How your company can meet the Dutch government's ISV requirements

How your company can comply with the ISV requirements from the Dutch government

The Dutch government sets requirements for companies that supply to it, including in the areas of human rights and the environment. Through the so-called Internationale Sociale Voorwaarden (ISV), the government obliges its suppliers to actively identify and address risks in their international supply chains. But what exactly do these conditions entail? And what does this mean concretely for organisations participating in public procurement?

What are the ISV requirements?

The ISV requirements consist of a set of social and environmental conditions used by the Dutch government for tenders above the European threshold values. The goal is to prevent or limit risks of human rights violations and environmental damage in international supply chains. Think of issues such as forced labor, unsafe working conditions, or deforestation.

The government requires suppliers to take action to reduce risks in their international supply chains. To do this, companies must apply appropriate due diligence in line with the OECD Guidelines for Multinational Enterprises and the UN Guiding Principles on Business and Human Rights (UNGPs). These requirements apply to risk sectors such as clothing, electronics, construction materials, and food.

What do the ISV requirements ask of companies?

Organisations that want to supply to the government must demonstrate that they apply a structured due diligence process to identify, address, and communicate about risks in their chain. This includes, among other things:

• Developing or demonstrating an existing due diligence policy explaining how the company identifies and tackles risks to people and the environment, in line with the OECD Guidelines and UNGPs. 
• Conducting a risk analysis of the supply chain.
• Creating an action plan with concrete measures to reduce or mitigate identified risks.
• Monitoring the effectiveness of the due diligence system.
• Public reporting on progress.
• Facilitating remediation in cases of negative impact for which the company is responsible.

How can 2impact help?

At 2impact, we support companies in setting up or strengthening every step of their due diligence approach. We assist with developing policies, conducting risk analyses, and formulating targeted measures, for example. We also offer practical support in filling out the ISV questionnaire. 
Do you have questions about the ISV requirements or want to know what this means for your company? Feel free to contact us at lisanne@2impact.nl