Government Contractors: 4 Benefits of Becoming Early Adopters of Greenhouse Gas (GHG) Emissions Calculations

At a glance

• Main takeaway: As more governments place an increased prioritization on sustainability in the form of regulations, now is the time for government contractors to become early adopters of tracking their GHG calculations.
• Impact on your business: While there are many benefits with being an early adopter of GHG calculations, it’s important to work closely with an advisor to help your company better understand the benefits and challenges. 
• Next steps: Aprio’s Sustainability Advisory Practice can help your company take a proactive approach to GHG calculations and start your sustainable future.

Let Aprio get you started on your sustainability journey. Contact our team for a complimentary consultation.

The full story:

Sustainability isn’t just a trend; it’s a tidal wave reshaping the way many industries run their business. While some wait on the shore, watching nervously, others are choosing to ride the wave, embracing the challenges and opportunities of becoming early adopters of tracking greenhouse gas (GHG) emissions.

But is it worth the plunge? Absolutely, especially for government contractors who will be required to meet sustainable-related regulations if they hope to secure government contracts. While there are many benefits for adopting sustainable practices, in this article we breakdown four of the most profitable benefits waiting for government contractors who are ready to take the leap towards a greener future.

1. Competitive Advantage

It should not come as a surprise that governments around the world have increased the prioritization of sustainability in their procurement practices. For government contractors who can actively demonstrate that they have taken proactive steps to adopt sustainable best practices, will likely increase their ability to secure “green” contracts and set themselves apart from other contractors who have not made the jump. Establishing robust GHG calculations will not only demonstrate a commitment to sustainable best practices, but also provide opportunities to develop innovative processes and technologies. Additionally, government contractors will have access to data-driven insights that can inform strategic business decisions around investments, procurement, and product development.

2. Financial Benefits

Government contractors who continuously analyze and track their GHG footprint can uncover inefficiencies in their energy consumption, resource use, and waste generation. Identifying and addressing these inefficiencies can lead to significant cost savings. Through consistent tracking of GHG emissions, government contractors can better manage their resource allocation across their entire value chain leading to improved efficiency and reduced waste. Further, since sustainability factors are a continued interest for investors, contractors who have a solid GHG management plan can gain access to capital and even lower borrowing costs.

3. Reputation and Brand Value

Now more than ever, clients and employees are looking to see if a company’s values align with their own. Government contractors who prioritize early adoption of sustainable initiatives and GHG calculations can not only boost their brand image, but they can also attract and retain top talent. Additionally, it can help contractors build a more engaged, productive, and transparent relationship with stakeholders, suppliers, and local communities.

4. Preparation for future regulations

Sustainable regulations that require government contractors to report on their GHG emissions are coming. Early adopters of these regulations will be ahead of the curve and can avoid potential compliance issues down the road. Understanding your GHG footprint can also help government contractors better identify and mitigate business-related and environmental risks. Participating in the early development of GHG calculation standards and regulations gives government contractors the unique ability to shape how these standards should be implemented and the benefits it can create for businesses in the long run.

The bottom line

While there are numerous benefits with being an early adopter of GHG calculations, it’s important to note the challenges, such as the initial investment in resources and expertise, and the potential for inaccurate or incomplete data. However, that’s where Aprio’s Sustainability Advisory Practice can help your company carefully weigh the benefits and challenges. Discover how Aprio can help your company take a proactive approach instead of reactive when it comes to GHG calculations so you can start reaping the benefits of a sustainable future.

Related Resources/Assets/Aprio.com articles/pages

The Road to Sustainability – Episode 1 – Greenhouse Gas Emissions

The Road to Sustainability – Episode 2 – What is the Federal Sustainability Plan?

Alliant 3: The first GWAC to require Greenhouse Gas (GHG) Emissions Reporting and Reduction Targets

About Aprio’s Sustainability Practice

Let Aprio get you started on your sustainability journey. Contact our team for a complimentary consultation.

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