Tool for Assessing Applicability
News Article: Industrial Greenhouse Gas Suppliers Face Strict Regulations and Sustainability Expectations
A series of Information Sheets have been made available for suppliers of various greenhouse gases (GHGs), including petroleum products, carbon dioxide, coal-based liquid fuels, natural gas and natural gas liquids, fluorinated GHGs, and industrial GHGs. These guides provide comprehensive guidance on regulatory reporting, emissions monitoring, transparency, and environmental performance.
Regulatory Reporting and Monitoring Requirements
Under the U.S. Environmental Protection Agency (EPA) rules and international sustainability standards, suppliers of fluorinated GHGs (F-gases), such as bulk importers and exporters, are required to comply with the Greenhouse Gas Reporting Program (GHGRP). This program necessitates detailed quantification and reporting of emissions from these gases to the EPA.
Destroyers of fluorinated GHGs are also regulated to ensure destruction methods meet specific standards to minimize emissions during destruction and to report these activities accurately to the EPA. Facilities subject to EPA regulations must perform leak detection, maintenance, and reporting as required under recent EPA methane and GHG NSPS (New Source Performance Standards) like subparts OOOOa and OOOOc, which came into effect for new or existing oil and gas facilities after 2022.
Transparency and Public Accessibility
The EPA mandates public transparency via portals making notifications and emissions data accessible, initially anonymized to enable facilities to respond before public identification is made. This encourages accountability and allows regulators and the public to track emissions from fluorinated GHG suppliers and destroyers.
Science-Based Targets and Supplier Engagement
Industrial suppliers are increasingly expected to adopt Science-Based Targets (SBTi) for emissions reduction aligned with global climate goals, such as the 1.5°C Paris Agreement commitment. For suppliers spending over certain thresholds, having SBTi-validated carbon reduction targets by 2025 is advised to contribute to supply chain decarbonization goals.
Suppliers should also disclose annual emissions data covering Scope 1 (direct), Scope 2 (indirect from energy), and Scope 3 (other indirect emissions including from supply chains) GHG emissions to improve accuracy in reporting and promote sustainability.
Compliance and Environmental Governance Expectations
Suppliers must adhere to environmental, social, and governance (ESG) expectations, including inclusive workplace practices and sustainability policies, as part of broader supplier sustainability frameworks. These frameworks often incorporate regular assessments and ratings (e.g., EcoVadis scores) to ensure suppliers maintain environmental compliance and continuous improvement in emissions management.
In summary, suppliers of industrial GHGs, including bulk importers, exporters, and destroyers of fluorinated GHGs, must follow strict EPA regulatory reporting and emissions monitoring requirements, commit to transparent public reporting of emissions data, adopt science-based emissions reduction targets, and engage in broader ESG and sustainability compliance efforts to mitigate their climate impact. Detailed technical standards for destruction and import/export controls are specified under EPA regulations, which also impose performance standards for new and existing industrial sources of these gases.
For more information on the specific EPA regulatory references or technical destruction requirements, consult the Clean Air Act subparts for fluorinated GHGs and related reporting rules.
The suppliers of industrial Greenhouse Gas (GHGs) need to understand and utilize data-and-cloud-computing technology for regulatory reporting and monitoring, as they are required to comply with the US Environmental Protection Agency (EPA)'s Greenhouse Gas Reporting Program (GHGRP) and reporting emissions data in a detailed and accurate manner.
To ensure accountability and maintain a sustainable profile, suppliers should also disclose their annual emissions data, covering Scope 1, 2, and 3 GHG emissions, to the public and to regulators, improving transparency and promoting sustainability.
