New Senate Bill Would Create Supply Star Program for Supply Chain
On May 24, 2010, Senators Lincoln (R), Pryor (R), Bingaman (D) and Brown (D) introduced S. 3396 in order to establish a Supply Star program to identify and promote practices, companies, and products that use highly efficient supply chains in a manner that conserves energy, water, and other resources.
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(This bill has just been introduced and is not in effect. Generally, in order for a bill to be implemented, identical versions of the bill must be passed by both the House and Senate, and then the bill must be approved (enacted) by the President.)
Supply Star Program Would Coordinate with Energy Star
The Supply Star program would build on and coordinate with the Energy Star program and be housed in the Department of Energy.
Best Supply Chain Practices Would be Identified, Products Could be Promoted
Under S. 3396, the Supply Star program would:
- promote practices, companies, and, as appropriate, products that comply with the Supply Star program as the preferred practices, companies, and products in the marketplace for maximizing supply chain efficiency;
- work to enhance industry and public awareness of the Supply Star program;
- collect and disseminate data on supply chain energy resource consumption;
- develop and disseminate metrics, processes, and analytical tools (including software) for evaluating supply chain energy resource use;
- develop guidance at the sector level for improving supply chain efficiency;
- work with domestic and international organizations to harmonize approaches to analyzing supply chain efficiency, including the development of a consistent set of tools, templates, calculators, and databases; and
- work with industry, including small businesses, to improve supply chain efficiency through activities that include (1) developing and sharing best practices; and (2) providing opportunities to benchmark supply chain efficiency.
Entire Life Cycle of a Product Would be Considered
In any evaluation of supply chain efficiency carried out by the Energy Secretary, the Secretary would be required to consider energy and resource use throughout the entire lifecycle of a product, including production, transport, packaging, use, and disposal.
Grants and Incentives for Improving Supply and Distribution Chain
The Energy Secretary may award grants or other forms of incentives on a competitive basis to eligible entities, as determined by the Secretary, for the purposes of studying supply chain energy resource efficiency.
Grants or incentives could also be awarded for demonstrating and achieving reductions in the energy resource consumption of commercial products through changes and improvements to the production supply and distribution chain of the products.
(See ITT’s Online Archives or 04/19/10 news, 10041914, for BP summary on Energy Star program’s immediate requirement to test all products.
See ITT’s Online Archives or 03/30/10 news, 10033015, for BP summary on DOE and EPA steps to strengthen Energy Star, respond to GAO report on fraud and abuse.)