The Biden administration has proposed new rules requiring major federal contractors to publicly disclose greenhouse gas emissions and climate risks and to establish targets for reducing emissions that are in compliance with the 2015 Paris climate agreement.
Arthur Wheaton is a transportation industry and supply chain expert and director of labor studies at Cornell University’s School of Industrial and Labor Relations. Wheaton says the new requirements will encounter pushback and that enforcement and data verification will be big challenges for the administration.
“There is pushback for all government rules, and this will be no different. The big question is how the administration will monitor and enforce these restrictions. There were rules about diesel emissions that were violated across the globe. Verification of accurate data will also be a challenge.
“For the auto industry specifically, this rule could add costs, but the consumer has already been demanding some of these changes, especially in Europe and China. Still, capturing greenhouse gas emissions data is not easy for the full production system.”