Executive Order 13514 Section 13: Recommendations for Vendor and Contractor Emissions General Services Administration April 2010 Table of Contents Preface ..................................................................................................................................................... vi Chapter 1 Introduction ........................................................................................................................ 1 1.1 Executive Order 13514 Background ........................................................................................... 1 1.1.1 Overview of the EO Requirements ......................................................................................................... 1 1.1.2 GHG Emissions Scopes ................................................................................................................................ 1 1.1.3 Section 13 ......................................................................................................................................................... 3 1.1.4 Supply Chain and Procurement ............................................................................................................... 4 1.2 Managing GHG Emissions in the Federal Government .......................................................... 6 1.3 Guiding Principles .............................................................................................................................. 7 1.4 Federal Supply Chain GHG Emissions Management Approach .......................................... 8 1.4.1 Agency Scope 3 ............................................................................................................................................... 8 1.4.2 Supplier Inventory ........................................................................................................................................ 8 1.4.3 Store Data (Registries) ................................................................................................................................ 8 1.4.4 Voluntary Disclosure ................................................................................................................................... 8 1.4.5 Procurement.................................................................................................................................................... 9 1.4.6 Encourage Participation ............................................................................................................................. 9 Chapter 2 Key Findings ..................................................................................................................... 10 2.1 Working with Federal Suppliers to Provide Information for Tracking and Reducing Scope 3 Supply Chain GHG Emissions ..................................................................................................... 10 2.1.1 Impacts on the Procurement Process ................................................................................................. 10 2.1.2 Impacts on the Vendor and Contractor Community ..................................................................... 10 2.1.3 Impacts on Small Business and Other Socioeconomic Programs ........................................... 11 2.2 Requiring Suppliers to Use a Voluntary Registry for Disclosing Their GHG Emissions .......................................................................................................................................................... 11 2.3 Requiring Suppliers to Provide Their GHG Inventory and Describe Their GHG Mitigation Efforts ........................................................................................................................................... 11 2.4 Using Federal Government Purchasing Preferences for Low GHG Products ............. 11 2.5 Options for Encouraging Sustainable Practices ................................................................... 12 2.6 Recommended Path Forward ..................................................................................................... 12 Chapter 3 Feasibility Assessment .................................................................................................. 13 ii 3.1 Working with the Contractor Community to Provide Information ............................... 14 3.1.1 Current Trends ............................................................................................................................................. 14 3.1.2 Opportunities ................................................................................................................................................ 24 3.1.3 Challenges ...................................................................................................................................................... 25 3.1.4 Further Areas of Exploration.................................................................................................................. 26 3.2 Voluntary Registries ....................................................................................................................... 26 3.2.1 Current Trends ............................................................................................................................................. 26 3.2.2 Opportunities ................................................................................................................................................ 30 3.2.3 Challenges ...................................................................................................................................................... 30 3.2.4 Further Areas of Exploration.................................................................................................................. 31 3.3 Making Inventories Available ..................................................................................................... 31 3.3.1 Current Trends ............................................................................................................................................. 32 3.3.2 Opportunities ................................................................................................................................................ 34 3.3.3 Challenges ...................................................................................................................................................... 34 3.3.4 Further Areas of Exploration ................................................................................................................. 35 3.4 Using Purchasing Preferences .................................................................................................... 35 3.4.1 Current Trends ............................................................................................................................................. 35 3.4.2 Opportunities ................................................................................................................................................ 39 3.4.3 Challenges ...................................................................................................................................................... 40 3.4.4 Further Areas of Exploration.................................................................................................................. 42 3.5 Encouraging Sustainable Practices ........................................................................................... 43 3.5.1 Current Trends ............................................................................................................................................. 43 3.5.2 Opportunities ................................................................................................................................................ 46 3.5.3 Challenges ...................................................................................................................................................... 47 3.5.4 Further Areas of Exploration.................................................................................................................. 48 Chapter 4 Suggested Path Forward............................................................................................... 49 4.1 Phase 1: FY2011–FY2012 ............................................................................................................. 50 4.1.1 Governance .................................................................................................................................................... 51 4.1.2 Encourage Participation ........................................................................................................................... 52 4.1.3 Supplier Inventory and Registries for Storing Data ...................................................................... 52 4.1.4 Voluntarily Disclose GHG Data .............................................................................................................. 53 4.1.5 Procurement.................................................................................................................................................. 53 4.1.6 Agency Scope 3 Activities ........................................................................................................................ 54 iii 4.1.7 Specific Activities ........................................................................................................................................ 55 4.2 Phase 2: