Advocacy ALERT

Building towards net-zero: Two new green standards

New standards for the greening of federal operations through federal procurement have been adopted as part of Canada’s pledge to reach net-zero by 2050.

Two new standards have been introduced under the government’s Policy on Green Procurement by Mona Fortier, President of the Treasury Board, and Steven Guilbeault, Minister of Environment and Climate Change, inducing major suppliers to integrate environmental considerations in the procurement decision-making process.

Embodied carbon in construction

The Standard on Embodied Carbon in Construction, effective December 31, 2022, requires firms engaging in federal government procurement to reduce and report the embodied carbon footprint of materials used in new major government construction projects and the use of greener material alternatives.

As requirements expand, this standard will be populated with a list of materials which companies will be required to disclose their carbon footprint. While the current standards look specifically at greener concrete, the government will be looking at drafting steel requirements over the next 12 to 18 months.

Greenhouse gas emissions

Effective April 1, the Standard on the Disclosure of Greenhouse Gas Emissions and the Setting of Reduction Targets will require suppliers involved in federal procurement contracts to disclose their greenhouse gas (GHG) emissions. The standard only applies to projects over $25 million after CCA successfully convinced the government to change its originally proposed threshold of $10 million. The disclosure of GHG emissions under this standard will specifically target the prime contractor on the project. Companies that anticipate participating in federal procurement will need to adapt their bid responses to account for these new standards.

As the new standards take root and construction moves towards the use of greener materials and GHG disclosure, CCA will continue monitoring these initiatives and their impact on the industry. CCA looks forward to continuing to work in partnership with the federal government as we move forward with developing net-zero building standards.

If you have any questions, please contact Louis-Philippe Champagne, Director of Government Relations and Policy.