Major Federal contractors will publicly report their annual corporate-level GHG emissions and set targets to reduce them. Major contractors will also disclose climate risks and vulnerabilities that may affect their future economic stability or their ability to deliver goods and services that are critical to Federal agency missions. These requirements will improve the resilience of Federal supply chains to increasing climate risks, strengthen the competitive position of American companies, and help to reduce contract costs through increased efficiency.

• In November 2022, the Biden Administration proposed Federal Supplier Climate Risks and Resilience Proposed Rule, which requires major Federal contractors to publicly disclose their greenhouse gas emissions and climate-related financial risks as well as set science-based emissions reduction targets. Learn more about the Federal Supplier Climate Risks and Resilience Proposed Rule.

Production of high-volume materials associated with the construction of buildings and infrastructure, especially concrete and steel, is a major source of global GHG emissions. Reducing these emissions, referred to as "embodied" emissions because they are emitted during the manufacture of purchased products, is a critical piece of reducing emissions in the Federal supply chain.

• In February 2022, the Biden Administration launched its Federal Buy Clean Initiative and Task Force that will promote use of construction materials with lower embodied emissions and pollutants across their lifecycle—including each stage of the manufacturing process. Learn more about the Federal Buy Clean Initiative.

Agencies are already required to consider the lifecycle cost of alternatives in procurement decisions. Strengthening lifecycle cost approaches, where feasible and applicable, to include the SC-GHG—the incremental future economic damages caused by each ton of carbon pollution—can be a valuable tool to guide agencies toward investments that are compatible with the low-carbon economy of the future. Calculating and applying SC-GHG in procurements is an emerging field, which the Biden-Harris Administration will advance through an iterative, whole-of-government approach that includes agency-level pilots.

The Federal Government will maximize procurement of sustainable products and services, including ENERGY STAR rated equipment; products that are bio-based, made from recycled content, water-efficient, fuel-efficient, made with safer chemical ingredients, and non-ozone-depleting; and products that have earned third-party ecolabels reviewed and recommended by the Environmental Protection Agency. Additionally, agencies should avoid the procurement of products containing perfluoroalkyl or polyfluoroalkyl substances (PFAS).

The Working Group will provide semiannual reports to the National Climate Task Force on actions, findings, and progress toward governmentwide goals.