Government of Canada champions sustainable procurement through new green standards for major contracts
February 28, 2023 – Toronto, Ontario – Government of Canada
The Government of Canada is committed to greening its operations and supporting Canada’s transition to a cleaner economy.
Today, the Honourable Mona Fortier, President of the Treasury Board and the Honourable Steven Guilbeault, Minister of Environment and Climate Change, jointly announced new initiatives to reach Canada’s Net-Zero commitments.
As of April 1, 2023, major Government of Canada suppliers will now be compelled to disclose their greenhouse gas emissions and set reduction targets.
The new Treasury Board Standard on the Disclosure of Greenhouse Gas Emissions and the Setting of Reduction Targets outlines that federal government procurements over $25M should incent suppliers to disclose their GHG emissions and set reduction targets. Suppliers can fulfill this requirement through participation in Canada’s Net-Zero Challenge or another approved internationally recognized and functionally equivalent standard or initiative.
Additionally, the new Treasury Board Standard on Embodied Carbon in Construction will require the reporting and reduction of the embodied carbon footprint of all new major government construction projects initially starting with concrete. Specifically, these projects must use lower carbon concrete, where available, so that the total GHG emissions associated with the project’s concrete is at least 10% less than the regional average for concrete. This is an important step towards implementing a Buy Clean Strategy in federal government procurement.
Ministers also announced that more than 40 companies have now joined the Net Zero Challenge since it was launched in August 2022 - including Microsoft Canada, Aecon Group Inc., 3M Canada and Cogeco.
Going forward, the Net-Zero Challenge will not only be for businesses, but also for cities. We are committed to expand the program to public entities and local government to ensure all parts of the economy are moving toward net-zero.
The Net-Zero Challenge is a voluntary initiative that encourages businesses to develop and implement credible and effective plans to transition their facilities and operations to net-zero emissions.
Climate change is one of the greatest global challenges of our time and the Government of Canada is leading by example and committing to reducing greenhouse gas (GHG) emissions and delivering a low-carbon, climate-resilient and clean-growth economy.
“Climate change is one of the greatest global challenges of our time. The new standards announced today are part of the government’s plan to achieve net-zero emissions by 2050. This approach will not only ensure greener government operations, but it will also help Canada meet its targets as a country. The government’s ongoing commitment to fight climate change and its leadership in the transition to a green economy is key to Canada’s success in reducing greenhouse gas emissions.”
- The Honourable Mona Fortier, President of the Treasury Board
“More and more businesses are aiming to make their operations net-zero, not just to fight climate change, but also to stimulate innovation and ensure the long-term sustainability. By baking these requirements into the Government of Canada’s contracting, we will help bring more businesses on board the target of net-zero. Since its launch, over 40 companies have joined the Net-Zero Challenge, and we are now expanding the program to include public entities and local government. Climate change means business and businesses are stepping up.”
– The Honourable Steven Guilbeault, Minister of Environment and Climate Change
A net-zero emissions economy represents opportunities for Canadians – to secure and create jobs, to grow our industries, and to lead the world with the resources and technologies it will need for generations to come.
Through the Standard on the Disclosure of Greenhouse Gas Emissions and the Setting of Reduction Targets, the Government of Canada will induce major suppliers to disclose greenhouse gas emissions and set reduction targets.
Through the Standard on Embodied Carbon in Construction, the Government of Canada will move industries that supply to the federal government towards lower carbon concrete. This will not only ensure greener government operations, but it will also help Canada meet its GHG emission targets.
The Net-Zero Challenge aims to encourage businesses and other organizations to develop and implement credible and effective plans to transition their facilities and operations to net-zero emissions by 2050.
Companies that participate in the Net-Zero Challenge are supported in the planning process and benefit from technical guidance, best practices, a community of peers, and the opportunity to highlight their commitment to achieving net-zero emissions.
Office of the President
Treasury Board of Canada Secretariat
Treasury Board of Canada Secretariat
Toll-free: 1-855-TBS-9-SCT (1-855-827-9728)
Teletypewriter (TTY): 613-369-9371
Office of the Minister of Environment and Climate Change
Environment and Climate Change Canada
819-938-3338 or 1-844-836-7799 (toll-free)
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