Today, the Biden-Harris Administration released the Federal Supplier Climate Risks and Resilience Proposed Rule (also known as the Gas Emissions and Climate-Related Financial Risk Proposed Rule), which would require contractors of the federal government to disclose their climate-related risks. Of particular note:
Under the proposed rule:
- Federal contractors receiving more than $50 million in annual contracts would be required to publicly disclose Scope 1, Scope 2, and relevant categories of Scope 3 emissions; disclose climate-related financial risks, and set science-based emissions reduction targets.
- Federal contractors with more than $7.5 million but less than $50 million in annual contracts would be required to report Scope 1 and Scope 2 emissions.
- Small businesses with over $7.5 million in annual contracts would only be required to report Scope 1 and Scope 2 emissions under the proposed rule.
- All Federal contractors with less than $7.5 million in annual contracts would be exempt from the rule.
View an advance copy of the proposed rule (official publication date is 11/14).