The Sustainable Products and Services Clause (FAR 52.223-23) is a federal contract provision that requires contractors to prioritize and supply sustainable products and services when fulfilling federal contracts. Introduced as part of the federal government’s push to incorporate environmental considerations into procurement decisions, the clause formalizes requirements around sustainability and embeds them into the terms and conditions of applicable contracts.
In Solicitation Refresh #25 of the GSA Multiple Award Schedule (MAS), this clause was revised to reflect the Biden Administration’s enhanced approach to climate-conscious and sustainable procurement, emphasizing the federal government’s role in leading by example through greener purchasing.
This clause is now a mandatory part of applicable GSA contracts, making it critical for contractors to understand its purpose, scope, and compliance expectations.
Purpose of FAR 52.223-23
The purpose of the Sustainable Products and Services Clause is to:
- Ensure that the federal government procures and uses environmentally preferable products and services to the greatest extent practicable.
- Support broader federal sustainability goals as outlined in Executive Order 14057 (Catalyzing Clean Energy Industries and Jobs Through Federal Sustainability).
- Incorporate climate and environmental criteria into acquisition planning and contract execution.
- Provide contractors with clear direction on what constitutes sustainable procurement.
- Drive market demand for sustainable solutions and encourage vendor innovation in green offerings.
By including this clause in MAS contracts, GSA and other agencies ensure that sustainability is not just encouraged, but contractually required.
Key Provisions of Clause 52.223-23
FAR 52.223-23 outlines several core requirements for contractors:
- Contractors must provide products and services that meet applicable sustainability criteria, such as:
- Energy efficiency (e.g., ENERGY STAR® certified)
- Water efficiency
- Recycled content
- Bio-based content
- Safer chemical use
- Low volatile organic compounds (VOCs)
- EPEAT®-registered electronics, where applicable
- Where more sustainable options exist and are practicable, the contractor must offer those in place of non-sustainable alternatives, unless exempted.
- If sustainable options are not available or feasible, the contractor may be required to justify deviations or provide alternative sustainability attributes.
- Contractors must maintain documentation and reporting, when requested, demonstrating that sustainable offerings were provided.
The clause applies at both the contract level (e.g., GSA MAS) and the order level, meaning individual task or delivery orders may further specify sustainability priorities.
What Changed in Solicitation Refresh #25
The Refresh #25 to the GSA MAS solicitation included an updated version of FAR 52.223-23 to align with evolving federal policy. Key updates include:
- Expanded definition of sustainable products and services to reflect new standards and emerging technologies.
- Greater emphasis on contractor responsibility to proactively propose sustainable alternatives, not just comply when directed.
- Clarification that sustainable offerings are not optional — they are required unless clearly inapplicable or unavailable.
- Integration with GSA’s internal processes for catalog listing, marketplaces, and data tracking (e.g., environmental attribute flags in GSA Advantage!).
- Support for the Federal Sustainability Plan, including goals to achieve net-zero emissions procurement by 2050.
The refresh also reaffirmed GSA’s role as a government-wide leader in sustainable acquisition, using MAS as a platform to advance climate and environmental objectives.
Applicability of the Clause
FAR 52.223-23 applies to solicitations and contracts for products and services where sustainability attributes are relevant and where the agency has incorporated the clause. Under MAS, it is automatically included in contracts that involve:
- Product supply (e.g., office equipment, cleaning supplies, IT hardware)
- Service delivery that includes materials, electronics, packaging, or facility support
- Any contract where the government expects the contractor to select or recommend products
It may not apply to certain professional services contracts that do not involve any product component, but contractors are encouraged to still consider sustainable practices, such as digital delivery, reduced travel, or green-certified office spaces.
Contractor Responsibilities
To comply with the Sustainable Products and Services Clause, contractors should:
- Audit their catalog or offerings to identify sustainable equivalents that meet federal criteria.
- Clearly identify sustainable items in proposals and listings (e.g., using environmental attribute tags).
- Ensure that all required environmental certifications or labels (e.g., ENERGY STAR®, Safer Choice, EPEAT®) are up to date.
- Avoid offering prohibited products that contain toxic chemicals or fail to meet sustainability standards.
- Be prepared to provide documentation or proof of compliance, upon request by the contracting officer or ordering agency.
- For resellers, obtain assurances from manufacturers or suppliers that sustainability standards are being met.
Contractors should also educate their teams — including sales, compliance, and proposal staff — about the updated clause and its impact on procurement processes.
Enforcement and Implications
Failure to comply with FAR 52.223-23 can result in:
- Rejection of offers or quotations that do not meet sustainability requirements
- Post-award modifications to remove non-compliant items
- Contract performance issues or cure notices
- Negative past performance ratings in Contractor Performance Assessment Reporting System (CPARS)
- Ineligibility for future awards if vendors repeatedly offer non-compliant goods
Because this clause is part of the FAR, compliance is not optional — and ignorance is not a defense. GSA Contracting Officers have full authority to enforce it at both the contract and task order level.
Strategic Benefits for Contractors
While compliance with FAR 52.223-23 is a requirement, it also presents strategic opportunities:
- Competitive differentiation for contractors with strong sustainable product lines
- Eligibility for green-focused procurements and initiatives
- Alignment with agencies that prioritize climate and environmental performance
- Enhanced reputation and trust with federal buyers
- Contribution to long-term market trends that favor eco-conscious sourcing
Contractors who embrace the sustainability mandate not only meet contractual obligations but also strengthen their long-term position in the federal marketplace.
Available Resources and Support
GSA and the federal government provide several resources to help contractors navigate sustainability requirements:
- GSA’s Green Procurement Compilation (GPC) – A searchable database of sustainable purchasing requirements and recommendations
- SAM.gov and GSA Advantage! – Flags and filters to identify sustainable offerings
- EPA’s Safer Choice Program and ENERGY STAR databases – For finding compliant products
- Training from GSA and SBA – On sustainable acquisition and compliance
- GSA Interact – Updates on solicitation changes and sustainability guidance
Contractors are encouraged to integrate these resources into their proposal development, catalog management, and compliance review processes.
Conclusion
The Sustainable Products and Services Clause (FAR 52.223-23) is a key part of the federal government’s evolving approach to climate-conscious procurement. Updated in GSA Solicitation Refresh #25, the clause moves sustainability from a best practice to a contractual expectation — reshaping how contractors approach product selection, catalog development, and proposal strategy.
For vendors participating in the GSA MAS program and other federal contracts, proactive engagement with sustainability requirements is no longer optional. It’s a competitive necessity and a meaningful contribution to federal environmental goals.
