Earthquakes in Japan

Adrien Deschamps ()
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Adrien Deschamps: AU - Avignon Université, •JPEG - Laboratoire des sciences Juridiques, Politique, Economiques et de Gestion - AU - Avignon Université

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Abstract: Public procurement is increasingly used as a public policy instrument, particularly to achieve environmental objectives. Since green public procurement stimulates innovation and fosters sustainable production processes, it is crucial to assess its sensitivity to natural disasters. To our knowledge, this paper is the first to study this question. Original data on municipal procurement in Japan are combined with city-level seismic data between 2012 and 2020 in a difference-in-differences design. We find robust evidence of a negative impact of earthquakes on municipal green public procurement, particularly in sectors where sustainable practices are less prevalent. The results also indicate a negative impact of post-disaster repair expenditures, instrumented using original data on municipal bridges and tunnels, on the implementation of green procurement practices. Given the increasing frequency and intensity of natural disasters, these findings highlight how natural hazards can force a trade-off between reconstruction needs and local environmental governance.

Keywords: Public Procurement; Green Public Procurement; Natural Disaster (search for similar items in EconPapers)
Date: 2026-04-02
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