Let’s build on what works for the supply chain, not failed regulations

California’s global leadership on environmental policy is something to be proud of—but only when those policies work. Unfortunately, one growing regulatory approach aimed at the state’s supply chain—warehouse Indirect Source Rules, or ISRs—is failing on every front. The indirect source rule is a regulation that targets emissions from facilities or projects—like warehouses or ports—not by controlling the sources themselves, but by regulating the emissions generated by the traffic or activities they attract.

ISR regulations were imposed on operators of Southern California warehouses and logistics facilities five years ago to reduce emissions from trucks – despite having no control over engine technology or which trucks visit the warehouses.

Despite its lofty goals, these regulations are fa