Here in Washington we’re waiting for the snow to end and Congress to make progress on a comprehensive climate and energy bill – both can’t come soon enough. And although the federal government has been closed here for the past few days, the past few weeks have seen some significant progress by federal agencies on the climate front.
As part of an effort to lead by example, President Obama announced  that the federal government will reduce its greenhouse gas pollution by 28 percent by 2020. Federal agencies have been working on developing their targets since the release of President Obama’s Executive Order 13514  on Federal Sustainability in October of 2009, which requires agencies to set a number of measurable environmental performance goals. This target is the aggregate of 35 agency targets and the Obama Administration believes it will “reduce Federal energy use by the equivalent of 646 trillion BTUs, equal to 205 million barrels of oil, and taking 17 million cars off the road for one year.” Later this year federal agencies will be setting targets for their indirect GHG emissions (looking for GHG reduction opportunities with vendors and contractors, implementing low-carbon strategies for transit, travel, and conferencing, etc.).
We’ve also seen indications that the impacts of climate change are to be formally considered in the operations of two prominent federal agencies. The Pentagon released a long-term strategy that for the first time recognizes climate change as a direct threat to U.S. forces. In the Department of Defense (DOD) Quadrennial Defense Review (QDR)  Report–the legislatively-mandated review of DOD strategy and priorities—the agency noted that climate change will affect DOD in two broad ways. First, it will shape the operating environment and missions by acting as “an accelerant of instability or conflict, placing a burden to respond on civilian institutions and militaries around the world.” And second, that DOD will need to adjust to the impacts of climate change on its facilities and military capabilities and will need to work to “assess, adapt to, and mitigate the impacts of climate change”.
The U.S. Securities and Exchange Commission (SEC) has announced  that companies should disclose to investors the potential risks and opportunities that climate change presents for their assets. Although the guidance  is not a formal regulation, the SEC intends for it to “provide clarity and enhance consistency for public companies and their investors”. In addition to the physical impacts of climate change (floods or hurricanes, rising sea levels, water availability, etc.), examples of where climate change may trigger disclosure requirements include the impacts of climate legislation and regulations, international accords, and indirect consequences of regulation or business trends.
These recent developments, along with the President’s clear commitment  to climate change and energy policy during his State of the Union address last month are very encouraging.
Speaking of making progress, its time for me to get back to shoveling snow.
Heather Holsinger is a Senior Fellow for Domestic Policy