Contracting Policy Notice 2022-3: Introducing two standards under the Policy on Green Procurement

Overview

In Canada and abroad, the effects of climate change are evident. In response to these impacts and risks, the Government of Canada launched the Greening Government Strategy   with the objective of transitioning to net-zero carbon and climate-resilient operations. The strategy also aims to reduce negative environmental impacts on water and biodiversity. It includes commitments to: (1) reduce the environmental impact of structural construction materials, (2) incentivize major suppliers to disclose their greenhouse gas emissions and environmental performance information, and (3) adopt a science-based target for reductions in greenhouse gas emissions that is in line with the Paris Agreement.

To support the key commitments of the Greening Government Strategy, the Centre for Greening Government has developed two standards under the Policy on Green Procurement::

1. The Standard on Embodied Carbon in Construction takes effect on December 31, 2022, and applies only to procurements initiated after this date.
   
   It requires the disclosure of and 10% reduction in the embodied carbon footprint of structural materials, starting with ready-mix concrete, used in major government projects. It applies to projects valued at $10 million or more and expected to use more than 100 m3 of concrete.
2. The Standard on the Disclosure of Greenhouse Gas Emissions and the Setting of Reduction Targets takes effect on April 1, 2023, and applies only to procurements initiated after this date.
   
   It requires that procurements over $25 million include an incentive or a requirement for suppliers to: disclose their greenhouse gas emissions; and set reduction targets according to a Canadian or international initiative or standard.

Departments are advised to update their departmental procurement management framework to reflect the requirements of the new standards.

The Treasury Board of Canada Secretariat will continue to actively collaborate with departments to support the implementation of the standards.

Enquiries

Questions about this policy notice can be directed to greening-vert@tbs-sct.gc.ca.

Samantha Tattersall 
Assistant Comptroller General, Acquired Services and Assets Sector 
Treasury Board of Canada Secretariat